Mobile revenues in Africa are set to see a compound annual growth rate of 4.3 percent despite operators in Western Europe experiencing a plateau in revenues, according to market research firm ABI Research.
In a report titled, Mobile ARPU (average revenue per user), ABI Research said Western Europe “has been and will continue be the worst performer, with mobile service revenue tumbling since 2008 and predicted to deteriorate through 2018”.
Africa, on the other hand, looks set to grow considerably. With a projected CAGR of 4.3 percent, the continent’s service revenue will beat the worldwide average by more than twofold.
As Africa is known for being mobile friendly, emerging technologies will have to embrace the use of mobile phones in innovation.
In November this year, a study by GSMA revealed that the continent will surpass the 750 million mark by the end of this year and is set to grow at an unprecedented speed.
The report further stated that while global voice revenue continues to fall, data revenue will be on an upward trajectory.
“In particular, not surprisingly, mobile Internet will be a major contributor, with revenue forecast to soar at an impressive CAGR of 8.2% over the six-year forecast horizon. Notably, global messaging revenue is expected to remain resilient for at least a few more years,” the report stated.
“Operators like Telefonica and Vodafone Group are in the thick of the Euroland-instigated recession,” remarked Jake Saunders, VP and practice director, core forecasting. “The real net contributors to their revenue came from the emerging markets.”