Abstract
Questions Answered by This Report
- What frequency bands does each major PtmP backhaul vendor support?
- What size will the PtmP and microwave market be by 2016?
- What are the PtmP wireless backhaul equipment offerings by the significant
vendors in the industry?
- What are the strengths and weaknesses of each vendor's products?
- What are the opportunities and threats for the major vendors?
- What are these vendors' plans going forward?
- What is the maximum throughput achieved for a single channel with each
PtmP technology?
- What compression techniques have vendors developed in order to increase
throughput?
- How are microwave vendors solving the packet synchronization issue?
- How does PtmP equipment manage TDM and packet traffic at the same time?
- What functionalities do PtmP vendors add to their solutions in order to
add intelligence and reliability?
- How do vendors manage network, links and remote units?
- What are the highly reliable vendors' products (Mean Time Between Failure)
in the wireless backhaul space?
- How much growth did the PtmP microwave market experience in 2010-2011?
- What kind of redundant solutions are offered per link?
- What were the market shares of the most important microwave vendors in Q1
2011?
- What was the regional breakdown of microwave shipments in 2010?
- What is the future of TDD versus FDD duplexing?
- Which frequency bands generated the most revenue in 2010?
- Which frequency bands will be most important in the coming years?
- How will SON enhance the small cells backhaul from an NLOS perspective?
- What were the most used equipment configurations during 2010 (split mount,
all-outdoor or indoor)?
- And much more!
Executive Summary
At the end of 2011, 15% of the installed backhaul market worldwide will be Point-to-Multipoint with the remaining 85% Point-to-Point
Operators' focus on backhaul, driven by their need to add more capacity,
resulted in an 11% increase in PtmP equipment shipments between Q1 and Q2
2011. Although operators preferred PtP wireless technology, the PtmP was very
attractive as the best alternative in high density areas. The increase in PtmP
shipments was anticipated as an emerging market, although both PtP and PtmP
are expected to complement each other, particularly in the cities where LTE
networks require full coverage for high capacity
Maravedis expects the wireless PtmP backhaul equipment market o reach US$1 billion by 2016 from $200 million in 2011.
Although the PtmP market is very complex because of the different technologies
and frequency bands used, it is expected to grow to a market value of US$1
billion by 2016. Beyond 2013, the rise of LTE depoyments, in combination with
small cells growth, will drive the growth of PtmP's market adoption
By 2016, the Non-Line of Sight (NLOS) equipment revenues will reach 35% of the total PtmP
In first half of 2011, many NLOS vendors (for example Taqua, BliNQ) were
testing their PtmP products in the TDD spectrum bands as they move toward the
2nd generation product releases in 2012. Given the low cost of spectrum
(sub-2¢/MHz for Point of Presence), the operators' requirement for a full
picocell backhaul solution should increase the NLOS equipment revenues from
2011-2016 at close to growth rate of 50% per year.
Africa is driving the PtmP microwave market during the global downturn
Africa has been the only region in the world where microwave shipments
continued to grow throughout 2010 into the first half of 2011. Sales increased
over 60% in the second half of 2011, with all microwave vendors indicating the
African continent, predominantly the South African market, as the region with
the strongest activity and the highest competition. There is a need for
additional capacity in the PtmP backhaul segment of cellular networks in
Africa. This growth will continue if, as expected, the private equity funds
flow in from investors such as Old Mutual Investment Group Africa
Infrastructure Investment Managers, Helios and Eaton Tower.
Middle East doubled revenues from Q1 to Q2 2011
Although Middle Eastern revenues doubled from Q1 to Q2, this increase was not
enough to match or surpass Africa. The Middle East continues to hold a market
share 40% less than Africa's, continuing the trend seen in 2010. Until 2015,
the Middle East's telecommunications investment is expected to decline by $2M
year-to-year due to unequal investment trends and political instability (i.e.
Egypt, Libya, Syria, etc.) across the region.
