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3G Fuels Mobile Revenue Growth to 70% of Mexico's Total Market in 2016

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Growing mobile penetration in Mexico reaching 105 percent by 2014 combined with increasing adoption of data applications over 3G networks, will drive mobile revenue to represent 70 percent of the total market in 2016, according to a new report from Pyramid Research.

"Pyramid Research expects the Mexican telecom market to generate $26.2 billion in service revenue in 2011 and to be worth $28.1 billion in 2012, a 7.1 percent increase mainly as a result from the expansion of mobile data and broadband," says Pyramid Research Senior Analyst, Jose Manuel Mercado.

The introduction of affordable smartphones, and wide variety of tablets and dongles, are contributing to the increased demand for data services and plans. The entry of new competitors like Grupo Televisa in the mobile market and Nextel, with their new 3G network, will foster growth.

"Nextel will finally offer 3G services after winning the spectrum auction in 2010, and Pyramid expects that the company will increase competition in the postpaid segment where it has experience and long-term relationships with clients. Grupo Televisa's entry in the mobile market in partnership with Iusacell will boost their addressable market," he adds.

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Tags: grupo televisa  iusacell  3g  Mexico