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October 19, 2012
Huawei Holds Major Share in Broadband Modem Market
By Carolyn J Dawson, TMCnet Contributor
ABI Research (News - Alert), a premier market intelligence organization, recently released an analytical report that studied broadband modems. The number of USB modems being shipped is still showing a downward trend despite the increasing number of mobile broadband modems used in moveable and mobile computing and the launch of 4G networks.
According to ABI Research, the first half of 2012 witnessed shipping of nearly 49 million mobile broadband modems in PC and Consumer Electronics devices globally. Despite USB holding a major share of shipments, USB shipments have not risen considerably in terms of volume.
Since the launch of the easy-to-use data modem in 2006, the total number of modem shipments had fallen for the first time during the first half of 2012. This might have resulted in the increase of USB modem shipments.
In a statement, Jeff Orr, senior practice director at ABI Research said, “Whether this is another example of a tough economic year for PCs or the start of a change in modem form-factor trends, USB modems have been the leading force behind mobile broadband modem shipments since 2006.”
The projected modem upgrades for 4G networks have been delayed mainly due to the lengthy delays in the initiations of LTE (News - Alert) networks and restricted budgets of consumers. By the end of 2012, the total number of mobile broadband modem shipments is expected to touch 108 million.
More than half of the entire range of mobile broadband modems was shipped by Huawei during the first half of 2012, including 65 percent of USB modems. Apple (News - Alert) held 65 percent of market share for shipment of embedded modem modules.
While mobile hotspot routers have been widely accepted in majority of competitive markets, they are still not favored as a substitute for USB modem. The number of subscribers added by all the mobile network operators in Japan on mobile hotspot routers is more than those on USB modems.
However, a similar trend has not been spotted in Western Europe or North America.
In-depth analysis and quantitative prediction of trends in global connectivity is offered by ABI Research. ABI Research’s latest study, Mobile Broadband Routers & Modems Research Service, comprises industry analysis, market data, insights and competitive evaluations.
Edited by Braden Becker
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