1. Market Research
  2. > Telecom Market Trends
  3. > The Global Market for Telecoms Towers 2014 - 2020

The Global Market for Telecoms Towers 2014 - 2020

  • September 2014
  • -
  • Statplan Energy Ltd
  • -
  • 77 pages

The Global Telecoms Tower Market: One million more towers to be built by 2020

This report is one of two that represent the second edition of StatPlan Energy’s “Global Market For Towers and Poles” originally published in 2012. The second report covers pylons and poles in the electricity sector. If you have acquired this report on its own and would like to purchase the electricity sector report as well, please contact us directly to benefit from the combined report price.

Globally, the mobile industry has seven billion users (subscriptions), generating annual service revenues approaching $1,000 billion each year. 74% of users are in emerging markets. China and India together account for almost one-third of all users (18% and 14% respectively), emerging Asia another 15%, Africa 11%, South America 10% and the Middle East 5%. But the market for the infrastructure does not track the growth in mobile services. Significant developments in terms of tower sharing and independent ownership make the tower market much more complex. Towers constitute almost 50% of the total capital expenditure for an operator, so the cost of towers involves tying up large amounts of capital in costly infrastructure and is a significant drag on operating liquidity. As many MNOs face declining revenues they have sought to free up the capital tied into infrastructure and the towerco was born. In turn the concept of asset sharing has become another key trend in the industry.

We estimate there are 4 million telecoms towers installed in the world, growing at a cagr of 4.1% to 2020. In 2014 the market for tower construction is estimated at $20.3 billion globally. By 2020 the total installed base will have risen from 4 million towers to 5 million towers. But the rate of growth, and the structure of the industry that is developing, varies by region. Taking into account the industry structure and trends in tower sharing, we forecast double digit growth in Sub-Saharan Africa and Latin America, but the volume regional market will be Asia, with some “hotspots” evident.

We therefore conclude that companies seeking to grow rapidly must choose their battlegrounds carefully; as a consequence of a “lumpy” market we envisage significant activity in terms of mergers and acquisitions in the sector in coming years. The current “hotspot” for independent tower ownership (then leased back to MNOs) is sub-Saharan Africa, where some $30 billion in infrastructure transactions are currently under review. The towerco industry is also established in North America and Europe, and the first steps are being made in China with the development of a joint venture between China Telecom, China Mobile and China Unicorn. In Africa, forecasts suggest that 30% of all telecoms towers could be independently operated by 2020.

Currently, we estimate that 18% of all telecoms towers globally are independently operated.

Table Of Contents

The Global Market for Telecoms Towers 2014 - 2020
1. EXECUTIVE SUMMARY 7

2. INSTALLED BASE OF TELECOM TOWERS 2014 10

3. BASE STATIONS AND TOWERS 26
3.1 Base stations 26
3.2 Types of base station 26
3.3 How base stations work 28
3.4 Telecom towers 28
3.5 Tower disguises 31
4. DEVELOPMENT OF THE MOBILE MARKET 33

5. INFRASTRUCTURE SHARING 36
5.1 Commercial imperatives for sharing 36
5.2 Infrastructure sharing 36
5.3 Tower infrastructure companies 37
5.4 The economics of telcos and towercos 39
5.5 The towerco business model 40
6. THE TELECOM TOWER MARKET, GLOBAL AND BY REGION 42
6.1 Powerline Technology (BPL) 44
6.2 North America 44
6.3 Europe 46
6.4 CIS 48
6.5 Middle East 50
6.6 North Africa 51
6.7 Sub-Saharan Africa 51
6.8 Asia Pacific 54
6.9 Central and South America 57
7 THE TOWERCO MARKET 59
7.1 Tower Infrastructure Companies 59
7.2 United States 62
7.3 Europe 65
7.4 CIS 66
7.5 Asia Pacific 66
7.6 India 67
7.7 China 68
7.8 Japan 69
7.9 Indonesia 70
7.10 Africa and Middle East 70
7.11 South America 72
APPENDIX: CRITERIA FOR MARKET EVALUATION 74
GLOSSARY 75 4

