LTE-compatible Smartphone Shipments to Triple in 2013

The research firm says that countries driving the adoption of the high-speed 4G LTE handsets include the U.S., the U.K., Japan, China, and South Korea. In addition to Apple, Samsung, and LG, Strategy Analytics also expects Nokia Corp. (NYSE: NOK), Google Inc.’s (NASDAQ: GOOG) Motorola division, Research in Motion Ltd. (NASDAQ: RIMM), Huawei, ZTE, and Pantech to push into the LTE market space.

Strategy Analytics’ executive director noted, “LTE has quickly become a high-growth, high-value market that no operator, service developer, component maker or device vendor can afford to ignore.”

Among the carriers that the researchers see expanding 4G LTE capability are Verizon Wireless, a joint venture between Verizon Communications Inc. (NYSE: VZ) and Vodafone plc (NASDAQ: VOD), the U.K.’s Everything Everywhere (owned by Virgin Mobile), and Japan’s NTT Docomo.

Another expectation is that new entrants will jump into the field, and Strategy Analytics names Amazon.com Inc. (NASDAQ: AMZN) and Mozilla.org, although the firm warns that the market is “fiercely competitive” and new entrants “will need breakthrough products” in order to carve out a niche.

There are an estimated 6 billion mobile phone users globally, and the vast majority of those users do not currently own 4G LTE compatible phones. The worldwide total of smartphones in use today tops 1 billion, but the two billion mark remains a year or two in the future. As the 4G LTE networks expand, costs for these high-speed phones will fall and more and more will make it into customers’ hands.

Paul Ausick