Global Telecom Revenue Expected to Reach US $1.9 Trillion by 2012
A newly released report from Hot Telecom analyses the current status of the Global Telecom Market. The global telecom services revenue reached US$1.5 trillion in 2006 and should grow by an average of 4.2% over the next 5 years to reach US$1.9 trillion.
Montreal, Canada, November 07, 2007 --(PR.com)-- According to the information released by Hot Telecom (www.hottelecom.com) in its latest report “Global Telecom Market Status and Forecast”, the global telecom services revenue reached US$1.5 trillion in 2006, representing a 7.4% increase on 2005, and a slight slowing of growth (which was 8.8% between 2004 and 2005).
Over the forecasted period to the end of 2011, growth is projected to slow to a five-year compound annual growth rate (CAGR) of 4.2% and revenue is expected to increase by US$347 billion to reach almost US$1.9 trillion.
The slowing of the revenue growth will be caused by the declining value of the fixed services market in a number of countries, increasing saturation in some mobile and Internet markets, and pressure on prices across all sectors.
An increasing percentage of the world’s telecom revenue will be generated by mobile and Internet services and it is forecasted that mobile will surpass the fixed market, in terms of revenue, as early as the end of 2007.
“By year-end 2006, the global aggregate number of fixed, mobile and Internet subscribers increased by 15.1% to over 4.4 billion and this number should grow by a further 12.3% to 5.0 billion by the end of 2007” Hot Telecom’s president Isabelle Paradis said.
Although fixed subscriber expansion is slowing, the total number of fixed, mobile and Internet subscribers should grow by a CAGR of 8.6% over the next 5 years to reach 6.7 billion. The increase in number of subscribers will mainly be driven by new broadband and mobile connections.
Mobile should remain one of the main drivers of growth in customer numbers over the next 5 years. The mobile sector, which peaked in terms of expansion in 2004 and 2005 with growth rates of 25.2% and 25.6%, rose further to reach 2.69 billion customers in 2006, representing an increase of 23.7%. At that time, mobile penetration stood at 41.8%, a significant increase over 2005, when mobile penetration was 34.2%.
This 57-page report, which includes 45 detailed exhibits on the global market, confirms that broadband will continue to be the fastest growing telecom sector, with a forecasted global CAGR of 14.0% over the next 5 years. The bulk of the broadband percentage growth will come from low broadband penetration regions such as Middle East and Africa (MEA), Latin America and Eastern Europe.
When analysing the global telecom market on a regional basis, Asia is the largest region by far and now represents 45.6%, 38.4%, 40.4% and 37.1% of the world’s fixed, mobile, Internet and broadband subscribers respectively.
MEA will be the fastest growing region in all sectors, apart from Internet, with forecasted CAGRs of 4.7%, 18.7%, 13.8% and 34.0% in the fixed, mobile, Internet and broadband sectors respectively.
Find out how the upcoming trends of the global telecom environment will impact your business in Hot Telecom’s new 57-page global report, which can be purchased online through Hot Telecom: http://www.hottelecom.com/telecom-market-forecast.html
About Hot Telecom:
Hot Telecom is the leading telecom expertise site providing premier quality telecom data, reports and services to the International telecom community. With its head office in Montreal - Canada, Hot Telecom’s team is composed of International telecom experts based in America, Europe and Asia, giving it a unique insight into the global telecom market. To date, Hot Telecom has served more than 80 global companies, providing them with a range of services that includes telecom reports and forecasts covering over 50 countries and 100 operators in all regions of the world.
Isabelle Paradis
Hot Telecom
Phone: +1 514 270 1636
Fax: +1 215 701 7537
sales@hottelecom.com
http://www.hottelecom.com
###
Over the forecasted period to the end of 2011, growth is projected to slow to a five-year compound annual growth rate (CAGR) of 4.2% and revenue is expected to increase by US$347 billion to reach almost US$1.9 trillion.
The slowing of the revenue growth will be caused by the declining value of the fixed services market in a number of countries, increasing saturation in some mobile and Internet markets, and pressure on prices across all sectors.
An increasing percentage of the world’s telecom revenue will be generated by mobile and Internet services and it is forecasted that mobile will surpass the fixed market, in terms of revenue, as early as the end of 2007.
“By year-end 2006, the global aggregate number of fixed, mobile and Internet subscribers increased by 15.1% to over 4.4 billion and this number should grow by a further 12.3% to 5.0 billion by the end of 2007” Hot Telecom’s president Isabelle Paradis said.
Although fixed subscriber expansion is slowing, the total number of fixed, mobile and Internet subscribers should grow by a CAGR of 8.6% over the next 5 years to reach 6.7 billion. The increase in number of subscribers will mainly be driven by new broadband and mobile connections.
Mobile should remain one of the main drivers of growth in customer numbers over the next 5 years. The mobile sector, which peaked in terms of expansion in 2004 and 2005 with growth rates of 25.2% and 25.6%, rose further to reach 2.69 billion customers in 2006, representing an increase of 23.7%. At that time, mobile penetration stood at 41.8%, a significant increase over 2005, when mobile penetration was 34.2%.
This 57-page report, which includes 45 detailed exhibits on the global market, confirms that broadband will continue to be the fastest growing telecom sector, with a forecasted global CAGR of 14.0% over the next 5 years. The bulk of the broadband percentage growth will come from low broadband penetration regions such as Middle East and Africa (MEA), Latin America and Eastern Europe.
When analysing the global telecom market on a regional basis, Asia is the largest region by far and now represents 45.6%, 38.4%, 40.4% and 37.1% of the world’s fixed, mobile, Internet and broadband subscribers respectively.
MEA will be the fastest growing region in all sectors, apart from Internet, with forecasted CAGRs of 4.7%, 18.7%, 13.8% and 34.0% in the fixed, mobile, Internet and broadband sectors respectively.
Find out how the upcoming trends of the global telecom environment will impact your business in Hot Telecom’s new 57-page global report, which can be purchased online through Hot Telecom: http://www.hottelecom.com/telecom-market-forecast.html
About Hot Telecom:
Hot Telecom is the leading telecom expertise site providing premier quality telecom data, reports and services to the International telecom community. With its head office in Montreal - Canada, Hot Telecom’s team is composed of International telecom experts based in America, Europe and Asia, giving it a unique insight into the global telecom market. To date, Hot Telecom has served more than 80 global companies, providing them with a range of services that includes telecom reports and forecasts covering over 50 countries and 100 operators in all regions of the world.
Isabelle Paradis
Hot Telecom
Phone: +1 514 270 1636
Fax: +1 215 701 7537
sales@hottelecom.com
http://www.hottelecom.com
###
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Hot Telecom
Isabelle Paradis
+1 514 270 1636
www.hottelecom.com
Isabelle Paradis
+1 514 270 1636
www.hottelecom.com
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