Analysys Mason

Machine-to-machine (M2M) is often portrayed as a nascent industry sector. However, operators are already generating strong revenue in this sector, amounting to USD10 billion worldwide in 2013, and increasing to USD88 billion by 2023. Future growth opportunities will be realised in emerging regions as applications are tailored to local markets and the cost of solutions declines.

LTE represents an opportunity for operators to increase revenue by pricing the new service at a premium. However, the successful LTE operators in the USA are not following that strategy: continued traffic growth from additional usage and multiple devices is encouraging users towards more expensive plans, which is resulting in consistently increasing ARPU.

Telecoms retail revenue in the emerging Asia-Pacific (APAC) region is predicted to grow at a compound annual growth rate (CAGR) of 7 percent between 2011 and 2016, according to a new report from Analysys Mason (www.analysysmason.com). Total telecoms service revenue will grow by 29 pecent from USD229.7 billion in 2011 to USD323.7 billion by 2016.

Developing appropriate pricing and differentiation strategies for 4G services will be a critical challenge for operators in Asia wanting to monetise investments in 4G as advanced mobile networks are rolled out across the region, according to a new report titled ‘The developed Asia–Pacific telecoms market: trends and forecasts 2011–2016’ from global telecoms and media specialists Analysys Mason (www.analysysmason.com).