REDWOOD CITY, Calif. -- Dell'Oro Group, the trusted source for market information about the networking and telecommunications industries, reported today that sales of mobility infrastructure equipment exceeded $9.6 billion in the first quarter of 2005, a 14 percent increase over the year ago period. The solid results for first quarter 2005 were due in part to robust sales of GSM equipment which grew 23 percent over the year ago period.

"The results for the mobility market in the first quarter came from strong sales of GSM equipment in developing areas of Europe, Asia Pacific, and Latin America," said Greg Collins, Senior Director of Mobility research at Dell'Oro Group. "Service providers with GSM networks, in countries like India, Russia, and Brazil, are investing to meet increasing demand as wireless services and products become more affordable to subscribers in these areas of the world," he added.

The report also indicates that although first quarter sales of mobility infrastructure equipment were exceptionally strong and exceeded three out of four quarters in 2004, sales were down from a seasonally strong fourth quarter in 2004. "The mobility market began to take off in second quarter 2004, making for an easier first quarter comparison," commented Collins. "Based on last year's strong performance, combined with a slow down in subscriber growth, we expect that year-over-year growth will taper over the final three quarters of 2005," commented Collins.

Dell'Oro Group