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 Tuesday, February 10, 2009

A report from IDATE says that the world telecom services market is estimated at US$1,365 billion in 2008 - a 4.2% increase over the year before - and is expected to be worth over US$1,416 billion in 2009. ­With a total turnover estimated at US$742.2 billion in 2008, mobile services account for 54% of the telecom services market and single handedly deliver all of the sectorís growth. But the annual growth rate has dropped from more than 12% in 2007 to 8% in 2008.

The mobile customer base worldwide grew by another 17% in 2008, but is offset by a steady decline in average revenue per user (ARPU) which dropped to US$17.50 a month in 2008. Meanwhile, fixed network services are stagnating.

The revenue generated by data services - whose growth is being spurred chiefly by broadband access - rose by US$20 billion in 2008, while fixed telephony revenue dropped by as much, even if the impact on the base is still limited: the number of fixed phone lines shrunk by just over 10 million during the year, i.e. by just under 1%. The number of broadband connections grew by close to 20% to 415 million at the end of 2008: with an average density of 6.4 broadband connections per 100 inhabitants, this market still has considerable room to grow, especially in emerging economies. In more advanced markets, broadband density is over 30%, i.e. between 70% and 80% of households are already equipped.

Source: Cellular News.