Huawei is leading the mobile broadband modems — used in non-smartphone mobile computers, tablets, and CE devices – market in 2014.

The Chinese telecom network vendor has 62 percent share in the world’s modem market in 2014 against 62 percent in 2013. Its rival ZTE is in the second position with 26 percent share.

ABI Research said more than 53 million modems and mobile hotspot routers shipped in 2014, valued at $4.1 billion in end-user revenues.

Despite the growth in local high-speed LTE mobile network access, fewer PC owners are buying aftermarket USB modems and deciding to stick with Wi-Fi connectivity. Buyers are holding off Notebook PC upgrades and replacements for budgetary reasons as well as considering what type of solution is needed going forward.

“The vendor landscape changed significantly in 2014 with several suppliers exiting the computing modem business, changing strategic focus to exclusively M2M / IoT, or being acquired,” said Jeff Orr, senior practice director at ABI Research.

More than 53 percent of shipments supported up to the HSPA+ air interface protocol, while nearly 11 percent included support for the 4G LTE protocol.

16 percent modem revenue growth will be on the back of embedded modem module adoption in ultraportable computers and tablets in 2015.

“OEMs are seeing greater demand for mobile broadband in tablets as well as ultraportable PCs. The plan could be foiled, however, if pricey mobile broadband service contracts deter potential buyers,” adds Orr.

If a greater percentage of tablet makers switch from using a self-contained modem module to design-in chipsets as happened with Apple’s iPad family, future module business will be jeopardized.

Baburajan K
[email protected]