PtmP technology can reduce CAPEX up to 50% and OPEX up to 70%
PtmP typically requires less than half the hardware for coverage over PtP,
showing reductions in CAPEX of up to 50% and in OPEX of up to 70% according to
vendors claims. In addition, operators can maximize their return on investment
by enabling faster time to revenue. Some vendor's solution enables additional
sites in an existing sector, where each requires only one new Remote Terminal,
minimal planning and no additional RF license. Additional capacity can be
inserted on a channel-by-channel, sector-by-sector basis, allowing the
operator to minimize initial capital expenditure and tailor subsequent
investments to match growing subscriber numbers.
Concentration of shipments at 26GHz risks increase of spectrum saturation
Frequencies at 26GHz bands have been in high demand during Q1 and Q2 2011,
leading to the possibility these bands may become quickly saturated. Shipments
in this range grew during 2011 (27% quarter-over-quarter between Q1 and Q2).
Equipment shipments in this band are expected to increase, since it attracts
the most concentration due to the volume of licensed bands that operators
hold, such as Mobile Telephone Network (MTN) concentrated in the regions of
Africa (South Africa) and Middle East (UAE) and some in Europe, (UK, and
Portugal).
In Q2 2011 Intracom Telecom took the lead in the EU market and narrowed the spread to 30% over Cambridge Broadband Network in the global markets
Intracom Telecom's PtmP product with an optional coexisting PtP solution
seemed to be very attractive during Q2 2011, gaining market share for the
first time in Africa. In Europe during Q2 2011, Intracom Telecom reported
revenue at 60% more than Cambridge Broadband Network. However, both vendors
are extremely competitive not only in Africa but also in the Middle East,
where Cambridge Broadband Networks dominated the 26GHz band sales, leaving
room for Intracom Telecom in the 28GHz band.
Increasing intelligence and efficiency in radios
Most vendors define radio's efficiency based on Adaptive Modulation, bandwidth
management or the statistical multiplexing features. New solutions and
products are adding a new set of features impacting all Ethernet solutions.
BliNQ Network offers an intelligent algorithm for Dynamic Bandwidth Sharing
and interference management. It also supports Self Organizing Network features
and VLANs to secure traffic. Alvarion is among the leaders of the intelligent
algorithms, presenting three different types, FEC (Forward Error Correction)
Algorithm, CAC (Connection Admission Control) Algorithm and DES (Data
Encryption Standard) Algorithm.
More Time Division Duplex than Frequency Division Duplex systems, especially from the new NLOS entrants, and less on microwave
The FDD systems refer strictly to bi-directional voice service since these
occupy a symmetric downlink and uplink channel pair. However, as a trend and
on a per case basis, TDD is the choice and provides the ability to define the
percentage of Upload versus Download traffic (asymmetric). This can be
especially useful for specific uplink-centric applications such as those used
by many vertical markets (video surveillance) where the application benefits
from a ratio for Upload/Download. That ratio is no longer constrained to a
fixed 50/50 mix. Most of the NLOS products operate in the Local Multipoint
Distribution Service bands (unpaired licensed bands) and are TDD-based, as
from vendors such as Taqua, BliNQ Networks, Airspan and Alvarion.
NLOS and microwave both reduce the time to deploy a cell site to a couple of hours, meeting operators' need for prompt installations
Whether we refer to NLOS or microwave technology, the time-to-deploy for a new
connection or even a cell site is significantly reduced to a few hours. The
turnkey feature offered by many vendors such as Alvarion, Bluwan, Blinq
Networks and Proxim Wireless saves significant time, since the terminals are
pre-configured and preloaded with all the necessary software. Still, the time
to configure the antenna's direction demands the most installation time,
requiring angle of degree determination, in order to achieve the expected site
coverage.
