Operator Investment in 4G Networks Driving Huge Data Growth Across Region with High Smartphone Usage; Mobile Industry Contributing Significantly to Regional Economy
Atlanta: North America is leading in the adoption of new mobile technologies such as 4G networks, the Internet of Things (IoT) and digital commerce, as well as innovations in operating systems and apps, according to a new GSMA study published today at the GSMA Mobile 360 Series - North America conference in Atlanta, Georgia. The report, The Mobile Economy North America 2015', highlights that the region has been an early adopter of 4G networks, which are driving considerable growth in mobile data traffic. 4G is forecast to account for more than 80 per cent of total connections by 20201. North America is home to more than 250 million unique subscribers, equivalent to a unique subscriber penetration rate of 70 per cent and 360 million mobile connections (excluding M2M), with three-quarters of connections being smartphones.2
The North American mobile industry has been the strongest performing of any developed region globally for some time, characterised by substantial subscriber growth, the early adoption of new technologies, high levels of mobile usage and strong revenue trends, said Michael O'Hara, Chief Marketing Officer, GSMA. The region continues to lead innovation in a number of areas in the mobile ecosystem, including hardware, access technologies, operating systems and new apps and services that are scaling rapidly and changing how individuals live and work.
Increasing Data Usage Driven by 4G Adoption
North America's mobile operators have invested heavily in 4G networks, resulting in rapid deployment and high uptake with 98 per cent population coverage in the United States and 92 per cent coverage in Canada. Operators in both markets are already in the process of launching LTE-A (Advanced), which offers even faster speeds for users in addition to voice over LTE (VoLTE) services. Mobile data is expected to grow at a 42 per cent CAGR through 2019 to nearly 11 GB per user per month, compared to a global average of 4 GB3, with usage driven heavily by content from third-party sites and apps, particularly video.
Delivering Economic Growth, Employment and Public Funding
The North American mobile industry contributed approximately US$670 billion to the economy, equivalent to 3.5 per cent of the region's GDP in 2014, a figure that is expected to increase to US$750 billion by 20204. Across the region, the mobile industry employed more than 2.2 million people (directly and indirectly) in 2014 and the ecosystem contributed US$75 billion in public sector funding, excluding the impact of regulatory and spectrum fees. Driven by the rapid rollout of 4G networks, mobile operators in the region have invested nearly US$35 billion per year in network infrastructure development over recent years.
Operating Systems and Applications
North America is seen as a dominant player in the development of innovative services in mobile such as mobile devices and apps, although there are developments in Asian markets. Operating systems originating in North America also continue to dominate the global smartphone market, accounting for around 95 per cent of global sales in 2014.
The United States is home to the world's largest app market in terms of revenue and has seen a number of new apps and services scale rapidly both domestically and internationally. These include services based around the new sharing economy', such as Uber and Airbnb, which have been funded and supported by a highly developed venture capital community predominantly based in Silicon Valley.
The Internet of Things and Digital Commerce
The North American region has also embraced the IoT particularly in the connected car, mobile health and wearable device segments, with mobile playing a crucial role. According to GSMA Intelligence there were 54 million M2M connections in Q3 2015 across the region and although still a nascent market, the proportion of M2M connections as a percentage of total connections in North America is higher than in any other region of the world5. Brands such as Google's Nest and Samsung's Smart Things have created an environment where consumers increasingly expect the seamless integration of a growing number of connected devices. The digital commerce market is also becoming more mobile-centric in North America, with an increasing number of banks, card issuers and retailers in the region supporting mobile payments.
The region's rapidly evolving mobile landscape has benefitted from a high level of operator investment and a vibrant venture capital community that has resulted in numerous innovations that many of us take for granted today, added O'Hara. Looking ahead, continued collaboration between North American operators and players across the broader mobile ecosystem will be essential in enabling the market to realise its full potential.
To access the full report and related infographics please visit: www.gsmamobileeconomy.com/northamerica.
-ENDS-
Note to Editors:
14G already accounts for just over half of the connection base in the US, while Canada is expected to breach the 50% level in early 2016. By the end of the decade, 84% of connections in North America are forecast to be on 4G networks.
