Successful Lte Strategies White Paper 140212072329 Phpapp02

8/12/2019 Successful Lte Strategies White Paper 140212072329 Phpapp02

1/12

White paper

Successful LTE strategies

How to use LTE to build a compelling

broadband strategy

www.informatandm.com


2/12 2012 Informa UK Ltd. All rights reserved. www.informatandm.com2

Contents

Introduction .................................................3

Market status ..............................................4

Different LTE operator types ..................5

Aggressive LTE operators ......................7

Cautious LTE operators .........................8

Market development ...................................9

LTE subscription forecasts .....................9

LTE voice ................................................9

Recommendations .......................................11

Successful LTE strategies: How to useLTE to build a compelling broadband

strategyPaul Lambert, Senior Analyst

What are the ingredients of a successful LTE launch?

There are already examples of best practice that have helped

to underpin hugely successful LTE launches by operators in

markets such as the US, Japan and South Korea. We have

meticulously researched and analysed the go-to-market strategy

of these leading operators and every other live LTE deployment

to build a comprehensive and unrivalled base of knowledge.

Who are the most successful LTE operators to date, and why?

How have they positioned LTE to drive customer uptake? How

are operators effectively positioning LTE? How can operators

maximize the value of their LTE investments? What pricing

and value propositions are working in the market and which

arent? How have different operator strategies influenced LTE

subscription uptake?

Our latest LTE report is based on in-depth and extensive

interviews with LTE operators as well as a full assessment of thelaunch strategies of all 52 (as at April 24, 2012) live LTE networks

globally. In conjunction with ITMs industry knowledge, the report

distils the lessons learned to date by LTE operators to arrive

at concrete examples of best practice that have proved to be

successful with end users.

The report provides clear and actionable conclusions of what has

worked for the early LTE launches, ones that are applicable to

all operators looking to launch LTE, and which will help them to

avoid replicating the mis-steps some LTE operators have made

and are making.

Informa UK Limited 2012. All rights reserved.

The contents of this publication are protected by international copyright laws,database rights and other intellectual property rights. The owner of these rightsis Informa UK Limited, our affiliates or other third party licensors. All product andcompany names and logos contained within or appearing on this publication are thetrade marks, service marks or trading names of their respective owners, includingInforma UK Limited. This publication may not be:-

(a) copied or reproduced; or

(b) lent, resold, hired out or otherwise circulated in any way or form without theprior permission of Informa UK Limited.

Whilst reasonable efforts have been made to ensure that the information and contentof this publication was correct as at the date of first publication, neither Informa UKLimited nor any person engaged or employed by Informa UK Limited accepts anyliability for any errors, omissions or other inaccuracies.

Readers should independently verify any facts and figures as no liability can beaccepted in this regard - readers assume full responsibility and risk accordingly fortheir use of such information and content.

Any views and/or opinions expressed in this publication by individual authors orcontributors are their personal views and/or opinions and do not necessarily reflectthe views and/or opinions of Informa UK Limited.

This is an extract fromSuccessful LTEStrategiesreport

To find out more visit:www.informatandm.com/successfulLTE

Contact:Giovanni [email protected]+44 (20) 701 75296


3/12 2012 Informa UK Ltd. All rights reserved. www.informatandm.com 3

LTE launches are accelerating, but not all operators have the right business model2G-to-3G migration offered the promise of a whole new business model from voice and SMS services to the mobile

Internet and rich content. Unlike 2G-to-3G, 3G-to-4G is evolutionary. However, the advantages that 4G/ LTE offers

much greater capacity to offer DSL-like services on the move, not to mention the prospect of the "Internet of things"

are likely to turn out to be more revolutionary over time than even the migration from 2G-to-3G. This is because a

combination of 3G and 4G, in tandem with the boom in smartphone adoption and use, will bring about a major leap

in the number of people using mobile broadband, the way they use it, and the amount they use it.

