Mobile internet revenue will make up 44.7% of total mobile service revenue by 2019, says ABI Research. ABI Research, a provider of research and analysis for global connectivity and other emerging technologies expects telecommunications service providers to rake in USD456 billion from the mobile internet on the back of increased consumption of mobile internet services ranging from web browsing, web based applications, web-based content and web-based sharing and communication.
According to ABI Research, the year-on-year growth for mobile service revenue is expected to reach 2.9% this year, delivering USD1.01 trillion for service providers although the first quarter of this year saw mobile service revenues increasing at only 0.58% year-on-year to USD264 billion. The lacklustre performance posted by major service providers in Europe on their first quarter earnings and the erosion of voice and messaging revenues due to competition from the Over-the-Top (OTT) applications are the major reasons for the slowdown at the beginning of the year, although the steady rise in revenues from mobile internet is expected to offset this trend in the later part of this year.
These findings are posted by ABI in its Mobile Deployments, CAPEX, and Traffic Market Research report, which also analyzed the earnings of individual service providers across the globe. ABI said that in the first quarter this year, Verizon Wireless overtook China Mobile for the first time in terms of profitability with AT&T taking the third place.
"Facing continued price pressure driven by the competitive mobile market, mobile carriers have had to take on higher subscriber retention and acquisition costs to support their market positions. This has affected profitability."
- Marina Lu, Research Analyst, ABI Research
"Japan and South Korea mobile operators have spared no effort to boost mobile data usage, expecting monthly data traffic per wireless subscriber will reach 12 Gigabytes in 2019. Global mobile data traffic will reach 260.8 Exabytes by 2019, nearly a six-fold increase on 2014.”
- Jake Saunders, VP and Practice Director, Core Forecasting, ABI Research
