Consumer femtocells to represent largest share in small cells shipments

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Consumer femtocells to represent largest share in small cells shipments

Telecom Lead America: Shipments of Enterprise and
Consumer Femtocells — also referred to as Indoor Small Cells– in 2012 are
expected to contain 2.44 million units, similar to the 2.47 million units
shipped in 2011, according to ABI research.

The Enterprise and Consumer femtocell market will grow at
a CAGR of 63 percent to reach almost 28 million units in 2017 for revenue of
$3.4 billion. Consumer femtocells are the largest class of femtocells
representing a 68 percent share of units in 2012 and 70 percent in 2017.

ABI Research believes there is a large inventory of
femtocells sitting with operators right now with operators having a slow burn
rate, which has led to limited fresh orders in the first half of 2012.

An estimated 5.3 million units of indoor small cells will
be deployed by end 2012.

However, silicon component suppliers have noted that 1Q
2012 shipments were down 30 percent to 40 percent compared to 1Q 2011.

 Some of the slack in volumes can also be attributed
to attention shifting from indoor femtocells to outdoor metrocells. The recent
consolidation in the market including Mindspeed’s acquisition of picoChip and
Huawei’s exit from the femtocell market suggest that the indoor small cell
market has been under some strain.

The growth of indoor small cell market is likely to pick
up from 2013 onwards, according to ABI Research. Some of this growth stems from
a refresh of inventory levels, with operators like AT&T, Vodafone,
Telefonica, Softbank and Sprint being at the forefront of driving shipments in
both enterprise and residential settings.

Airvana regains lead in femtocell market, ahead of Samsung

Telecom Lead recently reported that Airvana has regained
its number one position in femtocell equipment market in the first quarter of
2012. Airvana has overtaken Samsung to become the number one player. Airvana
grew thanks to strong shipments in N. America.

 

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