According to the latest survey conducted by Informa Telecoms & Media to gauge the industrys perceptions on LTE,

the majority see a clear need to launch LTE networks now, with two-thirds of respondents saying the time is right

to launch LTE in their market today. However, while there is broad agreement on the need to launch LTE, there are

diverse opinions on both why operators need to launch LTE now and also the reasons for doing so.

While some operators are looking to LTE primarily to alleviate capacity from stressed legacy networks, others are

looking to add value and increase brand value through technology leadership and enhancing the overallmobile

broadband proposition. And, while some operators are looking to LTE generate additional revenues, it is surprising

that the majority are not expecting LTE to create new revenue streams. This raises a fundamental question: If LTE

doesnt create new revenue streams, how can operators make a return on their LTE investments?

Our research into the LTE market explores the core business and strategic questions operators need to answer

before launching services:

How can operators maximize the value of their LTE investments?

How can operators effectively position LTE? What LTE pricing and value propositions are working in the market and which arent?

To approach these core issues, weve sought to answer these three key questions:

Which are the most successful LTE operators to date, and why?

How have they positioned LTE to drive customer uptake?

How have different operator strategies influenced LTE subscription uptake?

In this White Paper, weve approached these topics and questions by drawing on our recently-published research

into the LTE business case. During our research, we found that operators that have launched LTE to date fall into

two groups those that have been successful in driving uptake of services and those who havent. Or, put another

way, some operators have found what is for them a successful LTE business model while others have yet to do so.

It is crucial that operators make a return on their LTE investments and, with the right business model, the evidence

to date shows that they will such is the appetite among end users, if stimulated in the right way, for faster and

better mobile internet access. I hope that this White Paper provides both a valuable insight into the business models

we have seen to be a solid foundation for profitable LTE strategies, as well as an introduction to our latest research.

Introduction



Market status

The market push by the few earlyand aggressive LTE launchers

obscures market reality, with the

majority of operators cautious on

subscriber uptake.

While LTE is the fastest-growing

cellular technology in history in terms

of subscription-number growth, it

is still very much a new technology

both in terms of the total number of

subscriptions and also the maturityof the service proposition. With a few

notable exceptions in the US, Japan

and South Korea, a combination of

factors most notably the lack of a

clear value proposition for LTE, high

service prices, a limited selection of

LTE smartphones and limited network

coverage has led to the vast majority

of operators moving very cautiously

on LTE subscription uptake. LTE

has been deployed initially in urbanhotspots, with only three rollouts to

date focused on rural areas first, all in

Germany and as a result of regulatory

requirements.

A snapshot of the market at this early

stage around 27 months after the

first LTE network went live shows

that 57 networks have been launched

in 30 countries (see fig. 1).

In terms of subscription uptake,

there are two clear categories of LTE

operators: those that have pushed the

technology aggressively the clear

minority; and those that havent. The

US operators Verizon Wireless and

AT&T, NTT DoCoMo in Japan and

SKT and LGU+ in South Korea have

all pursued LTE subscription growth

aggressively.

However, the majority of operators

have seen very weak LTE subscription

growth, for the reasons already

Fig. 1: Global, LTE operators, by region and country, Apr-12Country Operator Technology Start date

