Global
Telecom Revenue expected to reach US$1.2 trillion
by 2016
Isabelle Paradis
July 2011
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info >>
According
to the information released by HOT TELECOM (www.hottelecom.com)
in its latest report “Global
Telecom Market Status and Forecast”, the
global telecom services revenue reached US$1.9 trillion
in 2010, representing a 4.5% increase, an improvement
compared with 2009, when revenue growth had declined
to 3.8%.
Growth
is expected to decline again starting in 2011 up
to 2016 and telecom service revenue growth is therefore
projected to slow to a five-year compound annual
growth rate (CAGR) of 2.5% and revenue is expected
to reach US$2.1 trillion in 2015, having surpassed
the US$2.0 trillion mark in 2013.
Trends
impacting the current market evolution include mobile
growth reaching maturity in most markets, fixed
line decline accelerating and spreading to a growing
number of countries and Internet and broadband growth
slowing in many regions. “Continued pressure
on price, may it be in the fixed or mobile segments,
the decline of mobile termination rates and roaming
rates and the increased presence of Over-The-Top
(OTT) players in the voice market will also contribute
to the slowing of telecom service revenue growth
over the next 5 years” HOT TELECOM’s
president Isabelle Paradis said.
By year-end
2010, the global aggregate number of fixed, mobile
and Internet subscribers grew by 10.8% to over 7.2
billion. Nevertheless, for the first time in 2011,
the growth in total telecom subscribers should drop
into the single digits to 7.7%. This is mainly due
to the fact that many regions are nearing saturation
in each of these sectors. The growth in the number
of total telecom subscribers should continue to
slow over the forecasted period with a forecasted
CAGR of 5.1% over the next 5 years to nearly 9.2
billion at the end of 2015. The growth in number
of subscribers will continue to mainly be driven
by new broadband and mobile connections.
This
83-page report, which includes 48 detailed exhibits
on the global market, confirms fixed broadband will
continue to be the fastest growing telecom sector,
after mobile broadband, with a forecasted global
CAGR of 6.7% over the next 5 years. The bulk of
the broadband percentage growth will continue to
come from low broadband penetration regions such
as MEA, Latin America, Asia and Eastern Europe.
With the proliferation of 3G phones, WiMax and LTE
in the coming years, broadband mobile is expected
to be the fastest growing segment over the next
5 years.
When
analysing the global telecom market on a regional
basis, Asia is the largest region by far and now
represents 47.4%, 49.0%, 37.3% and 37.5% of the
world’s fixed, mobile, Internet and broadband
subscribers respectively. MEA will continue to suffer
from the lowest penetration rate in all segments,
with penetration rates as low as 7.5%, 61.5%, 3.3%
and 1.4% in the fixed, mobile, Internet and broadband
sectors respectively in 2010.
Find
out how the upcoming trends of the global telecom
environment will impact your business in HOT TELECOM’s
new 83-page global report, which can be purchased
online through HOT TELECOM: http://www.hottelecom.com/telecom-market-forecast.html
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