Will US 4G LTE traffic increase rapidly into China?

According to the market research company ABI Research report, in 2012, total mobile data traffic reached 13,412 gigabytes, an annual increase of 69%. Among them, 3G data traffic increased by 130% year-on-year, accounting for 46% of the overall traffic. In 2013, 4G LTE traffic growth accelerated, and it is expected that by the end of the year, 3G traffic will increase by 99% year-on-year and 4G LTE traffic will increase by 207%.

Marina Lu, research assistant at ABI Research, pointed out: "In mature markets, 4G is rapidly gaining popularity. For example, a report by Verizon, a US wireless communications company, shows that 50% of its data traffic comes from 4G LTE.

The main driving force for the surge in mobile data traffic is the APP of smartphones, including the traffic generated during download and the greater traffic consumption generated during use. In 2012, the number of smartphone APP downloads reached 36.2 billion, an increase of 88% compared with 2011. The number of smartphone APP downloads in the Asia-Pacific region exceeded that of North America; Asia-Pacific accounted for 39% of the overall market, and North America only 25 %. Last year, about 51% of mobile data traffic came from IP / web browsing. However, it is worth noting that ABI Research predicts that by 2018, larger screen mobile devices and 4G data transmission rates will promote mobile video data streaming / downloading as the main source of mobile data traffic, accounting for up to 56% of the overall market %.

Although operators can increase charges from the traffic brought by smartphone apps, more and more OTT instant messaging and VoIP services are threatening operators' core revenue sources: SMS and voice service models. However, operators are trying to adjust themselves in order to benefit more from mobile data traffic growth.

Jake Saunders, vice president of forecasting at ABI Research, said: "We found that emerging enterprise-level mobile apps have great growth potential. American mobile operator AT Trusts uses mobile-centric authentication to make them confidential and secure Mobile medical services and improved support and efficiency after rehabilitation. "

It is predicted that with the further clarification of the issuance of LTE licenses in China, the LTE chip market will gradually increase in volume next year, optimistic about the future overall performance of LTE in the Chinese market.

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