Asia Pacific

Australia Telstra LTE1800 Sep-11

Hong Kong CSL New World LTE1800/2600 May-11

CSL New World LTE2600 May-11

India Bharti LTE2300 Apr-12

Japan eAccess LTE1800 Mar-12

NTT DoCoMo LTE2100 Dec-10

Softbank Mobile LTE2500 Feb-12

South Korea KT Corp LTE1800 Jan-12

LG U+ LTE800 Jul-11

SK Telecom LTE800 Jul-11

MobileOne LTE1800/2600 Jun-11

Singapore SingTel Mobile LTE1800/2600 Dec-11

Eastern Europe

Armenia K-Telecom LTE2600 Dec-11

Belarus Yota Bel LTE2600 Dec-11

Estonia EMT Estonia LTE1800/2600 Jan-12

Hungary T-Mobile Hungary LTE1800 Jan-12

Latvia LMT LTE1800 Jun-11

Lithuania Omnitel LTE1800 May-11

Poland Centernet LTE1800 Sep-10

Mobyland LTE1800 Sep-10

Polkomtel LTE1800 Nov-11

Russia Yota LTE2600 Dec-11

Western Europe

Austria Hutchison 3G Austria LTE2600 Nov-11

mobilkom Austria LTE2600 Oct-10

T-Mobile Austria LTE2600 Jul-11

Denmark TDC Mobil LTE2600 Oct-11

Telia Denmark LTE2600 Dec-10

Finland DNA Finland LTE2600 Dec-11

TeliaSonera Finland LTE2600 Nov-10

Germany O2 Germany LTE2600 Jul-11

Telekom LTE2600 Apr-11

Vodafone D2 LTE2600 Dec-10

Norway Netcom LTE2600 Dec-09

Portugal TMN LTE2600 Mar-12

Vodafone Portugal LTE2600 Feb-12

Note: Figures refer to quarter-end.Source: Informa Telecoms & Media



stated. Even the early running that theNordic operators made on launching

LTE hasnt resulted in meaningful LTE

subscription uptake (see fig. 2).

The number of LTE launches and

the LTE subscription numbers are

poised to accelerate dramatically.

The responses to Informa Telecoms

& Medias 2012 LTE Survey showed

that the largest proportion of

operators, 34.1%, plan to launch LTEservices this year, and a considerable

number, 25.4%, are planning to

launch in 2013 (see fig. 3).

LTE rollouts to date highlight theproblem of spectrum fragmentation

between regions and within

regions between countries. While

the majority of LTE rollouts are

in the 2600MHz band (see fig. 4),

North America and Asia Pacific are

deploying LTE in their own bands,

Europe is focused on 800MHz and

2600 MHz, with 1800MHz rollouts

to follow. While the vast majority

of LTE rollouts to date have beenFDD-based, LTE rollouts using TDD

spectrum have taken place in Poland

and Saudi Arabia, while China has

a significant commitment to the

technology.

According to the survey, the 2600MHzband will continue to dominate LTE

launches, with 1800MHz also set to

remain prevalent, although LTE band

fragmentation is also reflected in the

survey responses, with the majority of

available bands seeing some operator

commitment to a greater or lesser

degree (see fig. 5).

Different LTE operator types

The aggressive early adopters haveused LTE to reinforce existing market

positioning, typically to improve

perceptions about the quality of their

networks and the performance they

offer.

Its crucial for operators to adopt

the right approach to launching LTE

as soon as possible, given the broad

commitment to roll out networks

this year and next. This is especiallythe case given that the majority of

operators believe there is a market

for launching LTE now (see fig. 6).

What are the key drivers for operators

launching LTE now? The majority

of operators, 35.1%, are looking to

LTE to create new revenue streams,

according to Informas LTE survey.

However, many operators are also

launching LTE to relieve capacity ontheir existing networks, as well as to

build brand value through technology

leadership (see fig. 7).

On the one hand, LTE is a new

technology offering operators

the opportunity to launch new

broadband services in new ways,

potentially generating new revenues;

on the other hand, it is simply an

extension to the strategies operatorsare already pursuing with 3G

technology to drive uptake of their

data plans.

Fig. 1: Global, LTE operators, by region and country, Apr-12 (continued)

Country Operator Technology Start date

Western Europe (continued)

