Sharp Decline Forecast For Mobile Data Equipment

Market research firm IMS Research is predicting a double-digit decline in revenues in 2009 for the mobile data infrastructure market. One of the segments that will suffer the most is mobile WiMAX, as credit markets tighten and limit the expansion of WiMAX networks. Unfortunately, the global economic downturn has come at a time when many wireless operators are developing plans to upgrade existing third-generation (3G) wireless networks or move to next-generation technologies such as fourth-generation (4G) wireless equipment. The IMS Research report, "Mobile Broadband: 4G Network Evolution," points to a slowdown in 2009 but a quick recovery in 2010. It also notes that business from the installed base of mobile data users should remain steady. In addition, service providers will look more to upgradable base stations rather than to new technologies. And infrastructure vendors in China may well see an increase in activity. The report summarizes that the total mobile data infrastructure market should be worth about $30 to $35 billion (USD) by 2013.