According to ABI Research, Asia-Pacific regional growth in basestations will outpace all other regions this year as it continues to account for the majority of worldwide basestation deployments. The Asia-Pacific region now becomes the largest market for LTE, followed by North America and Western Europe, with the Asia-Pacific regional installed base growing to 8X in 2014.
With the first service providers, such as SK Telecom, now upgrading their networks to LTE-Advanced (LTE-A) and China Mobile deploying a TD-LTE network and issuing a huge tender for over 200,000 base stations, TD-LTE and LTE-Advanced are set to dominate the LTE installed base of macro basestations as early as 2015.
ABI Research expects sales of base station processors to grow at 17 percent annually and reach $1.1 billion in 2017 driven by the growth in compact format femto-, pico-, and microcell small cell basestations, which will account for the majority of the processor market in 2017. With macrocells declining at 13 percent per year over the next 5 years, and microcells growing at a modest 7 percent the large growth in picocells and outdoor femtocells will consume the majority of next generation base station processors.