Sweden HI3G LTE800/900/2600 Dec-11

Tele2 Sweden LTE800/900/2600 Nov-10

Telenor Sweden LTE800/900/2600 Nov-10

TeliaSonera Sweden LTE800/900/2600 Dec-09

North America

Canada Bell Wireless Affiliates LTE2100 (IV) Sep-11

Rogers Wireless LTE2100 (IV) Jul-11

Telus Mobility LTE2100 (IV) Feb-12

US AT&T Mobility USA LTE700/2100 (IV) Sep-11

Leap Wireless LTE1900/2100 (IV) Dec-11

Metro PCS LTE1900/2100 (IV) Sep-10

US Cellular LTE700/2100 (IV) Mar-12

Verizon Wireless LTE700/2100 (IV) Dec-10

Latin America

Brazil Sky Brazil LTE2500 Dec-11

Puerto Rico America Movil Puerto Rico LTE700 Feb-12

AT&T Mobility Puerto Rico LTE700/2100 (IV) Nov-11

Open Mobile LTE700 Apr-12

Uruguay ANCEL LTE Dec-11

Middle East

Kuwait Viva Kuwait LTE Jan-13

Saudi Arabia Saudi Telecom Company LTE2300 Sep-11

SMTC Saudi Arabia LTE1800 Sep-11

UAE Etisalat UAE LTE2600 Dec-11

Africa

Angola Movicel LTE1800 Apr-12




Fig. 2: Global, LTE subscriptions (000s), by country and operator, 1Q10-1Q12

Country Operator 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 4Q11 1Q12

Asia Pacific

Australia Telstra 100.0 248.5

Hong Kong CSL New World 0.1 0.8 1.5 2.2

Japan NTT DoCoMo 1.2 25.6 121.4 388.6 1,139.4 1,913.2

South Korea KT Corp 110.0

LG U+ 230.0 560.0 895.7

SK Telecom 200.0 700.0 1,119.7

Singapore MobileOne 0.8 0.9 1.1

SingTel Mobile 0.1 0.4

Eastern Europe

Armenia K-Telecom 0.5 0.6

Belarus Yota Bel 0.1 0.2

Estonia EMT Estonia 0.2 0.3 0.6 0.8 0.8

Latvia LMT 0.5 1.2 2.0 2.2

Lithuania Omnitel 0.8 1.7 2.6 2.9

Poland Polkomtel 10.0 13.0

Russia Yota 200.0 275.0

Western Europe

Austria Hutchison 3G 5.0 20.0

mobilkom 0.2 0.5 0.9 2.0 5.0 6.2

T-Mobile 2.0 6.0 9.2

Denmark TDC Mobil 1.0 2.1

Telia 0.5 1.3 2.0 4.0 6.0 10.0

Finland DNA 1.0 1.3

TeliaSonera 0.5 1.5 2.5 3.9 4.6 5.1

Germany O2 1.1 3.2 5.1

Telekom 15.0 26.0 47.0 64.2

Vodafone D2 0.1 9.0 27.0 52.0 88.0 110.0

Norway Netcom 1.0 1.1 1.5 2.5 3.1 3.7 4.1 4.9 5.2

Sweden Tele2 1.0 1.5 2.3 3.2 5.0 10.0

Telenor 0.7 1.5 2.1 3.0 7.0 10.0

TeliaSonera 0.8 1.0 1.8 2.5 3.5 4.3 10.0 14.0 20.0

North America

Canada BWA 2.0 50.0 98.0

Rogers 6.0 20.0 30.8

Telus 6.0

US AT&T Mobility 25.0 747.0 1,469.0

Leap Wireless 1.0 1.9

Metro PCS 20.0 150.0 285.7 357.1 428.6 500.0 593.5

US Cellular 2.0

Verizon 65.0 504.2 1,705.8 3,102.3 5,330.3 8,004.6




The ways that the early-launchers

of LTE are approaching LTE reflects

this dichotomy:

Some are positioning LTE in new

ways, mainly as a direct substitute

or replacement for fixed broadband

services. This is happening in rural

areas in particular when regulatory

requirements have demanded it,

most notably in Germany.

The majority are positioning LTEas an extension of their 3G mobile

broadband proposition, one that

many, but not all, are charging a

premium for.

Operators that are positioning LTE

as a stand-alone premium mobile

broadband service are using

enhanced speed as the main, if not

sole, benefit of paying the extra

monthly charges being made to

access the network.

