Friday, September 5, 2014

Global Mobile Service Revenue Will Begin Declining in 2019

If you want clear evidence of how tough revenue growth has gotten in the global communications business, consider this forecast by Strategy Analytics: though global mobile service revenue growth will accelerate in 2014, it is going to go flat in 2015.

By 2019, mobile service revenue actually will begin to decline.

The good news is that global mobile service revenue will surpass the $1 trillion level in 2015. The bad news is sharply-declining revenue growth rates thereafter, also affected by declining revenues for 2G and 3G services.

European markets remain a trouble spot.  In 2014, European mobile revenue growth will be 17 percent below its 2008 peak. In fact, an apparent jump in global growth rates in 2014 is largely down to the slowing rate of decline in Europe.

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