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A gigabit connection is the most important and desirable component of an LTE-Advanced Pro network. A substantial improvement in data throughput not only generates a better mobile broadband user experience, but also enables exciting new use cases that were previously not possible. At present, there are already a host of new applications waiting to take advantage of gigabit LTE, including cloud applications, 2K and 4K videos on-the-go, and virtual reality applications. However, beyond the marketing speak, the deployment of gigabit LTE demands tight collaboration and strong partnership across the value chain.
What is gigabit LTE?
The three core building blocks for gigabit LTE are carrier aggregation (aggregating three carriers or higher); multiple-input/multiple-output antenna systems; and the 256 quadrature amplitude modulation coding scheme. Delivering gigabit speeds can be achieved through a variety of combinations; for example, combining a three-carrier component aggregation (20 megahertz for each carrier), 4×4 MIMO and 256 QAM. Another alternative could be 4CCA or 5CCA with 20 megahertz for each carrier component and 256 QAM.
The high data throughput can serve as one of the key differentiating factors in service provision and enablement. According to Qualcomm, 15 operators in 11 countries are expected to launch or commercially trial gigabit LTE in 2017, including Telstra in Australia, and AT&T, T-Mobile US and Sprint in the United States. In addition, ABI Research found more than 120 mobile operators have trialed or launched LTE-Advanced Pro as of December 2016, providing operators a glimpse into the “5G” future with gigabit LTE. Examples of operators who have launched LTE-Advanced Pro include Telstra in Australia, T-Mobile US in the United States, SK Telekom in South Korea, Globe in the Philippines and NTT DoCoMo in Japan.
However, making gigabit LTE ubiquitous to all users is easier said than done. All the aforementioned trials and deployments indicate that network infrastructure is mature and ready for gigabit LTE, but there were no capable devices in the market as of last year. This is for a reason: every new modem and device design is required to go through a substantial amount of feature, functional, performance, commercial and certificate testing, and the modem and device for gigabit LTE is not an exception. Months of collaboration with key stakeholders in the LTE industry value chain, such as operators, network infrastructure vendors and device manufacturers are required to bring a product from proof-of-concept level to commercial reality. Case in point: Qualcomm introduced the Snapdragon X16 LTE modem that supports gigabit LTE back in February 2016, but the first gigabit LTE-capable device was not launched until January 2017.
Telstra is the first to launch gigabit LTE services
In January 2017, Telstra launched the world’s first commercial gigabit LTE service, supported by NetGear’s Nighthawk M1, a mobile broadband hot spot device. Running on Telstra’s network and enabled by Ericsson infrastructure, the NetGear Nighthawk M1 houses the Qualcomm Snapdragon X16 LTE modem that delivers a maximum theoretical speed of 979 megabits per second and a peak upload speed of around 150 Mbps. Underpinning all these features is chipset design by Qualcomm that provides a combination of support for 4CCA, 256 QAM and 4×4 MIMO antennas.
Telstra, Qualcomm and Ericsson have showcased several technological firsts in previous years, including the world’s first LTE-Advanced solution that reached 600 Mbps at Mobile World Congress 2015. The launch of gigabit LTE service is an excellent display of a partnership forged between an operator, a device manufacturer, a network infrastructure vendor and a chipset manufacturer. Operators and network infrastructure vendors are in a unique position to identify market trends, survey market opportunities and validate use cases. In order to support these use cases, chipset manufacturers are required to engage constantly with operators and network infrastructure vendors to gain valuable insights for them to design the most optimal chipset in terms of network efficiency and yield.
At the same time, chipset manufacturers also need to work with device manufacturers to ensure devices supported by the chipset are not compromised in terms of power consumption and overall device form factor. Finally, all four partners need to collaborate to ensure the required network resources are in place to support gigabit LTE service. It’s no simple feat, especially if we consider that these companies are vast and often have conflicting internal priorities. Mobile broadband hot spots aside, it is widely expected Qualcomm’s Snapdragon 835 processor with X16 LTE will be adopted by many premium 2017 smartphone manufacturers, making gigabit LTE a reality for smartphone users.
What can gigabit LTE bring?
It is no surprise that both operators and vendors are embracing gigabit LTE. It features prominently in the product portfolios of major network infrastructure vendors, including Ericsson, Huawei, Nokia and ZTE, and provides a stepping stone towards 5G in terms of market continuity. Operator capital expense is under pressure and gigabit LTE network upgrades will certainly be deployed by the main LTE vendors, thus providing a secure — albeit incremental — revenue stream.
With gigabit LTE, end users will experience improved data rate, throughput, latency and better battery life. They will no longer need to wait for a video to buffer, an application to download or a file to upload. Developers can take advantage of the abundant bandwidth to create new types of applications that offer immersive experiences in ways that we cannot conceive today. For example, Snapchat, Periscope, Facebook Live and a flurry of other social applications did not provide an adequate user experience with 3G, but did so with 4G. Gigabit LTE will continue this trend and uncover the next wave of applications, drive mobile network usage and operator data revenues and position operators to offer services themselves.
There’s also another, not widely discussed benefit of gigabit LTE: it frees up network resources. End-user behavior is not expected to change dramatically before the new wave of applications (e.g., virtual reality) enters the mass market. The high throughput of gigabit LTE enables quick access to whatever users need in a shorter time and thus frees up valuable network resources, increases network capacity and reduces network congestion. The overall system spectral efficiency is then optimized, providing a better experience to more users on the same network. This positive experience improves operators’ brand image, enhances customer loyalty and lowers churn.
With the official launch of gigabit LTE in Australia, ABI Research expects 2017 to be a significant year for LTE-Advanced Pro and 5G developments as mobile network operators continue to put in place the various building blocks for 5G. The introduction of devices capable of providing gigabit LTE will ensure that the whole process of wireless innovation continues to move forward, while exposing users to a new world of connectivity and potential applications. We expect to see more innovative, immersive and disruptive applications during 2017, driven by gigabit LTE.