Aggressive LTE operators

For the two main US mobile

operators, Verizon and AT&T, the

decision to move so aggressively

on LTE was, and still is, a function

of the particular characteristics

of that market the early award

of spectrum suitable for LTE

deployments, combined with

stressed legacy networks.

Verizon Wireless was the first

operator in the US to launch LTE,

in December 2010. It was veryaggressive in terms of both build-out

and subscriber acquisition targets

because it needed to transition away

from the dwindling CDMA ecosystemto a global standard while at the

same time ensuring that it made its

network investments in a technology

2016+: 4.0%

2015: 8.1%

2014: 17.3%

2013: 25.4%

2012: 34.1%

2011: 6.4%

2010: 4.0%

2009: 0.6%

Fig. 3: When are you planning to launch commercial services using LTE?(If you have already launched, please state the launch year)

n=336

Source: Informa Telecoms & Media

Numberofoperators*

0

5

10

15

20

LTE8

00

LTE8

00/900

/260

0

LTE7

00

LTE7

00/210

0(IV)

LTE2

600

LTE2

500

LTE2

300

LTE2

100

LTE1

900/21

00(IV)

LTE1

800

LTE1

800/26

00

Fig. 4: Global, LTE launches by technology and band, 1Q12

*Where available


Fig. 2: Global, LTE subscriptions (000s), by country and operator, 1Q10-1Q12 (continued)

Country Operator 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 4Q11 1Q12

Latin America

Puerto Rico America Movil 0.4

AT&T Mobilit y 0.6 1.2

Uruguay ANCEL 0.6 1.3

Middle East

Saudi Arabia STC 1.0 5.0 9.0

SMTC 0.5 2.0 3.5

UAE Etisalat 3.0 5.5

Global total 1.8 2.1 23.3 224.4 837.6 2,246.0 4,500.6 9,575.1 15,089.8




with a stronger future than 1xEV-DO.

To this end, the operator is trying

to migrate its 1xEV-DO subscribers

to its LTE network to minimizethe amount of investment it needs

to make on its 1xEV-DO network,

and aims to have LTE coverage

comparable with 3G by mid-2013.

AT&T, meanwhile, needed to relieve

the much-publicized strain on its

3G network, which was particularly

acute in key markets such asNew York City and San Francisco.

Equally as important, AT&T had

to ensure that its main rival didnt

create an uncatchable lead in the

countrys nascent LTE market,

demonstrating that, once a strong

competitor launches LTE, operators

are pressured to respond to remaincompetitive.

Japans NTT DoCoMo is pushing

LTE aggressively to capture the

high ground with early adopters

and enterprise users. Based on the

advantages it derived from launching

3G early, DoCoMo perceives that

there are clear benefits in being first

to market with a new technology

in its extremely tech-savvy homemarket. DoCoMo had 2 million LTE

users at end-March, surpassing

its end-March annual target of 1.3

million, meaning that the service

is beginning to move out of the

early-adopter segment and into the

broader market.

Cautious LTE operators

Operators that havent been

successful in signing up users cite acombination of three main factors:

Although LTE dongles are in the

market, the fact that the fast-

increasing majority of mobile data

usage is via smartphones rather

than dongles has been a lag on

the uptake of services.

There is a perceived lack of a

strong need for mobile broadband

speeds faster than 3G offers, in

tandem with a lack of a clearvalue proposition for LTE that is

distinct from 3G.

Operators with robust 3G

networks dont face capacity

constraints compelling them

to migrate subscribers to LTE

quickly.

