ZTE reveals Strategy for – LTE + Small Cells + C-RAN

June 9, 2012 · Author: · Category: telecom 

At the annual ZTE Conference, ZTE exhibited confidence in its smartphone business, including plans to double smartphone shipment volume in 2012 to 30mn units and achieve margin recovery driven by sales growth in developed markets. On the Networks Front, ZTE indicated small cells/LTE/C-RAN as targeted growth areas backed by smartphone driven data traffic growth.

ZTE’s TD-LTE Initiative
ZTE thinks equipment vendors have addressed most of the technical issues necessary to launch TD-LTE commercial services, and the major bottleneck now is on the market side – especially major telecom operators (such as China Mobile) rollout plan. Without major operator support, chipset and handset vendors cannot commit too much in resources to handset development. ZTE has 381 essential LTE Patents, around 8% of the industry Patents.

C-RAN – Cloud Radio Access Network
ZTE believes that C-RAN (Cloud-based Radio Access Network) will be an important evolution in carrier network architecture in the next few years in order for operators to reduce OPEX and power consumption. ZTE has successfully completed a C-RAN trial with China Mobile, KDDI, DT and France Telecom. Enterprise network only accounted for 10% of ZTE’s sales in 2011, but remains one of the fastest-growing business segments within the group (90% y-y).

Don’t Ignore the Small Cell
ZTE thinks small cell is an unavoidable trend in the telecom equipment market, considering significant growth in data. ZTE can leverage its technical assets in both core networks and existing base stations to help the company maintain and expand its market share.

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