As the need for connectivity continues to grow intensively, more telecommunications equipment such as base stations and other devices are installed in urban as well as remote locations. Not only are they expanding beyond major urban areas to get more subscribers – more telecom carriers are providing increased data usage and higher-end services brought on by 3G.

According to Frost & Sullivan, Southeast Asia’s subscriber base grew 36 percent YoY to reach 383 million users in 2008, for a corresponding mobile penetration of 72.5 percent. By end-2014, subscriber base is expected to reach 606 million, growing at a compound annual growth rate (CAGR) or 8 percent (Figure A). Likewise, the region’s mobile services grossed an estimate USD28.3 billion in revenues in 2008, and are forecasted to reach billings of USD36.2 billion by end of 2014, at a CAGR rate of 4.2 percent (Figure B).

The diversity of SEA market means that growth will be driven by a mix of subscribers net additions of consumers in the rural districts – many of whom will receive mobile connectivity for the first time.

Off-Grid Base Stations to increase
Off-grid locations as well as areas with unreliable access to power are increasingly prevalent for mobile network sites. According to the GSM Association, an estimated 75,000 new off-grid sites will be built each year in the developing countries through 2012.

According to the industry body, rising diesel prices and falling renewable equipment costs mean that operators may start considering renewable power sources for base stations. If telecom carriers start deploying renewable energy base stations, the industry can save up to 2.5 billion litres of diesel per annum and cut annual carbon emissions by up to 6.3 million tones. By 2014, over 230,000 base stations in developing countries will be solar-powered or wind-powered.