IHS has forecasted that Eastern Europe will see rapid growth in the use of TETRA technology. It predicts that new terminal shipments in the region will increase by almost 50 per cent in the industrial sector and in transport by nearly 27 per cent.
The latest global report and analysis from the critical communications industry specialists has also predicted growth in all regions, with Western Europe forecasted to remain the largest world market for TETRA. This prediction has been raised compared to the 2015 IHS report, as data from the IHS EMEA tracking service and ongoing conversations with industry experts indicated positivity on the future of TETRA in Europe.
“2015 has been an exceptional year for TETRA in Europe, with the completion of the nationwide networks in Germany and Norway,” said Phil Kidner, CEO of the TCCA, the critical communications sector representative. “We are also seeing re-investment in existing TETRA networks, with a huge amount of activity in renewing both infrastructure and terminals.”
Although Europe remains the largest market for TETRA in active radios with a 53 per cent share of the installed base as at the end of 2015, it will be challenged by the end of 2020 as the installed base increases in other regions including Middle East and Africa (MEA), and the Americas, where the installed base will be led by Latin America. The increase has taken into account the introduction of TETRA to North America in 2012.
Mission-critical applications continue to make up a major part of the TETRA market, with Public Safety and Security (PSS) representing more than 56 per cent of the installed base. However, over the next five years, IHS predicts that business-critical applications will see the most growth. It has included sectors such as utilities and industrial as playing a major role in this growth.
The covert terminals market is forecast to grow by almost 19 per cent, representing "exciting opportunities for TETRA", state IHS.
“A mature network environment lends itself to users requiring more specialist radios,” said Thomas Lynch, director, Security and Critical Communications at IHS. “Sources suggest that covert users come late to a network, often after trust in the network has been well established. Maturity also develops a culture across agencies, so when a secure radio is required, TETRA will be the choice. The threat from terrorism, political instability and the needs of national security are the main drivers of the covert market.
The availability of ATEX radios is has also been predicted to help TETRA maintain its market share in the oil and gas sectors. However, ATEX devices are forecasted to experience less growth than other markets due to the drop in oil prices and a consequent decrease in investment into these sectors.
This is the eighth edition of the IHS report dedicated to the TETRA terminals market. Although the European PSS sector remains the backbone of the TETRA market, TETRA has proven itself the technology of choice for many other users and it is seeing increasing success in a number of user areas and regions that were not considered traditional strongholds of the technology.
All figures relate to CAGR from 2015-2020 unless otherwise stated. Source for all information: TETRA Terminals – 2016 report from IHS Technology.
