The revenue of mobile communications services market in the Asia-Pacific (APAC) region is expected to grow at a compounded annual growth rate (CAGR) of 6.11 percent from $300.4 billion in 2020 to $404 billion in 2025.
Growing demand for 5G services, growth in the mobile subscription penetration and increase in mobile services average revenue per user (ARPU) will drive growth of telecom service revenue in the Asia Pacific region, according to GlobalData.
“Between 2022 and 2025, use cases such as massive machine-type communications and ultra-reliable low-latency communications will help in the growth of 5G services, which will in turn drive the mobile services market,” Amit Sharma, project manager of Telecoms Market Data & Intelligence at GlobalData, said.
Mobile data services segment will represent the largest revenue contributor to the overall mobile services market in Asia Pacific.
India will register a CAGR of 19.8 percent from an estimated $6.4 billion in 2020 to $15 billion by 2025-end for the mobile data segment, driven by increasing smartphone subscriptions and the growing adoption of 4G services with high ARPU.
The major drivers of the mobile broadband adoption in the Asia Pacific region during the forecast period will be the supportive government policies to speed up national broadband deployment projects, LTE and 5G network roll outs.
“The existing mobile network expansion and 5G rollouts will increase in 2021 as the COVID-19 pandemic will slow down and businesses will get back to normal. In the developed markets across the region, the planned 5G network rollouts will play an important role in increasing the overall telecom revenues.
LTE-A will remain a major mobile communication technology till 2025, constituting more than 56 percent of total mobile subscriptions by the end of 2025.