US Mobile Revenue to Overtake All Fixed-Line Services by 2015
Published on: 4th Aug 2010
Note -- this news article is more than a year old.
Through 2015, the U.S. will add more mobile subscriptions (about 80 million) than any other developed nation with mobile revenue surpassing all fixed line services by end of 2015, according to a new report from Pyramid Research.
With an estimated $362 billion in service revenue in 2010, the U.S. will continue to be more than twice as large as the next most sizable markets - Japan and China - throughout the forecast period. Over the next five years, Pyramid expects total communications service revenue to grow at a CAGR of 2.53 percent to reach $410.2 billion in 2015.
By 2015, mobile broadband computing will comprise about 40 percent of total mobile subscription net adds. "We believe embedded 3G, WiMax, and LTE devices, including M2M communications, e-readers, and telematics, will continue to drive adoption after the market exceeds 100 percent penetration," says Ozgur Aytar, Research Director at Pyramid Research. "All of the major broadband service providers already, or are beginning to, provide service bundles that integrate mobile broadband services, a key area of differentiation. By 2015, we expect mobile services to overtake fixed in terms of revenue."
The U.S. fixed-line segment is in a stage of transformation in which broadband services, and no longer fixed voice, are rapidly becoming core services for network operators. Pyramid expects broadband to surpass fixed voice penetration of households by 2011 as broadband becomes the primary means of communication, notes Aytar, enabling a slew of extremely popular value-added services, including social networking, online video and blogging.