Small Cells Provide More 3G than 4G Value

Small cells deployed by mobile operators in areas of high traffic actually will provide more value, in the near term, for 3G operations than for 4G operations, Strategy Analytics argues. Small cells also cost significantly less than 3G macro cells for the same coverage area but slightly more than new 4G Long Term Evolution macro cells, says Sue Rudd, Strategy Analytics director.

“This is largely due to the ‘consumer electronics-like' vulnerability of very large numbers of small cell sites that require installation and ongoing maintenance," Rudd says.

"Cost is not the only reason to choose small cells since they offer faster installation for rapid upgrades in throughput” says Phil Kendall,  Strategy Analytics  director. "Estimates vary, but small cells will probably increase throughput by over 200 percent in legacy 3G hot zones, or at the edge of macro cells where data throughput is poor.”

Throughput improvements could reduce the cost per megabit by 30 percent, he argues.