May 2014 – TETRA technology now represents nearly 20% of the digital technology market for LMR worldwide. Having achieved consistent double digit growth in terms of new users over the last three years, the latest data from IHS shows that TETRA’s continued success in the critical communications sector has been demonstrated across many regions.
Of course, the European public safety market was the birthplace of TETRA and will continue to represent a large proportion of TETRA’s success over the next five years. According to IHS’ upcoming report, ‘Licensed Mobile Radio Terminals – 2014’, TETRA currently makes up more than 50% of the European LMR terminal market, and as a favoured technology in France, Germany, the UK and other major European economies, TETRA networks will continue to expand and evolve over the next five years.
The most recent story, however, has been the increased traction gained in North America. Early last year, North America was highlighted as a ‘region to watch’ following the FCC ruling in 2012 making the TETRA waiver in the U.S. permanent, and sure enough, there were several contracts across different sectors rolling out in 2013, as well as many more partnerships and entries into the North American market announced in the utility, transportation and industrial markets. As a result, 2014 will see more contract announcements as these partnerships mature and customers are educated further about the benefits of TETRA and its exceptional functionality.
It will be interesting to see the development of TETRA as newer technologies such as DMR Tier 3 enter the market: will there be pressure for increased competition in the market, or a pressure on price as trunking functionality is expanded in the cost-optimized technology market?
Of course, in the regions that TETRA already dominates via a nationwide network roll out – Germany, for example – there is likely to be less influence from competing technologies. IHS expects North America is the region to watch here. Wherever the next network will be, however, we can be assured that TETRA is not only here to stay…TETRA is here to grow.
By Elizabeth Mead, Market Analyst, IHS