07 Feb 2020
Posted in Technology
Mobile data services segment will drive New Zealand’s telecom market over next five years, says GlobalData
Widespread penetration of smartphones and steady rise in the adoption of 4G services, particularly for high-bandwidth mobile video and social media content, will continue to boost New Zealand’s telecom market between 2019 and 2024, according to GlobalData, a leading data and analytics company.
GlobalData’s New Zealand Telecom Operators Country Intelligence Report predicts that while mobile voice and messaging revenue will continue to decline, mobile data service revenue will grow at a robust compound annual growth rate (CAGR) of 7.9% during the forecast period, driven by the rising adoption of mobile broadband services.
Deepa Dhingra, Telecom Analyst at GlobalData, says: “4G will remain the leading mobile service technology through the forecast period with an estimated mobile subscription share of 78.8% by the end of 2024, led by continuous 4G network expansions by operators like Vodafone. With Vodafone and Spark already launching their commercial 5G services in December 2019, 5G’s share of total mobile subscriptions is expected to reach 10.9% by year-end 2024.”
Meanwhile, mobile voice revenues in the country will continue to decline due to competition induced price cuts and the subsequent drop in voice average revenue per user (ARPU).
Dhingra concludes: “4G network expansion and the ongoing 5G network investments will present opportunities for mobile broadband infrastructure and equipment vendors.”