Juniper: Mobile Network Revenues to Top $1 Trillion in Five Years

If only the Federal Government could rake in the cash like mobile networks do, there would be no such thing as national debt.

According to a head-turning new report from Juniper Research, global mobile network operator revenues are projected to top $1 trillion by 2016.

But that may not necessarily be a good as it sounds.

Mobile network operators (MNOs) face the prospect of a “nightmare” scenario under which operator costs will exceed revenues within four years unless remedial action is taken.

According to Juniper’s report, market saturation and falling average revenue per user are the culprits for this so-called pending “nightmare.”

So with core revenues poised to flatline, while the cost of handling mobile data traffic soars, what can be done to avert disaster? Juniper offers some insight.

First, the report encourages mobile networks to develop and provide customers with integrated rate plans, all while “providing a wide range of segmented postpaid and postpaid tariffs.” Additionally, Juniper advocates the potential for double-sided revenue streams in areas such as cloud, M2M and mobile financial services where MNOs can leverage their existing assets.

According to report author Dr Windsor Holden, “Clearly, there is no one-size-fits-all solution for MNOs, simply because the circumstances of individual operators differ widely, even within the same market. Instead, we have outlined a series of measures which MNOs can select according to their particular needs.”

To read more findings from the latest Juniper report, click here.