Numberofo

perators*

0

10

20

30

40

50

Othe

r

(plea

sespecify

)

2600MH

z

2300MH

z

2100MH

z(AW

S)

2100MH

z

1900MH

z

1800MH

z

1700MH

z

1500MH

z

1400MH

z

900M

Hz

850M

Hz

800M

Hz

700M

Hz

450M

Hz

Fig. 5: Which spectrum bands do you intend to use to deploy LTE? (multiplechoice)

n= 336


No

29.2%

Yes

70.8%

Fig. 6: Do you believe there is a viable business case to launch LTE in yourmarket today?

n= 341


Other (please specify)3.0%

To enter mobile datamarket for the first time

7.1%

Build brand value throughtechnology leadership

31.0%

Create new revenue

streams based on LTE35.1%

Current networks do notoffer sufficient capacity23.8%

Fig. 7: What is your primary motivation for deploying LTE?

n=341




With the ongoing increase inthe amount of data that existing

mobile users consume, as well as

the accelerating penetration of

mobile broadband into new user

groups, operators will increasingly

differentiate themselves on the

quality of their mobile broadband

experience.

Many new LTE networks will be

launched in 2012 in tandem withbroadly conservative approaches

to positioning and pricing services.

Greater innovation, albeit very

gradual, will be seen in the market in

2013 and beyond. This innovation will

be driven by the availability of a wider

range of LTE devices running different

operating systems (iOS, Android and

Windows) in conjunction with more

widespread rollouts of LTE networks,

as well as the broad deploymentand uptake of an industry-standard

approach to voice over LTE (VoLTE).

Smartphones offering a compelling

user experience drove mass-market

uptake of 3G subscriptions and

LTE will be no different. Again, just

like the iPhone kick-started mass-

market mobile broadband use, LTE

smartphones, in particular the LTE

iPhone expected in 3Q12, will havea significant positive impact on LTE

subscription uptake in markets where

the device works on those networks.

LTE subscription forecasts

Informa Telecoms & Media forecasts

indicate that Asia Pacific will be

the region with the most LTE

subscriptions from the end of 2013

onwards, driven by expected large-

scale rollouts in China. The globaltotal is forecast to reach 609.1 million

by the end of 2016. LTE subscriptions

will see the highest year-on-year

growth between 2012 and 2013, as

operators worldwide, in particular in

Europe and Asia Pacific, launch LTE

networks (see fig. 8).

LTE voice

Although an industry-wide approach

has been agreed for VoLTE, thereare no VoLTE-enabled devices in the

market. Therefore, operators will have

to take a phased approach to LTE

voice. Most operators have launched

LTE with circuit-switched fallback

(CSFB) for voice before transitioning

to VoLTE in the longer term once the

core network elements have been

deployed and a wider range of devices

are available. Approaches to CSFB

vary and operators need to decidebetween a handset and a network-

based solution.

Regional US mobile operator

MetroPCS was the first operator to

launch LTE in the US, in 3Q10. It says

it will be the first operator in the

world to offer VoLTE, in 3Q12, with a

device supplied by Samsung in the

first instance. MetroPCS wants to shift

voice traffic from its CDMA network soit can re-use that spectrum for LTE,

while Verizon Wireless is set to launch

VoLTE services by the end of this year.

How operators approach VoLTE

will be a key factor in determining

the value of their service offerings

in general and LTE services in

particular. According to Informas

LTE survey, IMS voice will be the

main approach to VoLTE (see fig. 9).However, LTE networks will give rise

to more competition on voice than at

present because consumers will have

more choice on how they make voice

calls. This means that operators will

have to ensure their voice offerings

remain competitive in terms of pricing

and features as OTT players launch

increasingly innovative and compelling

offers.

Market development

0

100

200

300

400

500

600

700

201620152014201320122011

Eastern EuropeWestern EuropeAsia PacificLatin AmericaNorth America AfricaMiddle East

Subscriptions(mil.)

Fig. 8: Global, LTE subscriptions by region, 2011-2016

Note: Figures refer to year-end




At the moment, LTE operators are

continuing to treat voice and data

as separate services, but, as voice

becomes part of the LTE valueproposition, there will be more

innovation on bundling voice and

data into single tariffs. Given that

many operators already bundle large

numbers of voice minutes with data

allowances into 3G subscriptions, this

strategy is expected to develop in the

LTE domain, with increasing numbers

of minutes bundled into subscriptions

that cover voice and data access.

