Telecom Lead India: Chinese gear maker Huawei leads the global
microwave equipment market in Q4 2011. Ericsson maintained its #1 position for
annual revenue for the third consecutive year in 2011.
The microwave equipment market increased 4 percent in Q4 2011
over Q3 2011, to $1.35 billion worldwide.
In 2011, the microwave equipment market was down 6 percent
to $5.3 billion. The decline was due to rapidly declining TDM equipment sales
and price erosion in the hybrid TDM/Ethernet segment.
Sales of all-packet Ethernet microwave gear are up 19
percent in 2011, and up 13 percent from the year-ago 4th quarter.
Infonetics forecasts Ethernet-only microwave equipment to
grow nearly 5-fold from 2011 to 2016.
The global microwave equipment market (including TDM,
hybrid, and Ethernet-only equipment) is forecast by Infonetics to total $5.6
billion in 2016.
As the proportion of small cells increases in 3G and 4G
networks, microwave likely will establish itself as the primary backhaul
solution for outdoor small cells, driving continued microwave unit shipment
growth.
The microwave equipment market is poised to return to growth
as LTE backhaul needs accelerate, particularly Ethernet microwave gear.
The millimeter wave equipment space was characterized in
2011 by the Clearwire effect as Clearwire shifted from their nationwide WiMAX
rollout in the US to prepare for a transition to LTE.
This resulted in a decline in the millimeter wave market in
2011.
Infonetics forecasts 63 percent compound annual growth rate
for millimeter wave equipment revenue from 2011 to 2016.
“The market will be driven by wider availability of licensed
and unlicensed millimeter wave products and as demand for high capacity mobile
backhaul solutions for metro areas with high cell density increases with the
deployment of 4G networks,” said Richard Webb, directing analyst for microwave
at Infonetics Research.