WiFi remains a viable backhaul PtmP solution
Carrier WiFi solutions will always be sought not only for WiFi offload (city
hot zones) but also to facilitate large-scale, indoor-outdoor deployments for
Tier 1 Carriers. In addition, many applications such as video surveillance and
public safety need monitoring based on WiFi solutions. These are implemented
successfully and commercially by Proxim Wireless. Cambium Networks (ex
Motorola Solutions' Canopy) and Belair compete in the unlicensed bands that
are still ideal for 3G/Wi-Fi high user concentration. Belair became the leader
in Q2 2011 of the carrier WiFi market, reporting 31% of shipments in North
America compared to Motorola's 9%. North America is currently the most active
region, accounting for 55% of the carrier WiFi market, largely due to WiFi hot
zones needed to add more capacity to the network. In North America, WiFi is
used by dominant operators such as AT&T, as well as cable carriers such as
Time Warner Cable, Comcast and Cablevision.
Most vendors are ready to comply with small cells requirements
Most PtmP vendors pay special attention to the emerging small cells
requirements and tap into this huge potential market. Key small cells features
are small size, lightweight products deployed outdoors and able to withstand
harsh weather conditions and environments. The small cells, Outdoor Metro
Pico/Femto, could easily be supported from PtmP products, adding extra
capacity to the cell site and the aggregation node. Ideally, all this hardware
should be flexibly mounted on any street level deployment (light pole or
rooftop), with intelligent and independent power features (Power of Ethernet),
support for all weather conditions standards, for availability in 30-50 mm/hr
rain and temperatures ranging from - 45°ree;C to + 55°ree;C. Split mount
equipment will still be a player, but the footprint will move very close to
zero
Table of Contents
List of Figures
List of Tables
Questions Answered by This Report
1. Executive Summary
2. Key Findings
3. PtmP Wireless Backhaul Market 2011 - 2016
- 3.1 Market Overview
- 3.2 Traditional Microwave Vendor Market Shares
- 3.3 Analysis by Region
- 3.4 Analysis by Application/Equipment Configuration
- 3.5 Analysis by Frequency Band
- 3.6 NLOS market analysis and forecast
4. PtmP Wireless Backhaul Equipment Analysis
- 4.1 Market Segments
- 4.1.1 Split-mount
- 4.1.2 All Outdoor
- 4.1.3 Small Cell Backhaul
- 4.2 Frequency Support
- 4.3 Maximum Throughput
- 4.4 Duplexing Methods
- 4.5 Intelligent modules used by PtmP vendors
- 4.6 Synchronization
- 4.7 Ethernet Demarcation
- 4.8 Mean Time Between Failure (MTBF)
5. PtmP Wireless Backhaul Vendor Profiles
- 5.1 Airspan Networks
- 5.1.1 Vendor Overview
- 5.1.2 Financial/Investment
- 5.1.3 Backhaul Solutions
- 5.1.4 Product Overview
- 5.1.5 Future
- 5.1.6 SWOT Analysis
- 5.2 Alvarion
- 5.2.1 Vendor Overview
- 5.2.2 Financial
- 5.2.3 Backhaul Solutions
- 5.2.4 Product Overview
- 5.2.5 Future
- 5.2.6 SWOT Analysis
- 5.3 BelAir Networks
- 5.3.1 Vendor Overview
- 5.3.2 Financial
- 5.3.3 Backhaul Solutions
- 5.3.4 Product Overview
- 5.3.5 Future
- 5.3.6 SWOT Analysis
- 5.4 Blinq Networks
- 5.4.1 Vendor Overview
- 5.4.2 Financial
- 5.4.3 Backhaul Solutions
- 5.4.4 Product Overview
- 5.4.5 Main Features
- 5.4.6 Future
- 5.4.7 SWOT Analysis
- 5.5 Bluwan
- 5.5.1 Vendor Overview
- 5.5.2 Financial
- 5.5.3 Backhaul Solutions
