Global telecom operators’ mobile broadband revenue rose 26 percent in H1 2014 against H1 2013, driving overall mobile services market growth, said Infonetics Research.

Mobile broadband overtook SMS as the largest revenue generator of mobile data.

Mobile service revenue grew 0.5 percent to $385.5 billion in H1 2014. Europe was the main drag on global mobile services revenue.

Despite the rise of mobile data, blended ARPU fell — at a much slower pace in every region, including developing Asia Pacific.

Europe’s main telecom operators including Deutsche Telekom, Orange, Telecom Italia, Telefonica, Vodafone are performing well. “Consolidation should ease the pressure on mobile services revenue,” said Stephane Teral, principal analyst for mobile infrastructure and carrier economics at Infonetics Research.

Telecom markets in the Caribbean and Latin America (CALA), Asia Pacific, and North America have gained, while EMEA declined in double-digits.

Voice usage slowed, dragged by China where over-the-top (OTT) alternatives took their share.

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