Business analysis - network infrastructure sharing

Wireless access networks display a large degree of network redundancy as there are multiple networks run by several network operators in parallel. In contrast to wireline networks that have a history of having been run by government-related entities, the infrastructure of wireless access networks was set up by private players in the first place. The acquisition of new sites for base stations is a major problem for network operators nowadays and with parallel infrastructures this issue replicates. Besides the difficulty of finding a landlord that makes a room available for network equipment, there are also regulations on the number of base stations in some cities. In this environment, infrastructure sharing is an attractive way for an operator to increase its number of nodes in the network and thus to provide better coverage and capacity. These two scenarios have arisen from two limiting factors that naturally appear when data rates exponentially increase: · · The number of sites for large base stations is a scarce resource. Sites for small base stations are abundant, but the backhaul connection is critical.