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Chapters
Introduction
Operators
Subscriber Base and Key Indicators
Financial Performance
FCC
Rural market
US Wireless market: Key trends
Others Special Reports
Telecom Towers: Status and Potential
Indian metros still vie for wireline connections; register positive growth
Bharti Airtel: India’s success story on telecom services privatisation

Special Report

 
 
Rural market


The rural market of US forms a sizeable part of the nation’s wireless market pie. According to the definition lined up by FCC, round about 61 million people, or 21 percent of the U.S. population dwell in the rural counties. And these rural counties spread over 3.1 million square miles, representing 86 percent of the geographic area of the United States.

 

Industry observers believe that the rural populaces of US are dished out with competitive choices comparably more favorable than those offered to urban residents and rural dwellers of foreign countries.

 

Indications are also there that the wireless providers of rural areas can not surge prices above competitive levels and neither can they make any changes in terms and conditions of the services offered.

 

Out of the total rural counties, 80 percent (which include over 70 percent of rural population), more than 100 megahertz of spectrum (cellular / PCS / AWS / 700 MHz) is licensed to entities other than the four nationwide carriers and their affiliates.

 

On the other hand, in urban counties, only 46 percent of counties, including just 21 percent of the population in urban counties, have more than 100 megahertz not licensed to the nationwide carriers and their affiliates.

 

One can note here that a significant chunk of spectrum is potentially available, particularly in rural areas, through the secondary market. Statistically, 34 percent of rural counties (which include 26 percent of the rural population) have more than 100 megahertz of spectrum (cellular / PCS / AWS / 700 MHz) that is potentially available.

 

Additionally, 96 percent of rural counties, including 91 percent of the rural population, have at least 50 megahertz that is not being utilized to provide mobile telephone service to customers in those areas.

 

In contrast in urban counties, only 10 percent of counties, including just 3 percent of the population in urban counties, have more than 100 megahertz of potentially available spectrum, and 85 percent of urban counties, including 68 percent of urban population, have at least 50 megahertz.

 

Therefore, it is apparent that spectrum is available in rural areas for the provision of new mobile wireless services to consumers.

 

Next Chapter :: US Wireless market: Key trends
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