TABLES AND FIGURES

Table 1: Global installed telecoms towers, 2014
Table 2: Global installed telecoms towers, by region, 2013-2020
Table 3: Installed telecoms towers, North America by country, 2014 - 2020
Table 4: Installed telecoms towers, Europe by country, 2014 - 2020
Table 5: Global installed telecoms towers, CIS by country, 2014 - 2020
Table 6: Installed telecoms towers, Middle East by country, 2014 - 2020
Table 7: Global installed telecoms towers, North Africa by country, 2014 - 2020
Table 8: Installed telecoms towers, Sub-Saharan Africa by country, 2014 - 2020
Table 9: Global installed telecoms towers, Asia by country, 2014 - 2020
Table 10: Global installed telecoms towers, Pacific by country, 2014 - 2020
Table 11: Installed telecoms towers, South America by country, 2014 - 2020
Table 12: Installed telecoms towers, Central America by country, 2014 - 2020
Table 13: Capital expenditure on new telecoms towers by region, nominal $ million, 2014 to 2020
Table 14: Capital expenditure on new telecoms towers, USA and Canada, nominal $ million, 2014 -2020
Table 15: Capital expenditure on new telecoms towers, Europe, nominal $ million, 2014 - 2020
Table 16: Capital expenditure on new telecoms towers, CIS, nominal $ million, 2014 - 2020
Table 17: Capital expenditure on new telecoms towers, Middle East, nominal $ million, 2014 to 2020
Table 18: Capital expenditure on new telecoms towers, North Africa, nominal $ million, 2014 - 2020
Table 19: Capital expenditure on new telecoms towers, Sub-Saharan Africa, nominal $ million, 2014 - 2020
Table 20: Capital expenditure on new telecoms towers, Asia, nominal $ million, 2014 - 2020
Table 21: Capital expenditure on new telecoms towers, LAC, nominal $ million, 2014 - 2020
Table 22: Sample breakdown of revenue, costs and profit in a shared tower
Table 23: Incidence of sharing in regions and selected countries
Table 24: Number of independent towers in regions and selected countries, installed base
Table 25: Top telecom tower companies in the United States with number of towers installed,
2012 and 2014
Table 26: Tower portfolios of operator-promoted tower infrastructure companies/telecom operators and of
third party tower companies in India, 2009
Table 27: Numbers of towers owned by Japanese telecoms operators
Figure 1: Global installed base of telecoms towers, 2014
Figure 2: Global installed telecoms towers by region, 2014
Figure 3: Regional growth in telecom towers, 2013-2020
Figure 4: Installed telecoms towers, North America by country, 2014 - 2020
Figure 5: Installed telecoms towers, Europe by country, 2014 - 2020
Figure 6: Installed telecoms towers, CIS by country, 2014 - 2020
Figure 7: Installed telecoms towers, Middle East by country, 2014 - 2020
Figure 8: Installed telecoms towers, North Africa by country, 2014 - 2020
Figure 9: Installed telecoms towers, Sub-Saharan Africa by country, 2014 - 2020
Figure 10: Global installed telecoms towers, Asia Pacific by country, 2014 - 2020
Figure 11: Global installed telecoms towers, LAC by country, 2014 - 2020
Figure 12: Examples of macrocell base stations5
Figure 13: Examples of microcell base stations
Figure 14: Telecom tower structure with key components
Figure 15: Towers in a cityscape
Figure 16: Receivers in a cityscape
Figure 17: Tower for a desert landscape, half finished
Figure 18: Tower for a desert landscape, completed
Figure 19: Tower hidden in a park
Figure 20: Chinese city tower, hidden in a street lamp
Figure 21: Global mobile-cellular subscriptions, total and per 100 inhabitants, 2001-2014
Figure 22: Global ICT developments, 2001-2014
Figure 23: Mobile-cellular subscriptions per 100 inhabitants, 2014
Figure 24: Structure of a mobile network
Figure 25: Breakdown of tower expenses, capex and opex, as a % of total cost in a typical site
Figure 26: Number of countries permitting sharing or co-location of passive infrastructure for telecoms operators
Figure 27: Example of infrastructure sharing of 2 tenants and 4 tenants, antennae and base stations
Figure 28: Capital cost of new telecoms towers, 2014 to 2020
Figure 29: Capital expenditure on new telecoms towers by region, nominal $ million, 2014 - 2020
Figure 31: Capital expenditure on new telecoms towers, USA and Canada nominal $ million, 2014 - 2020
Figure 32: Capital expenditure on new telecoms towers, Europe, nominal $ million, 2014 - 2020
Figure 33: Capital expenditure on new telecoms towers, CIS, nominal $ million, 2014 - 2020
Figure 34: Capital expenditure on new telecoms towers, Middle East, nominal $ million, 2014 to 2020
Figure 35: Capital expenditure on new telecoms towers, North Africa, nominal $ million, 2014 - 2020
Figure 36: Capital expenditure on new telecoms towers, Sub-Saharan Africa, nominal $ million, 2014 - 2020
Figure 37: Capital expenditure on new telecoms towers, Asia Pacific, nominal $ million, 2014 - 2020
Figure 38: Capital expenditure on new telecoms towers, LAC, nominal $ million, 2014 - 2020
Figure 39: Number of independent towers in regions and selected countries, installed base

View This Report »

Get Industry Insights. Simply.

  • Latest reports & slideshows with insights from top research analysts
  • 24 Million searchable statistics with tables, figures & datasets
  • More than 10,000 trusted sources
24/7 Customer Support

Talk to Ahmad

+1 718 618 4302

Purchase Reports From Reputable Market Research Publishers
The Latin America telecoms market: trends and forecasts 2016–2021

The Latin America telecoms market: trends and forecasts 2016–2021

  • $ 7999
  • Industry report
  • September 2016
  • by Analysys Mason

"Roll-out of next-generation access broadband will be the key theme over the next 5 years in the Latin America broadband market." Total telecoms revenue will grow in major Latin America markets, as there ...

The Central and Eastern Europe telecoms market: trends and forecasts (sixteen countries) 2016–2021

The Central and Eastern Europe telecoms market: trends and forecasts (sixteen countries) 2016–2021

  • $ 7999
  • Industry report
  • September 2016
  • by Analysys Mason

"Mobile handset data revenue will be the main source of retail revenue in Central and Eastern Europe, accounting for 29% of the total retail revenue in 2021." Service revenue in Central and Eastern Europe ...

The Wireless network data traffic in emerging Asia–Pacific: trends and forecasts 2015–2020

The Wireless network data traffic in emerging Asia–Pacific: trends and forecasts 2015–2020

  • $ 7999
  • Industry report
  • September 2016
  • by Analysys Mason

"The volume of wireless network data traffic in emerging Asia–Pacific is expected to grow over nine times between 2015 and 2020, driven primarily by increasing data usage in China." report banner 4G ...


ref:plp2014

Reportlinker.com © Copyright 2016. All rights reserved.

ReportLinker simplifies how Analysts and Decision Makers get industry data for their business.