North American Mobile Networks at 80% of Capacity?

September 12th, 2011
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Mobile networks in North America are filled to 80 percent of capacity, with 36 percent of base stations facing capacity constraints, according to a survey by investment bank Credit Suisse.

Networks in other regions also are more than 50 percent utilized, with the global average at 65 percent, Credit Suisse said after surveying carriers around the world. That level of use matches the average “threshold” rate that would trigger the service providers to start buying more network equipment, the report said. Looking ahead, on average the carriers expected their utilization rate to grow to 70 percent within 12 months.

Wireless networks are near capacity


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$11 Billion Carrier Ethernet Revenues in 2016?

September 10th, 2011
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U.S. enterprises and consumers are expected to spend more than $44 billion over the next five years (in aggregate) on Ethernet services provided by carriers, according to a new market research study from The Insight Research Corporation.

Insight Research Corp., though, uses a different definition than the Metro Ethernet Forum. Insight Research uses the term “public Ethernet” refers to any Layer 2 public network carrier service that extends Ethernet beyond the LAN and connects to customers across Ethernet interfaces.

Insight Research also notes, though, that there is a double count. “We are counting ’sell through’ service at two points. Total Ethernet revenue incorporates both monies paid by end-users to carriers for a service and the amount carriers pay other carriers to provide that same service.”

In other words, the figures include both the value of capacity sold to wholesale customers, and then the retail revenue booked by those wholesale partners when they sell to an enterprise, for example.

With metro-area and wide-area Ethernet services readily available from virtually all major data service providers, the market is expected to grow from $4 billion in 2011 to reach nearly $11.1 billion by 2016.

Carrier Ethernet services was a $3.2 billion market in 2010, the firm says. .

“Wireless backhaul is the fastest-growing sector within the Ethernet marketplace,” says Robert Rosenberg, president of Insight Research, about the results. An additional specific factor contributing to particularly rapid growth over the next few years will be the large-scale “mass migration” of wireless backhaul from TDM to Ethernet, which will particularly bolster growth in the metro and at moderate (>10 Mbit/s – 100 Mbit/s) bandwidth levels.

Consumer and Business Spending on Carrier Ethernet Services


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U.K. Mobile Cos. Get 1-Gbps Ethernet Backhaul from Virgin Media Business

September 7th, 2011
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U.K. mobile providers Everything Everywhere and Three are getting new Ethernet backhaul services from Virgin Media Business.

Mobile Broadband Network Ltd. is the network sharing joint venture between Everything Everywhere and Hutchison 3G UK (H3G UK), and is the entity buying the capacity.

The mobile service providers will be among the first customers to adopt the Virgin Media Business “Sync-E” solution.

MBNL Ltd has signed a £100 million plus, eight year contract with Virgin Media Business.

The technology is the U.K.’s only synchronous Ethernet mobile backhaul service. The first phase of deployment will see MBNL harness the power of the 1 Gigabit per second Ethernet service.

With mobile data traffic set to increase by 33 times over the next decade,  all mobile operators are under increasing pressure to deal with the surge in mobile data. The mobile backhaul network will unlock capacity for the future and ensure that whether a user is purchasing several albums at a time, streaming HD video or downloading applications built using augmented reality technology that the experience will be seamless.

Major Ethernet backhaul deal in U.K.


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