Mobile service revenue is increasing year-on-year but the growth rate is decreasing and in some cases not keeping pace with network operator capital expenditures, according to a report from Infonetics Research. Despite the rise of revenue from mobile data services, blended ARPU continues to fall or stay flat due to fierce competition, declining voice ARPU, and regulatory tariffs.
Mobile broadband services are growing fastest, with global revenue expected to nearly double between 2012 and 2016. Revenue from services carried on W-CDMA/HSPA networks will exceed revenue from CDMA2000/EV-DO-based services by more than 6-fold by 2016
The report also shows that, due to its aggressive LTE strategy, Verizon Wireless now accounts for just over 1/3 of the world’s 44 million LTE subscribers. Asia Pacific is home to around 45 percent of the world’s 1.1 billion mobile broadband subscribers. The number of mobile broadband subscribers is expected to surpass the contract voice subscriber base by 2015.
The study also found that SMS use is fading in places like Japan, the US, the Netherlands, and the UK in favor of free applications over mobile broadband that enable internet browsing, email and, more importantly, video.
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