4G to Reach Close to 80% of Total Mobile Data Traffic Globally by 2020

4G to Reach Close to 80% of Total Mobile Data Traffic Globally by 2020 Image Credit: ABI Research

The annual global 4G data usage in 2020 will exceed 224.7 Exabytes and is expected to contribute to 79% of the total data traffic on mobile networks, said ABI Research in a recent report release.  According to the firm, 4G data has started to dominate mobile data consumption this year and is forecast to gather increased momentum with more network rollouts and higher data consumption across more regions.

Despite the continues decline in mobile voice revenues across all regions, the robust growth in data services saw aggregate mobile service revenues for 2014 increasing 2.8% year-on-year globally. 

ABI also expects the gap between 4G and 3G monthly ARPU to widen over the period 2014 to 2020 with 4G ARPU expected to hold up better as a result of the higher data consumption. However, competition between Operators will see both ARPUs declining, added ABI Research. 

Marina Lu, Research Analyst at ABI Research
To propel data traffic usage and maintain sustainable profitability, mobile operators are sparing no effort to migrate customers to 4G networks through new favorable tariff plans, and convenient and quick update services. In addition, the richer content services including HD video, lossless music, and high-speed games are in great demand, boosting data service revenues.

Jake Saunders, VP and Practice Director
During its first full year of LTE commercialization, China Mobile has successfully transformed from a voice-centric to a more data-centric operation. Leveraging an accelerated 4G development plan to monetize data traffic services has been a huge boost.

Ray is a news editor at The Fast Mode, bringing with him more than 10 years of experience in the wireless industry.

For tips and feedback, email Ray at ray.sharma(at)thefastmode.com, or reach him on LinkedIn @raysharma10, Facebook @1RaySharma

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