Other (please specify)3.4%

Dual radio (e.g., Verizons model:LTE for data, CDMA for voice)

12.4%

Circuit-switch fallback(CSFB)

11.0%

Operator-managedOTT VoIP

13.5%

Unmanaged OTT VoIP(e.g., Skype, Viber, etc)

11.7%

IMS-based VoIP(OneVoice/VoLTE)47.9%

Fig. 9: What do you think will be the primary solution for voice over LTE?




Define the proposition: Is LTE another part of the mobile broadband jigsaw or anentirely new picture?Operators need to decide if they are going to position LTE as just another part of the mobile broadband jigsaw or

position the technology as offering significant benefits over 3G. If the latter, then evidence from operators that have

positioned LTE as a new proposition compared with 3G suggests that operators need to rely on more than just

speed to make a success of this strategy. Many operators have yet to articulate the LTE consumer value proposition

effectively, and those that havent must work to convey the real value of LTE to customers. Key questions operators

need to address are: Why should consumers sign up to LTE? What difference does speed make to them?

If operators dont charge a premium for LTE, they can still make a return oninvestment by enhancing the overall mobile broadband proposition relative to rivals.

Old principles hold absolutely with the advent of LTE. The operator with the best network and the mostcompetitively-priced services that offer the best perceived value will still win on ARPU and churn. LTE should be

seen as a way to reinforce this fact rather than as a way to generate new revenues.

Build a story out of LTE dont just sell a technology at a competitive priceOperators are still positioning LTE as a technology rather than a service that can provide clear value benefits over

3G. They should attempt to clearly communicate the advantages of LTE over 3G in terms of the overall quality

of experience. The entire retail chain should be involved in this, including giving online demos of the benefits of

LTE over 3G in retail stores. Take customers on a journey of continually and incrementally improving the mobile

broadband experience.

Be ready to respond to first moversOperators need to be prepared for launch so that they are in a position to react quickly if a main rival launches.However, operators should also resist launching simply because the competition has the decision must be based

on a sound business case and a thorough examination of the risks of not launching. How much advantage can an

operator gain by waiting to launch while it expands its LTE coverage and hones its service proposition?

Offer a compelling user experience at low price points to drive uptake and furtherusage over timeUsers will consume more data over LTE if the experience is perceptibly better than 3G and so are more likely to

be prepared to pay to use the service more. Offering an LTE experience with small amounts of data per month

(e.g., sub 1GB) is a sound way to encourage the uptake of the service and, once the customer is signed up, to then

encourage a greater usage of it, rather than expecting customers to jump to significantly higher speeds and dataallowances than they are used to on 3G.

Recommendations


12/12

connect

Join us on LinkedIn:www.informatm.com/linkedin

24/7 access to business-criticalinsight, analysis and datawww.informatandm.com/ic

Follow us on Twitter:www.twitter.com/informatm

Cutting edge information on all fixedline, cable and broadband marketswww.informatandm.com/wbis

Email us:[email protected]

Keeping the worlds leading cellularorganisations better informedwww.informatandm.com/wcis

Subscribe to our Connect emailwww.informatm.com/connect

ABOUT INFORMA TELECOMS & MEDIA

Informa Telecoms & Media is the leading provider of business intelligence and strategic marketing solutions to

global telecoms and media markets.Driven by constant first-hand contact with the industry, our 65 analysts and researchers produce a range of

intelligence services including news and analytical products, in-depth market reports and datasets focused on

technology, strategy and content.

For more details on Informa Telecoms & Media and how we can help your company identify future

trends and opportunities, please contact:

Giovanni Cerrini

Informa Telecoms & Media

[email protected]

+44 (20) 701 75296

Date post:	03-Jun-2018
Category:	Documents
Upload:	mascalzone
View:	218 times
Download:	0 times

Successful Lte Strategies White Paper 140212072329 Phpapp02

Documents