Slicing up the Mobile Services Revenue Pie published by Portio Research Limited in January, 2008. This report consists of 140 PAGES and the price starts from US $ 2995.
Abstract
An in-depth analysis of the $900 Billion worldwide mobile market, identifying where the money comes from and where and who it goes to.
The very first mobile telephones, huge briefcase-sized devices, first appeared
in the 1980s and towards the end of that decade a nascent mobile phone
industry was emerging. According to industry research, forecasts predict that
2008 will be the year that the worldwide mobile industry becomes a one
Trillion US Dollar industry. For an industry to go from zero to USD 1 trillion
in just 20 years is a staggering achievement, equal to a CAGR of almost 30
percent sustained for 20 years, an achievement previously unequalled by any
other industry at any time in human history. 2007 became the year to see
worldwide mobile handset shipments exceed 1 billion for the first time, and as
2008 begins so the world also crosses the highly significant 50 percent mobile
penetration point, and the industry enters a year where gross industry
revenues are set to reach 1 trillion Dollars.
As simple voice and text messaging services have become commoditised, prices
and margins have come under intense pressure, forcing mobile network operators
to expand non-voice mobile services to gain competitive advantage. A wide
variety of value-added non-voice services have emerged, from mobile music, to
email, mobile TV and video downloads, location based services, games, gambling
and mobile payment services. In 2007, worldwide, non-voice services accounted
for 18.9 percent of total mobile services revenues, and this figure looks set
to keep growing, reaching more than 25.5 percent by the end of 2012. To put
that in context, worldwide consumer spending on non-voice mobile services in
2012 will exceed 251 Billion US Dollars - more than a quarter of a trillion
Dollars per annum.
From the start, this report sets out to answer these key questions:
- 1. What is the overall value of the worldwide mobile industry?
- 2. Where does the money come from?
- Which services?
- Which geographical regions?
- 3. Where does the money go to?
- Handset vendors?
- Infrastructure equipment vendors?
- Retained by network operators?
- Content partners?
- 4. How will these revenue flows change over the coming years?
- 5. Where is the real money now, which services make the most money, and
which services are making the most profit?
- 6. How does the value of these services change across different regions
and markets?
In 2008 we estimate MNOs worldwide will collect total revenues of USD 874.3
Bn. Interestingly, voice and SMS get little publicity in the mobile world
these days. Just take a look at the conference agenda for the annual Mobile
World Congress in Barcelona in February 2008. Looking down the list of topics
covered in the 4 day conference, all the talk is about mobile TV and video,
HSPA, mobile IM, DRM, mobile finance, mobile search, social networking, data
pricing and mobile enterprise solutions. All of these are exciting growth
areas and most of these topics offer a great deal of promise for the future.
But amid all this excitement, there is barely one mention of voice as a
subject, and barely any mention of SMS as an application, yet voice and SMS
generate well over 80 percent of the total service revenues flowing into this
industry right now, and it' s predominantly voice and SMS that have built this
USD 1 trillion business over the last 20 years. Our forecasts show that in
2008, 88.9 percent of total MNO service revenues worldwide will come from
voice and SMS, and that figure is likely to remain as high as 85 percent even
by the end of 2011. But that still leaves more than USD 161 billion from data
services in 2008, rising to over USD 251 by 2011, and this report looks in
detail at those services to see where the money is coming form and how it' s
split out among the various players in the value chain.
We analyze the MNOs share in content revenues and we look in detail at how
that share is changing over the next 4 or 5 years.
Table of Contents
INTRODUCTION
WORLDWIDE MOBILE MARKET
MOBILE DATA SERVICES
- Introduction
- SMS
- Market Overview
- Value Chain Analysis
- Case Study 1 - India' s SMS Market
- Case Study 2 - The UK' s SMS Market
- Case Study 3 - The US' s SMS Market
- MMS
- Market Overview
- Value Chain Analysis
- Case Study 1 - The US' s MMS Market
- Case Study 2 - The UK' s MMS Market
- Case Study 3 - China' s MMS Market
- Mobile E-mail
- Mobile IM
- Market Overview
- Value Chain Analysis
- Mobile Video Services (Mobile TV and Mobile Video Downloads)
- Market Overview
- Case Study 1 - Italy' s Mobile TV
- Broadcasting Market
- Case Study 2 - South Korean Mobile TV
- Broadcasting Market
- Mobile Music
- Market Overview
- Value Chain Analysis
- Case Study 1 - UK' s Mobile Music Market
- Case Study 2 - India' s Mobile Music Market
- Case Study 3 - The US' s Mobile Music
- Market
- Mobile Games
- Market Overview
- Value Chain Analysis
- Case Study 1- Japan' s Mobile Gaming Market
- Case Study 2 - The US Mobile Gaming
- Market
- Case Study 3 - The Mobile Gaming Market in the UK
- Other Services
- Mobile Payment Services
- Mobile Gambling
- Location-based Services
- Mobile Internet
INFRASTRUCTURE EQUIPMENT VENDORS
MOBILE HANDSET MARKET
CONCLUSIONS
- Trillion Dollar Mobile
- Shifting Trends in the Mobile Data
- Services Market
- Beyond Messaging
- Infrastructure Equipment Vendors
- Mobile Handset Market
APPENDICES
- Glossary
- Portio Research Classifications
- Companies Mentioned in this Report
- About the Authors
- Also available from Portio Research Limited
List of Figures and List of Tables
COMPANIES MENTIONED IN THIS REPORT
- 3
- 3-Italia
- Alcatel-Lucent
- AOL
- Atari
- BBC
- Bharti Airtel
- Capgemini
- Cartoon Network
- China Mobile
- China Unicom
- Cingular Wireless
- CNN
- Comscore Media Matrix
- Dell
- EA Mobile
- Electronic Arts
- Ericsson
- Fox Sports
- Gameloft
- Glu
- Hasbro
- HP
- Huawei Technologies
- Idea Cellular
- I-play
- Java/Sun
- KBS
- Konami
- KongZongWang
- KTF
- LG
- Linux
- M:Metrics
- MasterCard
- Microsoft
- Morgan Stanley
- Motorola
- MSN
- NetEase
- Nokia
- Nokia-Siemens Networks
- Nortel
- Norwegian Broadcasting Corporation
- NTT DoCoMo
- O2
- Obopay
- Orange
- Palm
- PayPal
- PSI
- Qualcomm
- RIM
- Samsung
- SBS
- Sega
- Siemens
- Sina
- SK Telecom
- Sohu
- Sony Ericsson
- Sprint Nextel
- Sun
- Symbian
- Symbol
- Telecom Italia Mobile
- T-Mobile
- TOM
- TU Media Corporation
- United Parcel Service
- Verizon Wireless
- Vodafone
- Warner Brothers
- Yahoo
