The move to packet-based backhaul is inevitable. The big decisions are the choice of physical medium and of whether to buy or lease. Backhaul costs are set to increase ten-fold by 2015, so mistakes will be very costly.
Backhaul costs are forecast to increase by a factor of ten by 2015, which could significantly reduce operators’ profit margins. Furthermore, capacity constraints in the backhaul network are threatening to constrict the flow of data to and from the customer.
The combined effect of rising costs and capacity contraints is driving operators to review their backhaul strategies and equipment suppliers to develop transmission network technologies that address these issues. Operator strategies are now focused on simultaneously enhancing capacity and reducing costs. In most cases, this will mean deploying packet backhaul technologies and increasing the physical infrastructure or leasing more lines.
This report offers a unique view of this issue by considering how regional variations influence operators' backhaul strategies.
The cost of capacity: mobile backhaul worldwide answers your key questions:
- Why is the move to packet backhaul necessary?
- Which is cheapest: microwave- or fibre-based solutions?
- Which is cheapest: leased or self-build approaches?
- What are the regional variations in backhaul solutions?