News

11 June 2009

 

Mobile service revenue growth slows to 3% in Q1/2009

Mobile service revenues grew by just 3% in Q1/2009, down from 8% a year ago, according to the report ‘Wireless Operator Performance Benchmarking, Q1 2009’ from the Strategy Analytics Wireless Network Strategies service. Nearly 40% of all mobile operators saw revenues fall, compared to just 16% being in the same situation in Q1/2008.

The research, which tracks the operational and financial performance of the over 175 mobile operators accounting for 80% of global subscribers, found that vanishing revenue growth was not just a problem in mature, saturated markets. A quarter of operators in emerging markets also saw service revenues fall in Q1/2009.

“Europe is seeing the greatest concentration of operators losing revenues at present,” says Phil Kendall, director, Wireless Network Strategies. “This used to just be an issue for the more saturated, Western half, but has now extended to Central and Eastern Europe, too,” he adds.

“In many other regions, operators recording revenue loss tend to be isolated cases where competitive pressure has hurt one operator more than others,” says Susan Welsh de Grimaldo, senior analyst, Wireless Network Strategies. “However, in the Asia-Pacific, we are now seeing countries like Bangladesh, Indonesia and Thailand become tough environments for all players.”

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