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IP-based services to drive LTE adoption: SAP

CBR Staff Writer Published 08 March 2013

Lack of compatible devices have been an issue for mobile operators planning to launch LTE offerings.

Improved data speed for customers and new IP-based services' offerings are expected to be main drivers for operators launching LTE services in 2013, according to a survey carried out by SAP.

SAP's GSMA Mobile World Congress survey revealed that more than half of survey respondents believe new offerings, including rich communication services (RCS) 4G/LTE, as well as rise in data usage by smartphone users would drive operator revenue.

SAP Global Mobile Marketing Programs lead, Diarmuid Mallon, said that leaders across the mobile industry believe that new IP-based services will be key driver for LTE adoption.

"The survey results provide a roadmap for operators looking to expand their customer service portfolio through high speed 4G LTE networks," Mallon said.

About one-third of respondents based in Europe and North America said that offering new services including video broadcast and movies on demand to users via a 4G network would be a major revenue generator in 2013.

However, report revealed that about 40% of Asia-based respondents reported much greater significance in rise in data usage by smartphone users.

Additionally, SAP report revealed that the lack of compatible devices have been an issue for mobile operators planning to launch LTE offerings.

26% of respondents reported that device incompatibility has been a major obstacle, while 20% pointed that the deficiency of support for roaming would be a major issue.

Only 19% of the surveyed cited lack of consumer awareness as the biggest barrier for the implementation of LTE.

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