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Infrastructure investments to remain on track, studies find

NORWALK, Conn.-Wireless companies will continue to invest heavily in their networks in the United States and abroad for at least the next several years, according to two new studies.

A soon-to-be-released report from Business Communications Company Inc. indicates worldwide wireless infrastructure expenditures will increase by 2.5 percent annually during the next several years, growing from $177.5 billion to $201 billion by 2009. The two largest segments of growth will be wireless area network hardware and end-user devices, according to the report, as carriers move to third-generation technologies to deliver more data-heavy services like mobile video.

Meanwhile, the U.S. wireless sector will likely report aggregate full-year 2004 revenues of more than $100 billion for the first time, and will invest heavily in networks to increase revenues, according to a new study from the Skyline Marketing Group. Increases in consumer use of mobile communications and the overall number of subscribers are driving the need for expanded and upgraded infrastructures, the report said. In addition to adding capacity for voice calls, carriers must invest in 3G technologies and High-Speed Downlink Packet Access to see revenues from text messaging, picture transmissions and other high-speed technologies.

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