China Backhaul Capex Spending to Top $10 Billion in 2009-2010

With three mobile operators now scrambling to build out 3G networks in China based on three different access standards, investment in backhaul equipment in China will exceed $10 billion in 2009-2010, according to the latest report from Unstrung Insider (www.unstrung.com/insider), a paid research service from TechWeb's Unstrung (www.unstrung.com).

Mobile Backhaul in China: Sizing the Market Opportunity outlines and forecasts the backhaul market in mainland China, both nationally and regionally, and explores and analyzes the current backhaul arrangements and future plans of China's three major operators: China Mobile, China Unicom, and China Telecom. The report also presents a comprehensive analysis of 10 large and small backhaul technology suppliers in mainland China.

For a list of companies analyzed in this report, please see: http://img.lightreading.com/uni/pdf/uni1109_companies.pdf

"The concurrent arrival of 3G/beyond third generation (B3G) mobile networks, mobile data services, and all-IP networks is putting much higher demand on mobile backhaul," notes Xuefei Peng, research analyst with Unstrung Insider and author of the report. "Operators are seriously considering how to build upgradeable, reliable mobile backhaul installations that can carry different new and old mobile services at lower opex and capex."

As one of the fastest growing telecom market in the world, China attracts great attention, Peng says. "In China, 2G and 3G networks will coexist for the foreseeable future, which means mobile backhaul deployment must accommodate a mix of network and technology types," he adds. "3G deployments further raise the heat, while mobile backhaul takes approximately 25 percent of the whole mobile network investment."

Key findings of Mobile Backhaul in China: Sizing the Market Opportunity include:

  --  China's mobile operators are expected to spend more than $10 billion
      on backhaul capex in 2009 and 2010.
  --  Spending on TD-SCDMA backhaul by China Mobile will decline in 2010
      because of strong buildout activity prior to the 2008 Olympics.
  --  China Unicom is expected to spend $1.4 billion on backhaul for its
      WCDMA network this year, increasing to $2.2 billion in 2010.
  --  Although CDMA is likely to lag both TD-SCDMA and WCDMA in usage, China
      Telecom is expected to spend $3.5 billion on CDMA backhaul in 2009 and
      2010.

  --  Though China's operators employ three different 3G standards, only one
      is likely to emerge as dominant: TD-SCDMA or WCDMA.

Mobile Backhaul in China: Sizing the Market Opportunity is available as part of an annual single-user subscription (12 monthly issues) to Unstrung Insider, priced at $1,595. Individual reports are available for $900 (single-user license).

To subscribe, or for more information, please visit: www.unstrung.com/insider. For more information on all of Light Reading's Insider services, please visit www.lightreading.com/research.

To request a free executive summary of the report, or for details on multi-user licensing options, please contact:

  Jeff Claudino
  Director of Sales
  Insider Research Services
  619-229-9940
  claudino@lightreading.com

  Press/analyst contact:

  Dennis Mendyk
  Managing Director
  Insider Research Services
  201-587-2154
  mendyk@heavyreading.com


  About Light Reading

Founded in 2000, Light Reading (www.lightreading.com) is the leading online media, research, and focused event company serving the $3 trillion worldwide communications market. Lightreading.com is the ultimate source for technology and financial analysis of the communications industry, leading the media sector in terms of traffic, content, and reputation. Light Reading's research arms, Heavy Reading and Pyramid Research, provide the most comprehensive communications research, market data, and technology analysis in close to 100 markets around the world. Light Reading produces nearly 20 targeted communications events including TelcoTV, Ethernet Expo New York and Ethernet Expo London, The Tower Summit @ CTIA, and Optical Expo, as well as focused one-day events tailored for cable, mobile, and wireline executives. Light Reading was acquired by United Business Media in August 2005 and operates as a unit of TechWeb.

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SOURCE: Unstrung Insider

CONTACT: Jeff Claudino, Director of Sales, Insider Research Services,
+1-619-229-9940, claudino@lightreading.com; or Dennis Mendyk, Managing
Director, Insider Research Services, +1-201-587-2154, mendyk@heavyreading.com

Web Site: http://www.unstrung.com/insider