Market Drivers for Urban Small Cells In a busy street, we use mobile devices to buy music or goods, find a cinema or directions or even photograph an item in a shop window and send the image to a friend. In public spaces like stadiums we all want to share the moment. AT&T network at the Super Bowl Data usage continues to surge at biggest sporting event of the year* Dallas Indianapolis 2011 New Orleans 2012 New York City 2013 2014 624GB = Total data usage equal to 1.8m social media posts with photos 388GB equal to 1.1m social media posts 215GB with photos 177GB equal to equal to 600k social media posts 500k social media posts with photos with photos Peak hour data traffic 30GB 41GB 4-5 PM EST before kickoff 78GB 5-6 PM EST before kickoff 103k 119GB 8-9 PM EST during halftime and the outage 68k 5-6 PM EST before kickoff 71k 85k * All numbers are approximate data values | © 2014 AT&T Intellectual Property. All rights reserved. Mobile data traffic by region [ GP per month ] CAGR 2012 - 2016 While projected mobile data growth rates vary significantly by region, they are high everywhere. 66% Middle East Africa Latin America CIS Europe North America 78% Asia Pacific 2010 2011 2012 2013 2014 2015 2016 2017 [ CAGR 2012 - 2017 ] 74% 79% 67% 57% 54% 56% 76% Middle East Africa Latin America CIS Europe North America Asia Pacific Source: Cisco VNI, 2013, A.T. Kearney Analysis 2014 Operator Survey Small Cell Forum’s urban small cell market drivers work [www.scf.io/docs/086] includes a 2014 global survey of operators on their main drivers to deploy urban small cells. Top four drivers to deploy urban small cells 70 1 2 3 4 % of respondents 60 50 40 30 20 10 Redu ced n etwo r k TC O Opp spect or tunity t o r um (eg h harness igh fr n eque ew ncy) Supp or t lo catio n aw are s er vic es i-Fi rate W integ ity to or tun Opp Sup custo por t per s mer respo onalised nse a nd oved cove rage Impr Redu ced data cost of delive ry acity in cap holes Filling Supp or t n and r ew applic a even ue st tions ream s Over all ca pacit y incr ease 0 (Source: survey of tier one and two mobile operators worldwide, January 2014. Top four drivers ranked in order, with ‘1’ being most significant) Increasing overall capacity is widely agreed to be the principle driver. Financial drivers of reducing cost of data and supporting new revenue generating services also featured highly, as did both extending coverage depth, and filling holes in capacity. Our survey also asked operators to identify perceived barriers to urban small cell deployment. Top three barriers to deploy urban small cells 70 1 2 3 50 40 30 20 10 e Interf erenc ent Cost of eq uipm r king terwo wor k in Macr o net Powe r av ailabi Site a lity an cquis d cos t ition osts Site c Netw or k and mprovision anage ing ment n tizatio Mone ring o Secu Back haul av ptima ailabi l site lity an locat d cos ions t 0 (Source: survey of tier one and two mobile operators worldwide, January 2014. Top four drivers ranked in order, with ‘1’ being most significant) % of respondents 60 Backhaul, optimal site acquisition, monetization and network management were identified as concerns. All these issues are tackled in Small Cell Forum’s Release Three: Urban foundations. For example: SMALL CELL FORU M SMALL CELL FORUM RELEASE Three scf.io/ RELEASE Three SMALL CELL FORUM scf.io/ DOCUMENT 062.03.01 DOCUMENT 100.03.03 ap Release structure and roadm How the Release program works scf.io/ RELEASE Three scf.io/ DOCUMENT 095.03.01 The business cas e for enterprise small cells DOCUMENT Backhaul for Urban Small Cells A topic brief December 2013 096.03.01 Small Deployment Issues for Urban Cells February 2014 February 2014 February 2014 Commissioned by www.scf.io/ SMALL CELL FORUM RELEASE Three www.smallcellforum.org Small Cell Forum www.scf.io/ www.smallcellforum.or g www.scf.io/ www.smallcellforum.org www.scf.io/ www.smallcellforum.org www.scf.io/docs/100 | www.scf.io/docs/062 | www.scf.io/docs/095 | www.scf.io/docs/096 Small Cell Forum Release Three: Establishes a strong business case for urban small cells, even when deployed alongside macro and additional spectrum. Clarifies drivers for the deployment of urban small cells. Identifies deployment barriers and shows how they can be addressed. Shows how urban small cells are an essential component of future networks, delivering cost-effective capacity and deep in building coverage for public places. Download all Release Three documents: scf.io Contact us EMAIL | [email protected] TEL | +44 (0)845 644 5823 WEB | www.smallcellforum.org Follow us on TWITTER |@SmallCell_Forum FACEBOOK | facebook.com/smallcellforum LINKEDIN |linkedin.com/company/small-cell-forum