2The US is by far the largest market with 232 million unique mobile subscribers, a penetration rate of about 72%. In Canada the rate is still much lower at 56%, with a total of 20 million unique subscribers.
3Cisco forecasts that mobile data usage will grow at a 42% CAGR in North America through to 2019, reaching nearly 11 GB per user per month. This compares to a global average growth rate of 24% and a 2019 usage level of 4 GB.
4This total impact includes a direct economic contribution of mobile operators a
Most recent headlines
04/08/2024
Dalet, a leading technology and service provider for media-rich organizations, is excited to announce Santiago Solanas as its new Chief Executive Officer (CEO)....
03/06/2024
Dalet, a leading technology and service provider for media-rich organizations, a...
06/05/2024
It's almost go-time for the Holly Springs Salamanders! The season opener is ...
05/05/2024
A special evening performance by multiplatinum singer Becky G will provide a memorable conclusion to TeievisaUnivision's Casa Cultura upfront event on May 1...
05/05/2024
Giant media buyer Publicis is telling network sales executives that it does not think Nielsen's new panel-plus-big-data currency is ready for this upfront....
05/05/2024
WASHINGTON Glenn Kirschner, legal analyst at NBC News, blasted the media for referring to the New York trial of former President Donald Trump as a hush-money ...
05/05/2024
Catchy Comedy's weekend marathon sees The Beverly Hillbillies on the weekend of May 4-5. The event kicks off Saturday, May 4 at 11 a.m. ET, and runs through...
05/05/2024
NBC Sports has the 150th Kentucky Derby Saturday, May 4. The coverage begins at 2:30 p.m. ET on NBC and Peacock and the feature race at Churchill Downs in Louis...
04/05/2024
NEW YORK As the Asian Pacific American Heritage Month kicks off in May, Nielsen has released an extensive new report diving into their media habits with data sh...
04/05/2024
PHILADELPHIA As National Military Appreciation Month gets underway, Comcast has announced several new initiatives to help veterans, service members, and their f...
04/05/2024
WASHINGTON, D.C. Federal Communications Commission chairwoman Jessica Rosenworcel has announced a tentative agenda for the May Open Commission Meeting scheduled...
04/05/2024
The Broadband Forum has announced major enhancements to key 5G convergence standards that the group said will help advance next-generation applications, improve...
04/05/2024
Spotify Wrapped Campaign Spot Graded With DaVinci Resolve Studio
Brie Clayton May 3, 2024
0 Comments
Blackmagic Design today announced that Colorist M...
04/05/2024
Three Boston Conservatory at Berklee Alums Nominated for Tony Awards An additional eight alums and two current students performed in nominated productions.
...
03/05/2024
An innovative learning tool to help media and civil society better understand ho...
03/05/2024
PARK CITY, UTAH - JANUARY 21: (L-R) Actors K stutis Cic nas and Greta Grinevi i t , Director Marija Kavtaradze and Producer Marija Razgute attend the 2023 Sunda...
03/05/2024
If you aren't familiar with Danny Ocean's music, it's only a matter ...
03/05/2024
Spotify has an unwavering commitment to supporting emerging artists across all genres, to helping them launch and thrive in their careers, and to connecting the...
03/05/2024
Como uno de los sonidos de mayor expansi n en el mundo, la M sica Mexicana va m ...
03/05/2024
As one of the fastest-growing sounds worldwide, M sica Mexicana is more than jus...
03/05/2024
NEW YORK FuboTV reported that it lost 110,000 subs in Q1 2024 but it exceeded its guidance for the quarter with double digit year-over-year increases across key...
03/05/2024
Only 3 Weeks Left To Enter The Creative Industries Most Award
Brie Clayton May 3, 2024
0 Comments
Creativepool is giving a last call to the creative i...
03/05/2024
WePlay Studios Transforms the Future of Live Event Storytelling with AJA Gear
Brie Clayton May 3, 2024
0 Comments
By 2032, the esports market is expec...
03/05/2024
WASHINGTON Shannon Bream, Fox News Sunday anchor and chief legal correspondent, sat for a keynote chat at The Business of TV News, with Tom Umstead, senior co...
