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Mobile operators' revenue growth to slow in short term

01 июля 2009

Telecom operators' mobile revenue growth is likely to slow in the short term due to the economic recession, Ovum said Tuesday.

The consulting firm said it now expects global mobile services revenue to breach the $1 trillion barrier in 2011, missing its previous estimate by a year.

Still,"the recessionary impact will be relatively muted compared to other industries, and mobile is expected to recover strongly from 2011," said Ovum senior analyst Steven Hartley.

Ovum forecast that mobile connections will grow 59% from 2008 to 2014, to 6.42 billion, for global penetration of 89%. It said this trend will push down average revenue per user (ARPU), making network efficiency increasingly important.

Mobile penetration is likely reach 69% in Africa and 78% in Asia-Pacific by 2014, Ovum said. It added that although mobile penetration in other regions will reach around 100%, further growth on these markets will still be possible from multiple SIM ownership and demand for devices that can handle increasing amounts of data.

Ovum forecast that voice will remain the largest revenue driver, accounting for 69% of global revenue by 2014."Operators must not ignore this fact in the race for data revenues," it said.

The consultancy said there will be around 109 million Long-Term Evolution (LTE) connections worldwide by 2014, while the growth of mobile WiMAX will slow, reaching 55 million connections the same year.

It said the two technologies combined will make up only 2.6% of the total number of global connections by 2014, adding that "the migration to 4G will be neither easy or overnight."


Источник: Total Telecom

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