Wireless Backhaul Evolution Delivering next-generation connectivity February 2021 Copyright © 2021 GSMA The GSMA represents the interests of mobile operators ABI Research provides strategic guidance to visionaries, worldwide, uniting more than 750 operators and nearly delivering actionable intelligence on the transformative 400 companies in the broader mobile ecosystem, including technologies that are dramatically reshaping industries, handset and device makers, software companies, equipment economies, and workforces across the world. ABI Research’s providers and internet companies, as well as organisations global team of analysts publish groundbreaking studies often in adjacent industry sectors. The GSMA also produces the years ahead of other technology advisory firms, empowering our industry-leading MWC events held annually in Barcelona, Los clients to stay ahead of their markets and their competitors. Angeles and Shanghai, as well as the Mobile 360 Series of For more information about ABI Research’s services, regional conferences. contact us at +1.516.624.2500 in the Americas, For more information, please visit the GSMA corporate +44.203.326.0140 in Europe, +65.6592.0290 in Asia-Pacific or website at www.gsma.com. visit www.abiresearch.com. Follow the GSMA on Twitter: @GSMA. Published February 2021 WIRELESS BACKHAUL EVOLUTION TABLE OF CONTENTS 1. EXECUTIVE SUMMARY ................................................................................................................................................................................5 1.1. Overview ...............................................................................................................................................................................................5 1.2. 5G Evolution .........................................................................................................................................................................................5 1.3. Backhaul Technology Evolution ...........................................................................................................................................................5 1.4. Backhaul Bands, Characteristics, and Licensing Approaches .............................................................................................................6 1.5. Pricing Analysis ....................................................................................................................................................................................7 1.6. Evolving Backhaul Costs ......................................................................................................................................................................7 1.7. Five Policy Recommendations .............................................................................................................................................................8 2. 5G BACKHAUL ..............................................................................................................................................................................................9 2.1. Wireless Backhaul Path to Evolution ...................................................................................................................................................9 2.2. 5G Outlook .........................................................................................................................................................................................10 2.2.1. 5G Subscriptions .............................................................................................................................................................................10 2.2.2. Leaders in 5G Adoption ..................................................................................................................................................................10 2.2.3. Adoption Trends of Backhaul Technologies ...................................................................................................................................11 2.3. Conclusions ........................................................................................................................................................................................12 3. TECHNOLOGICAL INNOVATIONS FOR SPECTRAL EFFICIENCY IN MICROWAVE BACKHAUL ...................................................... 13 3.1. Evolving 5G Network Topologies .......................................................................................................................................................13 3.2. Second Polarisation and Channel Reuse ..........................................................................................................................................14 3.3. Band and Carrier Aggregation ...........................................................................................................................................................15 3.4. Integrated Access Backhaul ...............................................................................................................................................................16 3.5. LOS MIMO: Line of Sight Multi Input Multi Output .............................................................................................................................17 3.6. Conclusions ........................................................................................................................................................................................18 4. SPECTRUM CHARACTERISTICS AND DEVELOPMENTS ......................................................................................................................20 4.1. Spectrum Table ..................................................................................................................................................................................20 4.2. Spectrum Characteristics and Developments ....................................................................................................................................21 4.2.1. Sub-5.x GHz ....................................................................................................................................................................................21 4.2.2. 6-42 GHz: ITU Traditional Microwave Frequencies ........................................................................................................................21 4.2.3. 57-71 GHz: V-Band .........................................................................................................................................................................21 4.2.4. 71-86 GHz: E-Band .........................................................................................................................................................................22 4.2.5. 92 GHz to 114 GHz: W-Band and 130 GHz to 175 GHz: D-Band ..................................................................................................22 4.3. Conclusions ........................................................................................................................................................................................23 5. SPECTRUM ALLOCATION MANAGEMENT ..............................................................................................................................................25 5.1. Types of Licenses ..............................................................................................................................................................................25 5.2. License Framework ............................................................................................................................................................................26 5.3. License Duration ................................................................................................................................................................................27 5.4. Conclusions ........................................................................................................................................................................................28 6. BACKHAUL LINKS FORECAST ................................................................................................................................................................. 29 6.1. Methodology .......................................................................................................................................................................................29 6.2. Outlook Forecast: 2021 versus 2027 .................................................................................................................................................30 6.2.1. Macro Cell .......................................................................................................................................................................................31 6.2.2. Small Cell ........................................................................................................................................................................................32 6.2.3. Conclusions .....................................................................................................................................................................................33 © 2020 ABI Research • abiresearch.com • The material contained herein is for the individual use of the purchasing Licensee and may not