Mexican Mobile Revenues Will Surpass Switched Access Revenues by 2006, According to the Yankee Group
crm2day.com,
Research firm's 1Q02 forecast predicts 21% compound annual growth in mobile
service revenues through 2006.
08 March 2002
While Mexican cellular/PCS subscribers surpassed fixed-line access in
mid-2000, not until 2006 will revenues from mobile services overtake revenues
from switched access services. Switched access revenues include those from
monthly basic service fees and usage, voice value-added service, and domestic
and international calls. The Yankee Group predicts that from a total of $4.4
billion in 2001, Mexican wireless voice and data service revenues will surge to
$11.7 billion by the end of 2006, while switched access revenues will top out at
$10.8 billion.
According to Yankee Group analysts, the fastest growing markets in Mexico over
the next five years will be ADSL, dedicated hosting, cable modem, shared
hosting, and dedicated IP connections. ADSL revenues are predicted to grow at
a compound annual growth rate over 85%, dedicated hosting revenues 77%,
cable modem 35%, shared hosting 29%, and dedicated IP 26%. On the other
end of the spectrum, the Yankee Group expects that X.25 and dedicated line
revenues will decrease by an annual compound rate of 16% and 2%,
respectively.
Strengthening competition and end users' increasing search for solutions to
improve efficiency and cut costs are the main drivers of growth in the Mexican
market. In the wireless sector, prepaid services will continue to fuel rapid growth,
reaching 93% of the subscriber base by 2006.
Yankee Group analyst Felipe Gonzalez states that "contrary to what we have
seen until now, in the near future Mexican operators will more successfully
provide mobile data services to meet their customers' expectations, replicating
products and strategies whose effectiveness has already been proven in other
markets." |
