Mobile Data Market Continues to Balloon

Mobile Data Market Continues to BalloonBased on the latest data collected and presented by Chetan Sharma Consulting, the U.S. mobile data market expanded by 6 percent quarter-over-quarter in the second quarter of 2010. The translation into revenue is $13.2 billion, which amount to a substantial 22 percent annual increase.

According to Chetan Sharma mobile data service revenues remain on track so far to meet the firm’s initial estimate of $54B for the year.

The report notes that Verizon Wireless managed to hang on to its number one ranking for the 1H 2010 “in terms of the operator with the most mobile data revenues.” The total wireless connections for Verizon were roughly 100 million.

“Sprint had the first positive netadd quarter in 3 years and has been slowly and steadily turning the ship around,” Chetan Sharma revealed. “T-Mobile did better on the postpaid netadds but overall additions declined again.”

It should also be noted that the US subscription penetration crossed 95% at the end of Q2 2010. “If we take out the demographics of 5 yrs and younger,” the report states, “the mobile penetration is now past 100%.”

Although the traditional net-adds “have been slowing,” the connected device segment has taken off like a rocket ship, with AT&T and Verizon adding more connected devices than postpaid subs in Q2 2010.

“Given the slow postpaid growth, operators are fiercely competing in prepaid, enterprise, connected devices, and M2M segments.”

With mobile data traffic and consumption growing faster than most can imagine, the report suggests further growth in the market based on the growing involvement of tomorrow’s mobile users. “Kids of the now generation,” Chetan Sharma says “are growing with connected electronics that is fundamentally altering the behaviors and expectations of interaction, communication, consumption, and monetization.”


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