Big Plans for Small Cells to Generate $1.8 Billion By 2021

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Small cell technology is growing by leaps and bounds, and industry insiders are finding new ways for the flexibility of small cells to reach their full potential.

ITBusiness Edge defines small cells as a “new layer inserted between end users and legacy macro cell towers” that mobile operators are finding new ways to solve challenges with. Market analyst Ravi Narayanan told ITBusiness Edge that one way to use small cells is to aid in the transition of Voice Over LTE (VoLTE). Narayanan said that VoLTE “likely will rely on small cell technology” with “the idea that ‘densification’ is a key to ensuring service doesn’t suffer as 2G and 3G networks are turned off and subscribers’ voice services moved to LTE.”

Narayanan noted that indoor small cells are gaining traction faster than outdoor, however power and backhaul at desired locations are among key factors for outdoor small cells. ABI Research predicted that the indoor small cell market could make $1.8 billion by 2021.  

Free, unlicensed spectrum also is a way cable providers and wireless carriers are both looking to use small cells. ITBusiness Edge said that “this will drive demand for small cell deployments,” with ABI Research saying small cells will focus particularly on WiFi and LTE, predicting a compound annual growth rate of 47 percent by 2021.

Lastly, is a focus on small cells in regard to highly-anticipated 5G. Tom Keathley, AT&T’s senior vice president of Wireless Network Architecture and Design, spoke at the recent Cowen and Company Communications’ Infrastructure Summit. ITBusiness Edge said that Keathley addressed millimeter wave technologies, which “will be necessary to provide the type of functionality necessary for 5G,” with small cells and macro networks being highly involved.

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