"Core" Telecom Market Now Includes Video Entertainment, Boosting Addressable Market at Least 29%

Not so long ago, the U.S. telecommunications market generated total revenue of $200 to $300 billion. These days, depending on what is included in the count, U.S. telecommunications revenue is closer to $500 billion, according to Wiley Rein. The higher figures normally include video entertainment revenues and advertising.

The “traditional telecom” revenues (fixed and mobile service revenues) tend to range in the $350 million range annually. The caveat is that those figures also include video entertainment revenues earned by telcos, not just voice and data in the consumer and business segments.

According to the FCC’s annual wireless competition report, total wireless service revenue in 2014 was $187.8 billion. By some estimates, as much as 80 percent of consumer revenue is generated by the mobile segment.

Another $100 billion or so worth of revenue is added to the “telecom market” total, including cable TV and satellite operator revenue. In that sense, the “core telecom” market might already be in the $450 billion range.

In 2014, cable video revenue was $62.3 billion, and satellite video revenue was $40.6 billion.
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