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Growth of Mobile Content Services Expected to Increase ARPUs for Latin American Mobile Operators - Mobile content services have been catching on fast in Latin America and were responsible for 3.1 percent of the total mobile telephony revenues in 2007
Growth of Mobile Content Services Expected to Increase ARPUs for Latin American Mobile Operators

 

NewswireToday - /newswire/ - Buenos Aires, Argentina, 2008/07/08 - Mobile content services have been catching on fast in Latin America and were responsible for 3.1 percent of the total mobile telephony revenues in 2007.

   
 
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In the same year, the number of mobile content users reached 57.1 million or 31.1 percent of the total number of mobile subscribers. While mobile music continues to be the most in demand service among end users, games and video will gradually gain in popularity.

New analysis from Frost & Sullivan (wireless.frost.com), Latin American Mobile Content Markets, finds that the market earned revenues of $1.15 billion in 2007 and estimates this to reach $8.93 billion in 2014.

If you are interested in a virtual brochure, which provides manufacturers, end users, and other industry participants with an overview of the Latin American Mobile Content Markets, then send an email to Catalina Rossini, Corporate Communications, at Catalina.rossini[.]frost.com, with your full name, company name, title, telephone number, company email address, company website, city, state and country. Upon receipt of the above information, an overview will be sent to you by email.

"With mobile voice revenues per user not growing at the impressive rates seen in the last few years, Latin American mobile operators have been investing their efforts in promoting data services," note Frost & Sullivan Research Analysts Justina Trotta and Andrés Sciarrotta. "Although mobile messaging is still the dominant component of the region's mobile data service market, mobile content services are fast gaining traction."

Quite significantly, the two largest economies of the region, Brazil and Mexico, experienced outstanding growth in 2007, achieving $1.11 billion in revenues. This represents a 48.5 percent growth over 2006.

"In Brazil, about 37.7 percent of the total 122.8 million mobile subscribers used at least one of the mobile content services in 2007," says Trotta. "Mobile music represented 38.1 percent of the Brazilian mobile content services market revenues, generating $250.2 million in 2007."

Notwithstanding these favorable market indications, a significant proportion of mobile subscribers are still unaware of the capabilities of their handsets. Furthermore, many users find it difficult to search for the contents they want, especially on WAP portals.

"The Latin American mobile content market is still limited by the fact that not all the mobile handsets are capable of running all mobile content services, especially games and videos," adds Sciarrotta. "The impact of this restraint is, however, expected to diminish once handsets become more affordable and accessible, enlarging the addressable market size."

Given these challenges, operators should make concerted efforts toward educating end users of the capabilities of their handsets and make their WAP portal friendlier. This way, some non users may begin using content services, thereby increasing penetration.

Latin American Mobile Content Markets is part of the Mobile & Wireless Growth Partnership Service program, which also includes research in the Brazil, Colombia, and Mexico telecommunications services markets, among others. All research services included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants. Interviews with the press are available.

Frost & Sullivan, the Growth Partnership Company, partners with clients to accelerate their growth. The company's TEAM Research, Growth Consulting and Growth Team Membership™ empower clients to create a growth-focused culture that generates, evaluates and implements effective growth strategies. Frost & Sullivan employs over 45 years of experience in partnering with Global 1000 companies, emerging businesses and the investment community from more than 30 offices on six continents.

Latin American Mobile Content Markets
N31E

 
 
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Growth of Mobile Content Services Expected to Increase ARPUs for Latin American Mobile Operators

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Publisher Contact: Catalina Rossini 
+54-11-4777-4777 catalina.rossini[.]frost.com
 
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