Techno-economic Analysis of LTE Deployment Scenarios for Emerging City: A Case of Adama, Ethiopia
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Date
2018-10
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AAU
Abstract
The exponential growth of demand for mobile broadband access in emerging cities has been
pushing deployment of long-term evolution (LTE) mobile technology. However, technological
advancement towards LTE alone cannot show the performance, acceptance, and economic
viability of an investment without detail technical and economic feasibility assessment of possible
LTE deployment alternatives. In this thesis, first potential LTE deployment scenarios analyzed
and formulated through scenario planning method for emerging city. Then, techno-economic
analysis consists of marketing forecast, radio access network dimensioning, cost and revenue
modeling, and economic feasibility analysis for seven years study period assuming a monopoly
telecom market using modified TERA model performed. For techno-economic evaluation,
modified TERA model is implemented in the MATLAB. Results show that market potential and
operating frequency have a great impact on network capacity, coverage and number of sites in
the area which in turn influences the rate of return on investment. Deployment of LTE in
1800Mhz band under high and low demand capacity, and deployment of LTE in 2100Mhz band
under high demand capacity are feasible with the payback period of less than 3.5 years for
emerging city. From specially formulated deployments scenarios techno-economic results,
coverage favored LTE deployment scenario (in 1800Mhz under low demand capacity) is
technically and economically feasible for Adama city of Ethiopia in a monopoly telecom operator
market with payback period of 3.25 years.
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Keywords
LTE, RAN, Techno-economic analysis, Deployment scenarios, TERA model