Progress and Uncertainty for TD-LTE ecosystem

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Report Summary:

There was some exciting news for the TD-LTE ecosystem in October: the Chinese regulator allocated the entire 2.6GHz band to TDD usage, and Softbank’s acquisition of Sprint gave a potential boost to Clearwire’s TD-LTE development. Strategy Analytics believes this creates the opportunity for the TD-LTE ecosystem to realize considerable economies of scale and to play a key role in the mobile Internet era, particularly in markets across the Pacific. If TD-LTE licenses are available in China in mid-2013, TD-LTE commercial service would be launched in China and the US at almost the same time. It would be a great boost for the TD-LTE ecosystem to gain momentum in the global market. However, unclear licensing plans in China (potentially unlikely to be resolved much before licenses are awarded and services launched) do not give the industry much time to prepare and will almost certainly result in a fragmented system of frequency requirements across the Pacific, undermining this new-found global scale.

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