The five-year compound annual growth rate (CAGR) of revenues from mobile internet access subscriptions and content/advertising spending will approach 50% in some global markets, according to data from PriceWaterhouseCoopers.
Saudi Arabia Leads in Mobile Access, Content Revenues
The Saudi Arabia/pan-Arab market offers the highest CAGR for both mobile internet access subscriptions and content/advertising spending between now and 2014. Saudi Arabia’s CAGR for internet access is more than 40% and its CAGR for content/advertising approaches 50%, MarketingCharts reports.
Mobile Revenue CAGR in Other Countries Varies
The US is second in internet access CAGR, which is expected to reach 40% in the next five years. However, the US content/advertising CAGR is only about 15%, placing it last in the eight global markets covered. The UK has the second-highest content/advertising CAGR, a little less than 30%, with China trailing closely. Five-year mobile CAGR estimates are generally low in Japan and Korea. Both countries have internet access growth rates of less than 5% and content/advertising growth rates not much higher than the US.
Wireless Subscription Not a Revenue Driver
Every global market shared one characteristic: low expected revenue CAGR from wireless subscription revenues. China led in this category with a five-year CAGR of approximately 7%, closely followed by Saudi Arabia. In the US the CAGR was below 5%, and it was non-existent in Italy. Rates in the UK and Germany were negligible.
Other Findings
- 500 million people accessed the internet via mobile device globally in 2009, up from 100 million in 2005.
- By 2014, 1.4 billion globally are expected to have mobile internet access.
- In Japan, more than 60% of internet access spending in 2009 was generated via mobile device.
- In South Korea, more than 20 million people watched TV via mobile device, a number expected to reach 30 million by 2014.
