Study to assess the outlook of future tower loading for a towerco given the evolution of network technology

The problem

• An independent towerco in the Asia–Pacific region was expecting to undergo negotiations with its mobile operator customers regarding lease rates
• In the context of these negotiations, Analysys Mason was engaged to perform a study to inform the client on the outlook of future tower loading, particularly in light of upcoming 5G deployment

The solution

• We first conducted a review of technology trends related to mobile network deployment, with a key focus on the evolution of antennas
  • this included an outlook on 5G roll-out and its expected impact on tower loading
• We then reviewed the local market, including:
  • assessing the current state of mobile networks for each operator
  • reviewing the status of each operator’s 5G deployment
  • reviewing spectrum holdings by operator and assessing the outlook on future spectrum release
• We performed an evaluation of the implications for future tower loading that were unique to each mobile operator by accounting for differences in the current and expected status of mobile networks
• This was used to provide a view of the expected evolution of antenna configurations used by each mobile operator

Figure: Illustration of expected evolution of antenna configuration

The result

• Our client used the study to devise its negotiation strategy during contract negotiations with the mobile operators, to facilitate maximal leasing revenue over the long term