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, sales@parksassociates.com.

About Parks Associates: Parks Associates is an internationally recognized market research and consulting company specializing in emerging consumer technology products and services. Founded in 1986, Parks Associates creates research capital for companies ranging from Fortune 500 to small start-ups through market reports, primary studies, consumer research, custom research, workshops, executive conferences, and annual service subscriptions.

The company's expertise includes the Internet of Things (IoT), digital media and platforms, entertainment and gaming, home networks, Internet and television services, digital health, mobile applications and services, support services, consumer apps, advanced advertising, consumer electronics, energy management, and home control systems and security.

Each year, Parks Associates hosts industry webcasts, the CONNECTIONS™ Conference Series, Smart Energy Summit: Engaging the Consumer, Connected Health Summit: Engaging Consumers, and Future of Video: OTT, Pay TV, and Digital Media.

http://www.parksassociates.com

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