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Mobile DPI, Policy and Optimization Markets to Top US$ 25B as Smart Broadband Proliferates, Says ABI Research

ABI Research’s latest forecasts estimate the mobile portion of the 3GPP PCRF, DPI, and web/video optimization market as a collective whole will nudge US$ 3 Billion in 2014 and comfortably exceed US$ 25 Billion through 2019. Of this, roughly 80% of the market is DPI and policy related, as video optimization revenues remain challenging.

“Net Neutrality notwithstanding, the DPI and Policy markets reflect the operators’ need to differentiate and optimize revenues,” comments Joe Hoffman, practice director of mobile networks. “In the world of Smart Broadband, ‘if you can’t measure it, you can’t manage it’ is certainly true, and the coordination of these two are critical for operator profitability.”

Mobile Video and Web Optimization use cases are different from earlier industry expectations. “Video Optimization is a necessary table stake for operators,” adds Hoffman, “and now the focus is on targeted optimization to manage quality of experience under network congestion.”

Operators that move away from All-You-Can-Eat tariffs are quite happy for subscribers to spend time watching YouTube with their 4G networks, and will apply video optimization with surgical precision when and where needed. While network management and security remain important, the value shifts toward monetizing the traffic, making policy and DPI much more intertwined than they are today, and are also a critical part of mobile infrastructure strategy.

The mainstream infrastructure vendors, Ericsson, Nokia, Cisco and Huawei have all stepped up their offerings with their own or partnered solutions. Likewise, the leading independents, ByteMobile, Vantrix, and Openwave Mobility provide differentiated and targeted solutions suitable for every mobile broadband operator.

These forecasts are published as a part of the mobile network monitoring and optimization bi-annual market update, which tracks various elements including UE client optimization, radio test, radio probes, routing/transport optimization, DPI (deep packet inspection), web and video optimization, and policy servers.

These findings are part of ABI Research’s Next Generation Optimization, DPI & Policy Market Research (https://www.abiresearch.com/market-research/service/next-generation-optimization-dpi-policy/).

ABI Research provides in-depth analysis and quantitative forecasting of trends in global connectivity and other emerging technologies. From offices in North America, Europe and Asia, ABI Research’s worldwide team of experts advises thousands of decision makers through 70+ research and advisory services. Est. 1990. For more information visit www.abiresearch.com , or call +1.516.624.2500.

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