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January 9, 2019 | Frost & SullivanEstimated reading time: 1 minute
The next five years for the mobile services market in Asia-Pacific may see intense competition among mobile network operators (MNOs) who are compelled to offer customized solutions and innovative new services. With 5G technology as a potential game changer in terms of services offered by MNOs, the importance of clear business strategies and sound execution cannot be understated.
The mobile telecommunications market in Asia-Pacific served 4.04 billion subscribers in 2017, and is expected to reach 4.58 billion by 2021, growing at a CAGR (2017–2021) of 3.1%.
Frost & Sullivan recently published a report titled Asia-Pacific Mobile Services Market, Forecast to 2021, which highlights three key trends in the mobile services market, namely:
- MNOs will strengthen their Information & Communication Technologies (ICT) services portfolio through Internet of Things (IoT) and eCommerce offerings
- Increasing partnerships with IT service providers will strengthen their competencies in core IT services i.e. billing, cloud, IoT, Big Data and analytics
- Outsourcing of tower assets and contact center services to third-party providers will continue, as part of MNOs’ strategy to shift from a Capital Expenditure (CAPEX) to an Operating Expenditure (OPEX) model
“One of the key trends that is set to continue within the mobile services market is declining revenue in voice and messaging services, alongside strong growth in data revenue due to the proliferation of over-the-top (OTT) applications,” said Mei Lee Quah, Industry Principal Analyst, Information & Communication Technologies Practice, Digital Transformation at Frost & Sullivan.
“The future of MNO revenue lies within digital services, a ‘mobile-first’ culture, technology as a differentiator, and customer experience. MNOs also need to start planning for 5G, as they need to take a comprehensive approach to the security challenges that new opportunities with 5G will open up,” she added.
Frost & Sullivan’s report, Asia-Pacific Mobile Services Market, Forecast to 2021, offers detailed analysis on growth opportunities for market participants in the mobile services market in Asia-Pacific, including:
- Mobile Services: MNOs can tap into the enterprise segment to increase revenues through partnerships with enterprises in new businesses, such as IoT, AR/VR and Cloud.
- 5G: Having a plan for 5G rollout in the near future by identifying a high-level vision followed by detailed strategic planning can reduce uncertainty and future reworks.
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