Mobile networks operating capacity on the rise

Wednesday, May 23, 2012

It appears mobile networks in North America are operating at 80 percent capacity, which is the highest of any region in the world, according to a recent study by investment bank Credit Suisse.

Two years ago, North American mobile networks were at 72 percent capacity. As a result of the increase, wireless carriers may have to increase infrastructure spending to meet consumer demands. Globally, utilization rates are 65 percent and are expected to climb to 70 percent within a few years.

In addition to mobile network capacity, the Credit Suisse survey found that 23 percent of global base stations have constraints, which is an increase from 20 percent last year. In the United States, this number is even higher, growing from 26 percent in 2010 to 38 percent this year.

Of those companies surveyed, 57 percent expect radio access networks to increase the greatest due to the fact that this media sees the most user traffic.

With more people purchasing mobile devices than ever before, networks may feel an even greater strain moving forward. According to Cisco, the number of internet-connected products is projected reach 50 billion by 2020.