Friday, March 9, 2012

Will New iPad Boost Mobile Broadband Subscriptions?

The iPad's impact on mobile broadband could be substantial, according to Kevin Smithen, an analyst at Macquarie Securities USA.


Perhaps 30 percent of purchasers of the new device will use it on carriers’ networks, up from less than 20 percent for prior- generation iPads, Smithen says.


For AT&T and Verizon Wireless, that may mean an extra $45 a month per iPad subscriber, on average, Smithen said. 


Such forecasts rely on an assumption that the higher definition display and Long Term Evolution fourth generation network capability will entice new iPad users to watch more entertainment video, and to do so in mobile settings outside of home and workplace settings. 

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