Latest Trends in the Next-generation Mobile Backhaul Networks Market by Technavio

Technavio has published a new report on the global next-generation mobile backhaul networks market from 2017-2021. (Graphic: Business Wire)

LONDON--()--Technavio’s latest report on the global next-generation mobile backhaul networks market provides an analysis of the most important trends expected to impact the market outlook from 2017-2021. Technavio defines an emerging trend as a factor that has the potential to significantly impact the market and contribute to its growth or decline.

The global next-generation mobile backhaul networks market is expected to grow at a CAGR of over 10% during the forecast period. Mobile backhaul plays a major role in delivering a good user experience in network performance. The increase in the number of the smartphone subscribers across the world has led to a huge demand for data traffic. Such high demand from consumers has led the network operators to upgrade their infrastructure.

Jujhar Singh, a lead analyst from Technavio, specializing in research on embedded systems sector, says, “The mobile backhaul capacity needed per base station varies considerably, relying on target data rates and population density. The market is calculated by considering the revenue of the vendors in the backhaul network service.”

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The top three emerging trends driving the global next-generation mobile backhaul networks market according to Technavio research analysts are:

  • Development of 5G network
  • Emergence of IoT devices
  • Growth of wireless communications

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Development of 5G network

The penetration of 4G mobile technology such as LTE is becoming high in the developed markets. The backhaul equipment makers and network carriers are in the process of developing the next-generation mobile communication, i.e., 5G. The 5G development is in a nascent stage. By 2021, 5G is set to overtake the 4G technology in the developed markets.

Some manufacturers like Intel are manufacturing consumer devices that can use millimeter wave or the sub 6 GHz frequency spectrums. Also, when this technology becomes mainstream, more equipment makers will manufacture the backhaul equipment to capture the market in its earlier stages.

Emergence of IoT devices

The market is witnessing the development of IoT devices like HVAC, lighting, security, and inventory management. Also, the research is oriented toward connected vehicles, smart grids, and home automation to improve the quality of life. With this development toward connecting more everyday devices to the internet, there will be a huge demand for data.

With the current backhaul network supporting 4G and 3G, the current network is unable to meet the existing consumer needs. It is imperative that the network carriers deploy more fiber optics and microwave equipment in their existing infrastructure.

Rise in demand for millimeter wave connectivity

5G networks are expected to reach GB level in the forecast period. However, it is a great challenge to provide 5G wireless backhaul traffic effectively. Wireless backhaul traffic is due to two typical network architectures, including small cell and millimeter wave. Thus, demand for millimeter wave equipment market will increase over the forecast period.

“The data transfer demand is increasing at a high rate, which is expected to increase further in the forecast period. This is propelling the demand for high bandwidth applications. Also, millimeter wave technology is extensively used in the small cell backhaul network,” asserts Jujhar.

The key vendors are as follows:

  • Cisco Systems
  • Ericsson
  • Huawei Technologies
  • Nokia
  • ZTE

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Technavio Research
Jesse Maida
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US: +1 630 333 9501
UK: +44 208 123 1770

Release Summary

Technavio’s report on the next-generation mobile backhaul networks market provides an analysis of the key trends expected to impact market outlook.


Technavio Research
Jesse Maida
Media & Marketing Executive
US: +1 630 333 9501
UK: +44 208 123 1770