Mobile Broadband Quarterly Review, Q2-2010

Summary of ARPU trends among top 30 global operators

• Data being positioned as the centre of business strategy, with operators aiming to offset the weakness in voice revenues with increasing data revenues.
• The ARPU charts of Top 30 club were dominated by NTTDoCoMo, KDDI, Verizon, Sprint, Telenor, Singtel, Vodafone, and AT&T.
• Increase in data revenue as a % of service revenue continues, with North America’s overall data revenue accounted for 30.5% of total mobile service revenue in the region during 1Q10, versus Asia-Pacific’s 28.9%, and Western Europe’s 27.3%.
• The trends in Japans are precursor of what is expected to follow in US, China and India. AT&T reported annual increase of 32% in data, and data grew 16% in Verizon. With 3G networks available in China, and ongoing deployment in India, growth of mobile data is expected to surge in Asia Pacific during FY2011.
• Strong growth continued in mobile broadband subscriptions. Asia-Pacific remained as the biggest mobile broadband markets in volume terms, with its subscription base accounted for 44.5% of overall global mobile broadband subscription in 2Q10.

• MTN (South Africa) recorded highest annual increase of around 73% merely highlighting the growth potential in emerging markets. MTN recorded improvement of data ARPU from 1.93 in Q1, 2009 to 3.77 by Q2, 2010.
• Similar growth in uptake of mobile data was seen in Vodacom (South Africa) . Vodacom recorded 59 % annual growth from data services. It has increased its ARPU from 1.70 in Q1,2009 to 3.70 by Q2,2010.
• Strong growth in Russia ( Vimple com ) , Malaysia ( Axita ) and Turkey ( Turkcell ) were recorded with annual percentage growth of over 40%.
  

Mobile Broadband Summary

• Asia-Pacific remained the biggest mobile broadband markets in volume terms, with its subscription base accounted for 44.5% of overall global mobile broadband subscription in 1Q10.
• In India, mobile broadband subscription is expected to grow 6.59 times from its current subscription levels of 9.57 million, to 65 million by December, 2011.
• In China, mobile broadband subscription is expected to grow 2.9 times from its current levels of 32 million, to 92 Million by December, 2011.

Average Mobile Broadband Pricing Summary, Q2,2010

• Most expensive mobile broadband subscription was recorded in South Africa. The data uptake among South African Operators like MTN and Vodacom was among the highest globally. Vodcaom mobile broadband subscription in Q2,2010 was US$ 97.0

  

• Middle East recorded second highest data subscription ARPUs among global operators. Q-Tel average subscription price was US$ 63.89 in Q2,2010. Ethihad Etisalat recorded $ 59.84 as average subscription price during the same period.
• In US/Canada , following average subscription prices were observed.
  • Sprint Nextel – USD 59.90
  • US Cellular – USD 49.95
  • AT&T Mobility- USD 47.50
  • Rogers Wireless Communications – USD 43.35
  • SaskTel Mobility – USD 42.14
  • Verizon Wireless – USD 38.99
  • T-Mobile USA – 32. 49
• In Asia Pacific, following average subscription prices were observed.
  • Softbank – USD 75
  • Vodafone NewZeland – 34.54
  • Hutchinson 3G – 33.25
  • Optus – 32.47
  • SingTel – 29.80
  • Vodafone – 28.14
  • Tata Indicom – USD 20
• In Western Europe , following average subscription prices were observed;