Competition has become even more cutthroat among next gen mobile and wireless broadband service providers, says Infonetics Research in a new study about North American, European, and Asia Pacific operators. The study shows 65% of providers rating competition and customer retention as the most challenging of their business concerns.
As competition increases, the contest becomes focused on the range of services offered rather than price, so creating new services is key to driving revenue, says Infonetics.
"Beyond basic voice and access services, mobile and wireless operators are focusing on increasingly popular mobile TV and interactive video services like chat and blogging. Video-based services represent a golden opportunity for operators to diversify their offerings and boost ARPU, but new media services present business model issues as well as technical challenges like streaming and download capabilities," said Richard Webb, directing analyst at Infonetics Research.
Service providers indicate confidence in the new services they plan to offer, with participants in the study saying they expect revenue from next gen mobile services to increase 121% on average.
Capex among respondents jumps 21% between 2006 and 2008, from an average of $2.8 billion to $3.4 billion, a sign that providers are investing heavily to continue upgrading mobile infrastructure to 3G and on toward 4G.
Report Highlights
Posted to the site on 11th April 2007
Posted to: www.cellular-news.com/story/23084.php