03/05/2024
WASHINGTON Asked how important is local news, Martha Raddatz, who has covered foreign conflicts for decades and moderated presidential debates for ABC News, s...
03/05/2024
Sony Pictures and Apollo Global Management have made a $26 billion cash offer fo...
03/05/2024
CBS announced its 2024-2025 primetime schedule, which features the new dramas NCIS: Origins, Matlock and Watson, and new comedies Poppa's House and Georgie ...
03/05/2024
Sports-focused streaming service Fubo said it reduced its red ink in the first quarter, despite losing 110,000 subscribers since the end of the year....
03/05/2024
Walmart is reportedly about to release a new 4K streaming box/smart speaker hybrid device for Google TV that could retail for as low as $50, according to a repo...
03/05/2024
Enhancements to its Delivery Workspace solution provide increased content delivery robustness and security
By Matthew Corrigan
Published: May 3, 2024
Enha...
03/05/2024
According to reports, if the bid is successful, Sony would be the significant majority shareholder of the new private company
By Jenny Priestley
Published: M...
03/05/2024
Located in Manchesters Spinningfields district, the course aims to equip students with the skills, knowledge and industry insight for a career in the creative s...
03/05/2024
Lightbridge has created a new Cine Reflect Lighting System kit, dedicated to enabling artistic lighting with consideration of today's productivity practical...
03/05/2024
Broadcast media systems integrator BeckTV and Lawo worked together on a large-scale AES67 build of radio control rooms at KPBS, San Diego's NPR and PBS memb...
03/05/2024
Raleigh, NC, April 12, 2024 SmallHD announces PageOS 6, a powerful software update free for owners of SmallHD monitors, featuring increased functionality, exp...
03/05/2024
SmallHD announces the Quantum 32 a new 31.5 OLED monitor designed to provide reference HDR/SDR images for post-production final color grading, as well as cri...
03/05/2024
By 2032, the esports market is expected to grow to $9.29 billion, bolstered by a global player count and fan following that both continue to climb. The 2023 Lea...
03/05/2024
Amagi, the global leader in cloud-based SaaS technology for broadcast and connected TV (CTV), today announced that the 11th edition of the Amagi Global FAST Rep...
03/05/2024
Riedel Communications today announced that Westdeutscher Rundfunk (WDR) is relying on a media and intercom network based on Riedel technology for the renewal of...
03/05/2024
Broadpeak , a leading provider of content delivery network (CDN) and video streaming solutions for content providers and pay-TV operators worldwide, announced t...
03/05/2024
Media technology innovator Limecraft will exhibit the latest updates to its online platform on stand G79 at the 15-16 May 2024 Media Production & Technology Sho...
03/05/2024
Audio interface specialist Prism Sound is partnering with console manufacturer Solid State Logic, professional monitor manufacturer PMC and acoustic panel and d...
03/05/2024
Intinor, Sweden's leading developer of products and solutions for high-quality video over the internet, is set to join forces with its UK partner Zest Techn...
03/05/2024
NAKIVO Inc., a fast-growing software company dedicated to protecting physical, virtual, cloud, and SaaS environments, announced its Q1 2024 financial results to...
03/05/2024
Hiltron Communications announces an addition to its range of satellite communication products and systems: a field-upgradable motorisation kit specifically desi...
03/05/2024
Visit LiveU at Stand D30
With this year an exceptional one for major sporting events alongside multiple, key elections, the power and flexibility of LiveU'...
03/05/2024
Agile Content, the leader in the development of technology and solutions for the provision of television services over the Internet, announces Koldo Unanue as i...
03/05/2024
Eight co-signers representing streaming services, pay TV operators and public interest groups have sent a letter to Congressional leaders urging their Committee...
03/05/2024
BOSTON Brightcove has announced that it has implemented Amazon Q Business, a new generative AI assistant on Amazon Web Services (AWS)....
Operator Investment in 4G Networks Driving Huge Data Growth Across Region with High Smartphone Usage; Mobile Industry Contributing Significantly to Regional Economy
