4Q 2016: Nearly 300 Million LTE Subscriptions in North America
BELLEVUE, WA--(Marketwired - March 13, 2017) - 5G Americas, the industry trade association and voice of 5G and LTE for the Americas, today announced that LTE continued its impressive momentum in North America, Latin America and throughout the world according to data from Ovum for the fourth quarter of 2016. As of the end of 2016, global LTE connections reached 1.9 billion and surpassed 2 billion connections by February of 2017. The North America region achieved nearly 300 million LTE subscriptions by the end of 2016 with some of the highest penetration rates, most extensive coverage and largest market share for LTE in the world.
Worldwide, LTE is forecast to continue its momentum reaching 3 billion connections in 2018, 4 billion connections in 2020 (Ovum) and 5 billion connections in 2022 (5G Americas).
"At the recent Mobile World Congress 2017 in Barcelona, 5G continued to show incredible progress and great promise in all areas. Yet, at the same time, the evolution of LTE toward LTE-Advanced Pro is being welcomed by mobile wireless customers throughout the world as evidenced by the tremendous growth of LTE customers," stated Chris Pearson, President of 5G Americas.
4Q 2016 - North America
LTE achieved 298 million connections and a penetration rate of 83 percent compared to the population of 360 million in North America. This penetration rate compares to the next highest regions of Western Europe at 47 percent penetration and Oceania, Eastern and Southeastern Asia with 46 percent penetration. In North America, LTE penetration is expected to pass 100 percent in 2018.
In addition to having a significantly higher penetration rate, the U.S. and Canada also have the highest market share for LTE in comparison to all mobile wireless technologies with 65 percent versus Oceania, Eastern and Southeastern Asia at 41 percent and 35 percent in Western Europe. Market share represents the percentage of mobile wireless connections that are LTE technology versus all other mobile technologies.
4Q 2016 - Latin America and the Caribbean
Jose Otero, Director of Latin America and the Caribbean for 5G Americas, summarized trends in the region, "2016 was a challenging year for the Latin American economies, which translated into a decrease of mobile wireless lines in several countries as people sought ways to decrease their spending. But even under these difficult conditions, LTE continued to be the fastest growing mobile technology to have ever been deployed in Latin America with several countries showing double digit growth and new operators launching commercial LTE services." Otero continued, "In addition, during this year we saw LTE-Advanced strengthen its position in the region with network launches in British Virgin Islands, Brazil, and Peru as well as numerous trials throughout the region."
LTE's market share increased from 7.7 to 17 percent year-over-year at the end of 2016, thus more than doubling in the region. LTE rose significantly at 21 percent in one quarter alone (3Q 2016 to 4Q 2016) showing tremendous growth in three months.
4Q 2016 - Global
"Worldwide, LTE subscriptions grew 74 percent from year end 2015 to year end-2016. By contrast, in the mature North America region, where LTE was an early leader, LTE subscriptions grew by a much smaller 26 percent as the market is more mature and LTE penetration higher," explained Kristin Paulin, Senior Analyst at Ovum.
Kristin Paulin further explained Ovum's LTE data forecasts, which previously did not include M2M, "Ovum has recently aligned its forecast methodology with its treatment of historical data, which is to track total subscriptions including M2M."
About 5G Americas: The Voice of 5G and LTE for the Americas
5G Americas is an industry trade organization composed of leading telecommunications service providers and manufacturers. The organization's mission is to advocate for and foster the advancement and full capabilities of LTE wireless technology and its evolution beyond to 5G, throughout the ecosystem's networks, services, applications and wirelessly connected devices in the Americas. 5G Americas is invested in developing a connected wireless community while leading 5G development for all the Americas. 5G Americas is headquartered in Bellevue, Washington. More information is available at www.5gamericas.org.
5G Americas' Board of Governors members include: América Móvil, AT&T, Cable & Wireless, Cisco, CommScope, Entel, Ericsson, Hewlett Packard Enterprise (HPE), Intel, Kathrein, Mitel, Nokia, Qualcomm, Sprint, T-Mobile US, Inc. and Telefónica.
+1 414 688 9000