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Investment in Green Telecom Networks Could Reduce Worldwide Emissions of Greenhouse Gases from Network Operations by 32 Percent between 2011 and 2016, Forecasts Pike Research

Telecommunications network operators are faced with the challenge of balancing their growing subscriber bases and rising mobile data usage with their public pledges to reduce both capital and operating expenditures, along with emissions of greenhouse gases (GHGs). As such, robust alternative energy solutions to power fixed and mobile networks are increasingly important. The goal of creating more efficient and sustainable networks is a top priority for nearly every telecom service provider today. According to a recent report from Pike Research, a part of Navigant’s Energy Practice, investment in energy-efficient telecom network infrastructure will reach $194 billion annually by 2016.

All told, these investments could reduce GHG emissions from the telecom industry by 32 percent by 2016 compared to a business-as-usual scenario, the study concludes.

“Though most sustainability efforts by the telecom industry to date have focused on procuring clean sources of power, the range of options is expanding rapidly, particularly in the area of energy efficiency,” says research director Eric Woods. “Vendors are responding by taking a holistic approach to green telecom by offering more than just technological advances. Services such as network and site planning can also reduce the energy needed to run a network, and adequate take-back programs for legacy equipment are becoming requirements for most contracts.”

The Asia Pacific region will lead the way in green mobile telecom spending, representing over 55 percent of the total by 2016, according to the report. In developing countries, the area of highest growth for mobile telecom services, the number of off-grid base stations is increasing as mobile operators strive to reach potential subscribers in more rural areas. Many of these new base stations will be powered by solar, wind, or hybrid energy sources. At the same time, the cost of deploying green base stations, particularly solar-powered ones, is declining. The price for solar photovoltaic modules has dropped significantly in the past several years.

Pike Research’s report, “Green Telecom Networks”, focuses on the direct impact of green technologies and practices as applied to telecommunications networks. Specifically addressed are the market drivers and business decisions that drive the usage and implementation of green practices across fixed and mobile networks. In addition, quantitative market forecasts through 2016 are provided to describe the effects of these green technologies and practices on operational and environmental costs. An Executive Summary of the report is available for free download on the Pike Research website.

About Pike Research

Pike Research, which joined Navigant’s global Energy Practice on July 1, 2012, provides in-depth analysis of global clean technology markets. The team’s research methodology combines supply-side industry analysis, end-user primary research and demand assessment, and deep examination of technology trends to provide a comprehensive view of the Smart Energy, Smart Grid, Smart Transportation, Smart Industry, and Smart Buildings sectors. Additional information about Pike Research can be found at www.navigant.com/pikeresearch.

About Navigant

Navigant (NYSE: NCI) is a specialized, global expert services firm dedicated to assisting clients in creating and protecting value in the face of critical business risks and opportunities. Through senior level engagement with clients, Navigant professionals combine technical expertise in Disputes and Investigations, Economics, Financial Advisory and Management Consulting, with business pragmatism in the highly regulated Construction, Energy, Financial Services and Healthcare industries to support clients in addressing their most critical business needs. More information about Navigant can be found at www.navigant.com.

* The information contained in this press release concerning the report, “Green Telecom Networks,” is a summary and reflects Pike Research’s current expectations based on market data and trend analysis. Market predictions and expectations are inherently uncertain and actual results may differ materially from those contained in this press release or the report. Please refer to the full report for a complete understanding of the assumptions underlying the report’s conclusions and the methodologies used to create the report. Neither Pike Research nor Navigant undertakes any obligation to update any of the information contained in this press release or the report.

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