Monday, January 11, 2021

Some Wholesale Voice Markets Remain Lucrative

Wholesale voice networks make most of their money in a handful of regional markets, and most of that is generated by users on mobile phones, TeleGeogrphy says. Sub-Saharan Africa represents six percent of the world's wholesale traffic, but accounted for 23 percent of wholesale voice revenues ($3.7 billion) in 2019. 


Countries in the Middle East accounted for six percent of world wholesale traffic, but 11 percent of wholesale revenues ($1.8 billion). The global market now represents about $16 billion in annual revenue, 


Wholesale revenues are bolstered by a select set of low-traffic routes with stubbornly high prices, TeleGeography says. The France-to-Tunisia route accounts for just 0.3 percent of international traffic, but, at $0.54 per minute, it provides three percent of all revenues. 


Conversely, the U.S.-Mexico route represents nine percent of all international traffic, but only 0.5 percent of wholesale carrier revenues.


As you would guess, consolidation has happened. In 2019, seven carriers represented more than 20 billion minutes of traffic, down from 11 networks in 2015. 


Among the nine largest carriers in the world, only one terminated more traffic in 2019 than in 2018.


Total global service provider revenue is a bit shy of $1.4 trillion, according to Statista. 


source: Statista


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