- 5.5.4 Product Overview
- 5.5.5 Future of the Company Backhaul Business
- 5.5.6 SWOT Analysis
- 5.6 Cambridge Broadband Networks Limited (CBNL)
- 5.6.1 Vendor Overview
- 5.6.2 Financial/Investment
- 5.6.3 Backhaul Solutions
- 5.6.4 Product Overview
- 5.6.5 SWOT Analysis
- 5.6.6 Future of the CBNL's Backhaul Business
- 5.7 Hughes Network system
- 5.7.1 Vendor Overview
- 5.7.2 Financial/Investment
- 5.7.3 Backhaul Solutions
- 5.7.4 Product Overview
- 5.7.5 SWOT Analysis
- 5.7.6 Future of the Company Backhaul Business
- 5.8 Intracom Telecom
- 5.8.1 Vendor Overview
- 5.8.2 Financial/Investment
- 5.8.3 Backhaul Solutions
- 5.8.4 Product Overview
- 5.8.5 SWOT Analysis
- 5.8.6 Future of the Company Backhaul Business
- 5.9 Proxim Wireless
- 5.9.1 Vendor Overview
- 5.9.2 Financial/Investment
- 5.9.3 Backhaul Solutions
- 5.9.4 Product Overview
- 5.9.5 Future
- 5.9.6 SWOT Analysis
- 5.10 Taqua
- 5.10.1 Vendor Overview
- 5.10.2 Financial
- 5.10.3 Backhaul Solutions
- 5.10.4 Product Overview
- 5.10.5 SWOT Analysis
- 5.10.6 Future of the Company Backhaul Business
6. Acronyms
List of Figures
- Figure 1 Quarterly PtmP Microwave Backhaul Equipment Revenue 2010
- Figure 2 PtmP Microwave vs Total Backhaul Equipment Revenue Forecast
2011-2016
- Figure 3 PtmP Microwave Backhaul Equipment Market Share Q1 2011
- Figure 4 PtmP Microwave Backhaul Equipment Market Share Q2 2011
- Figure 5 PtmP Microwave Backhaul Equipment Revenue by Region Forecast
2011-2016
- Figure 6 PtmP Microwave Equipment Revenue Forecast by Frequency Band
2011-2016
- Figure 7 NLOS PtmP backhaul market forecast 2011-2016 in sub 6GHz
frequency bands
- Figure 8 Mean time between failures - comparison chart
- Figure 9 Airspan PtmP product
- Figure 10 Alvarion's WALKair 5000
- Figure 11 BelAir2100 Metrocell PmP solution
- Figure 12 X100 BliNQ PmP solution
- Figure 13 Bluwan PtmP Equipment
- Figure 14 CBNL's IU and ODU PtmP solution
- Figure 15 AB9800 PtmP hub terminal
- Figure 16 Intracom Telecom's WiBAS BS & MSAD IDUs and respective Outdoor
Radio Units
- Figure 17 PtP and PTMP support from a common platform
- Figure 18 Proxim Wireless MP 8200 (left), MP 8160 (right)
- Figure 19 Taqua PtmP deployment example
- Figure 20 Taqua PtmP Remote unit and Pole mount
List of Tables
- Table 1 PtmP Market Segments Summary
- Table 2 All-outdoor equipment comparison
- Table 3 Frequency band availability per PtmP vendor
- Table 4 Over-the-air throughput depending on channel width and modulation
- Table 5 Intelligent modules and protocols among PtmP backhaul vendors
- Table 6 Ethernet OAM support within the microwave market
- Table 7 Airspan PtmP product offering
- Table 8 Airspan Telecom SWOT Analysis
- Table 9 Alvarion PtmP product offering
- Table 10 Airspan SWOT Analysis
- Table 11 BelAir PtmP product offering
- Table 12 Belair SWOT Analysis
- Table 13 BLiNQ's NLOS product offering
- Table 14 BliNQ SWOT Analysis
- Table 15 Bluwan product offering
- Table 16 Bluwan SWOT Analysis
- Table 17 CBNL's PtmP Backhaul Products
- Table 18 CBNL Telecom SWOT Analysis
- Table 19 Hughes's PmP Backhaul Products
- Table 20 Hughes SWOT Analysis
- Table 21 Intracom Telecom's PtmP Backhaul Products
- Table 22 Intracom Telecom SWOT Analysis
- Table 23 Proxim Wireless PtmP product offering
- Table 24 Proxim Wireless SWOT analysis
- Table 25 Taqua's NLOS backhaul solution
- Table 26 Taqua SWOT analysis
