Global telecom equipment market to grow at a CAGR of 3.6 percent over the period 2010-2014

By Telecom Lead Team: According to Research and Markets, global telecom equipment
market will grow at a CAGR of 3.6 percent over the period 2010-2014.

Ericsson, Huawei, Nokia Siemens Networks, Alcatel-Lucent,
and ZTE are leading the market.

 The growth of this
market is mainly attributed to 3G and 4G rollouts that gather momentum
worldwide. There is also demand for Next Generation Network (NGN) equipment.
However, reduction in telecom equipment prices and security issues related to
telecom equipment manufactured in China could pose a challenge to the growth of
this market.

Energy consumption is one of the leading drivers of
operating expenses for both fixed and mobile telecom network operators.  Several developing telecom markets in the
world are challenged with limited access to electricity.

Another emerging trend is the interest among operators to
adopt corporate social responsibility initiatives with a goal of reducing their
networks’ carbon footprints. Also network infrastructure vendors are striving
to gain competitive advantage by reducing the power requirements of their

APAC will be a key driver for the growth of telecom
equipment market in the coming years, with India and China being the leaders in
the region. The two countries will account for the major sales of telecom
equipment accounting for a little less than 20 percent of the revenues generated
globally. On the other hand, the APAC region will account for almost one third
of the revenues generated globally.

Pacific to drive telecom equipment market growth through 2015

Recently Global Industry Analysts also noted Asia-Pacific is
expected to maintain its position as the leading market in the telecom
equipment industry through 2015, accounting for the highest capital
expenditure, mainly driven by the rapid migration from 2G to 3G and rising LTE

Global telecom equipment market is expected to be driven by
the increasing transition from copper wire to fiber optics, particularly in the
broadband segment and the deployment of LTE networks in many developing markets
of the world.

telecom equipment spending to grow 6.9 percent in 2012

Meanwhile Gartner forecast that worldwide telecom equipment
spending will total $475 billion, with revenue increasing 6.9 percent in 2012.
On the other hand, telecom services spending are projected at $1,740 billion
and will see a growth of 2.3 percent in 2012, according to the latest outlook
by Gartner.

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