Telecom capex increases in 2012 have been mainly driven by video and wireless infrastructure investments. Global service provider revenue is on track to reach USD 1.9 trillion in 2012, up 4 percent from 2011, according to a report from Infonetics Research.
While incumbent carrier capex on the whole is flat to slightly down this year, independent wireless operators, competitive operators, and cable operators are increasing capex, led by the independent wireless operators, increasing capex 12 perncet this year, the study shows.
Spending on every type of telecom equipment except optical and TDM voice will be up this year. The major areas of investment through 2015 include fiber-based wireline broadband, 2G mobile network capacity expansion, 2G migration to 3G, and migration to LTE projects.
Asia Pacific is forecast to account for about 1/3 of global service provider revenue by 2016, propelled by China Mobile. Wireless pure-play operators will account for nearly 1/3 of all telecom capex by 2016, driven by 3G and LTE rollouts in China, India, and Africa.
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