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, a woman-owned and woman-led internationally recognized market research and consulting company, specializes in emerging technology solutions serving the consumer and small to medium business (SMB) markets. Celebrating its 35th year in 2021, Parks Associates is a partner to companies navigating the changing consumer technology landscapes through data-driven market insights, extensive consumer and industry intelligence, custom marketing services, and executive networking experiences and conferences.

The company's expertise includes home automation, control systems and security, digital media and platforms, entertainment and gaming, home networks, internet and video services, connected health and independent living solutions, mobile applications and services, support services, consumer electronics, and energy management solutions.

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

Next: Mobile preferences show generational divide as younger smartphone users choose apps over Web browsers
Previous: Parks Associates finds demand for mobile applications will help consumers overcome resistance to advertising

Comments

    Be the first to leave a comment.

Post a Comment

Have a comment? Login or create an account to start a discussion.

© 1998-2021 Parks Associates. All Rights Reserved.