Thursday, November 04, 2010

Parks Associates reports mobile carriers must focus on data services as smartphone sales exceed 215 million units in 2010

Voice revenues continue to decline worldwide; data to account for almost 50% of mobile ARPU by 2014

Mobile operators have to diversify their business plans, according to a new report from Parks Associates, which finds voice ARPU declining by as much as 30% in some areas, while annual smartphone sales will exceed 215 million units in 2010, creating new opportunities for data services.

“Mobile operators are looking to their data-based services for revenue generation and to offset losses in voice revenues,” said Parks Associates. “In North America, AT&T, Verizon, Sprint, and Rogers Wireless have started data-based initiatives including subsidization of smartphone handsets, branded mobile-app storefronts, wholesale connectivity to connected CE, and network upgrades. In Western Europe, Vodafone continues to push its mobile broadband offerings and recently launched a new suite of Internet services for mobile devices. These are all key monetization strategies as the market shifts away from voice services.”

Mobile Services: Global Outlook (Second Edition), a new report from the international research firm, finds voice ARPU in North America will decline by almost 30% from 2009 to 2014. Over the same timeframe, it will decline by 27% in Western Europe and 25% in Asia-Pacific.

Regulatory changes, increasing competition, and the struggle to attract and retain high-value subscribers conspired to drive down voice ARPU and revenues. In contrast, global smartphone shipments experienced a 32% year-over-year increase from 2008 to 2009, and they account for 16% of worldwide mobile phone shipments, compared with 11% in 2008.

Mobile Services: Global Outlook (Second Edition) explores trends within the global mobile marketplace and the surrounding industries and includes market recommendations and regional forecasts through 2014. For more information, contact 972-490-1113, [email protected].

About Parks Associates: Parks Associates, a woman-founded and certified business, is an internationally recognized market research and consulting company specializing in emerging consumer technology products and services. Founded in 1986, Parks Associates provides business intelligence and research services through its proprietary methodologies developed over decades, including quarterly surveys of 10,000 internet households.

The company's expertise crosses many industries: home security and smart home, streaming video, broadband and pay-TV services, digital media and platforms, gaming, Wi-Fi and home networks, connected health, support, consumer electronics, home control systems, energy management, and tech solutions for the multi-dwelling (MDU), small-to-medium business (SMB), and commercial building markets.

Each year, Parks Associates brings thousands of leaders together for its webinars and annual events. The firm hosts the annual executive research and strategy conferences CONNECTIONS™, Connected Health Summit, Smart Energy Summit, Smart Spaces, and Future of Video. https://www.parksassociates.com
 

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