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2019/05/14 16:28:34

Telecommunication services (world market)

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2018: Growth by 0.8% up to $1.62 is IDC

In 2018 the volume of the world market of telecommunication services and services of a pay TV reached $1.62 trillion, having increased by 0.8% concerning the 2017th. Such these analysts of IDC published on May 10, 2019. At the same time earlier they estimated the market in 2017 at $1.67 trillion - taking into account it in the 2018th recession took place.

In the considered market mobile services (53.1% of global expenses in 2018 were the share of them) thanks to high demand on smartphones dominate. At the same time voice phone calls becomes less as this segment reached the pica and experiences the competition from Internet services, like WhatsApp and Skype.

Dynamics of the market of telecommunication services in different regions, data of IDC
Dynamics of the market of telecommunication services in different regions, data of IDC

In a research it is said that costs for services of fixed connection in 2018 continued to increase in many regions, and it confirms importance of content services for consumers and IP solutions for the companies. 20.5% of the telecommunication market (taking into account services of paid TV) at the end of 2018 were the share of data services on wired networks.

According to specialists, the market of a pay TV, including cable, satellite, digital and IPTV, in 2018 remained in stagnation. Moreover, by 2023 positive dynamics is not expected. However, as experts speak, such services become more and more important part of package offers which are developed by operators worldwide. In 2018 global expenses on package telecommunication services increased by 7.1%, and by 2023 the indicator will rise approximately by 3.7% annually, analysts predict.

The countries of North and South America where revenue reached $616 billion in many respects thanks to the USA remained the largest market of telecommunication services in 2018. The leading three included the Pacific Rim and EMEA, and the last showed the greatest growth rates (+0.9%).[1]

2017: Market size by estimates of IDC will be $1.67 trillion

At the end of 2017 the world market of telecommunication services and paid TV-services will grow by 1.7%, and its volume in monetary calculation will be $1.67 trillion. It became known from the fresh research of IDC analytical company published on December 4, 2017.[2]

The market of telecommunication services was estimated at $1.67 trillion
The market of telecommunication services was estimated at $1.67 trillion

Experts expect that the uptrend in 2018 will proceed: global expenses on communication services and a pay TV will increase by 2% and will exceed $1.7 trillion.

Mobile communication remains the largest segment of the considered market. By estimates of IDC, in the 2017th 52% of consolidated revenues will fall to its share, and during the period from the 2017th on the 2021st the mobile category will grow on average for 2% a year. Among growth factors which will help to compensate falling of expenses on a voice communication and SMS messages analysts listed the increasing volumes of mobile traffic and distribution of M2M-services.

Global expenses on communication services and pay TV (one billion dollars)
Global expenses on communication services and pay TV (one billion dollars)

The second most important segment — services of fixed connection — in 2017 will provide about 21% of total revenue. The indicator of the annual average growth (CAGR) on this direction during the considered period is expected at the level of 4%. Positive dynamics is promoted by the growing needs for high-speed communication here.

In the category of a pay TV including cable, satellite, IP and digital land TV analysts predict zero growth from 2017 to 2021.

As for services of the fixed telephony, revenue from them will annually fall for 6% a year during the considered five-year period. To the 2021st less than 10% of total income in the market telecom will fall to the share of this segment and TV-services, believe in IDC.

Global income from telecom services for 2017 in regions (one billion dollars) and growth year-on-year (%)
Global income from telecom services for 2017 in regions (one billion dollars) and growth year-on-year (%)

From the geographical point of view the most significant contribution to expenses will be made by the American region. In the 2017th $635 billion from most of which part will be provided by North America will fall to its share. The Pacific Rim ($545 billion), and the third — EMEA countries ($492 billion) will become the second in value market.

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