LTE-TDD has lower cost of ownership than LTE-FDD - study

Tuesday 24 September 2013 | 19:31 CET | News

LTE-TDD will go mainstream in 2014, and it is not just about China Mobile’s recently announced commitment to spend USD 3.3 billion on rolling out 207,000 LTE-TDD base stations, according to a new report from ABI Research. In the US, Clearwire is expected to have rolled out 5,000 LTE-TDD base stations which will play a complementary role in Sprint’s overall LTE service plans. Worldwide, there are 60 LTE-TDD deployments, of which 21 have commercially launched.

As a result of this ramp up in LTE-TDD deployments, pops coverage has surpassed 18.5 percent of the population by September this year and is expected top 49 percent by 2018.  The report also shows that Keynote LTE-TDD commercial services are taking shape in Japan (SoftBank), India (Airtel), Australia (Optus) etc.

The study further shows that one of the key strengths of LTE-TDD is the cost of spectrum issued, which has been 44 percent cheaper than LTE-FDD spectrum. Due to significant contract awards in China, USA, Russia, and Japan, cost of LTE-TDD equipment has effectively reached parity with LTE-FDD equipment. For a stand-alone LTE-TDD vs. LTE-FDD network, total cost of ownership is 13 percent lower for a LTE-TDD network. In terms of backhaul, LTE-TDD can provide a 33 percent saving over point-to-point microwave services and a 43 percent saving over fiber, the research indicates.  

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