Carrier Capital Spending: A Declining Market in 2012 and Beyond

This IDC study analyzes the capital expenditure of the global telecommunications industry. Global carrier capital expenditures in 2011 are projected by IDC to be $296.1 billion. Based on IDC's Global Telecom Indicators database, this is an increase of 6.4% over 2010 but short of the high-water mark of $306.4 billion spent in 2008. Spending is up year over year, but analysis of the top 10 carriers, which represent nearly 50% of industry capital spending, indicates growing emphasis on capital efficiency and reduced capital spending trends going forward.

According to Mark Winther, group vice president and consulting partner, Worldwide Telecommunications, "Spending is up year over year, but analysis of the top 10 carriers with 50% of industry capital spending indicates growing emphasis on capital efficiency and reduced capital spending trends going forward."