 Ericsson has forecast smartphone subscriptions will reach 6.1 billion in 2020, with 70 per cent of the world’s population to be using smartphones.
Almost 80 per cent of new subscriptions will come from the Asia Pacific, the Middle East and Africa, while growth in mature markets will come from an increasing number of devices per individual. In turn, smartphone data usage is predicted to increase tenfold by 2020, with 80 per cent of all mobile data traffic to come from smartphones. Ericsson has forecast mobile video traffic will grow 55 per cent per year, making up around 60 per cent of all mobile data traffic by 2020. Growth will largely be driven by shifting user preferences towards video streaming services, along with the increasing prevalence of video in online content, including news, advertisements and social media. Ericsson’s findings show a significant proportion of traffic is generated by a limited number of subscribers in advanced mobile broadband markets, with heavy data users representing 10 per cent of total subscribers while generating 55 per cent of total data traffic.
“We see the potential for mass-scale transformation, bringing a wealth of opportunities for telecom operators and others to capture new revenue streams,” Qureshi commented. “But it also requires greater focus on cost-efficient delivery and openness to new business models to compete and remain effective.” |
