The total telecom and pay-TV services revenue in Singapore is expected to decline at a compounded annual growth rate (CAGR) of 0.4% over the forecast period 2024-29, with a steady decline in revenue contributions from fixed voice, pay-TV, and mobile voice segments outweighing revenue growth in mobile broadband and fixed broadband segments, according to GlobalData, a leading data and analytics company.

GlobalData’s Singapore Telecom Operators Country Intelligence Report reveals that mobile voice service revenue will decline at a CAGR of 5.6% between 2024 and 2029 due to a consumer shift towards OTT communication platforms and a subsequent decline in mobile voice average revenue per user (ARPU). Mobile data revenue, on the other hand, will increase at a CAGR of 2.9% over the same period, driven by a continued rise in mobile internet and smartphone subscriber base as well as a projected growth in adoption of higher ARPU-yielding 5G services.

Sarwat Zeeshan, Telecom Analyst at GlobalData, comments: “4G services accounted for the largest share of the mobile services market in 2024 in terms of subscriptions. However, its share will decline over the forecast period due to continued migration of subscribers to 5G services.”

Growth in 5G subscriptions will be driven by rising demand for high-speed data services, the ongoing 5G network expansions by MNOs, and subsequent increases in the availability of 5G services across the country. For instance, as of February 2024, StarHub announced that it has achieved over 99% outdoor 5G network coverage in Singapore. Similarly, in September 2024, Singtel announced that it has achieved full 5G coverage across the country, with indoor 5G network available at over 700 buildings and accessible in the underground railway lines.

In the fixed communication services segment, fixed voice service revenue will decline over the forecast period due to a steady drop in circuit-switched subscriptions and declining voice service ARPU over the forecast period. Fixed broadband service revenue, on the other hand, will grow at a CAGR of 0.8% over 2024-29, driven by growing demand for high-speed fixed broadband services and a subsequent increase in adoption of fiber-based connections among residential and business customers.

Zeeshan adds, “Promotional/discounted offers and diversified service plans offered by telcos to meet varied customer needs will also support growth in fiber broadband subscriptions over the forecast period. For instance, M1 Singapore offers a 1Gbps fixed broadband plan at a discounted price of SGD35.90 ($26.6) per month for new sign-ups, down from SGD42.08 ($31.2) per month for existing customers with a 24-month contract.”

Pay-TV services revenue in the country will decline over the forecast period, as operators reduce IPTV prices to compete with SVoD platforms.

Zeeshan concludes: “Singtel led the overall telecom & pay-TV services market in Singapore in 2024, accounting for the largest share of subscriptions in mobile, fixed, and pay-TV segments during the year. The company’s leadership in the mobile services segment is mainly due to its strong position in both prepaid and postpaid segments and focus on 5G network upgrades.

“Singtel’s market leading position in the fixed broadband segment is due to its strong presence in the FTTH/B segment and the promotional/discounted fiber broadband plans it offers packed with added benefits to drive subscriber growth.”