Tuesday, September 20, 2005

Pyramid Research: ‘BRIC’ countries will add 42% of new mobile subscribers

According to a new report from Pyramid Research, 1.37 billion new subscribers will be added to global mobile networks worldwide between 2005 and 2010. Pyramid predicts that 645 million of them or 42 percent will be from high-growth 'BRIC' countries - Brazil, Russia, India and China.

Nick Holland at Pyramid said, "Given the fact that mobile penetration has reached saturation in Western Europe and developed Asia, it is no surprise that market players are seeking future growth opportunities for their businesses in fast growing developing markets. Vendors, in particular, are looking with a keen eye at four of the most populous countries in the world for the sale of their infrastructure and terminal equipment."

Pyramid believes these market are less attractive from a service revenue perspectiveand estimates that "roughly 14.5% of total mobile service revenues will be generated from the BRIC countries. By contrast, the United States mobile market will generate over US$800b in service revenue, or 18.1% of the global mobile services market, more than China, Brazil, India and Russia combined."

Holland added, "players focused on new services and applications, content, mobile commerce and other new service platforms are advised to continue focusing on the US and Japan," since they will account for almost one third of all projected service and applications revenues.