Global mobile penetration 75% by 2011

The report, ‘The Next Billion: Strategies for driving growth and making profits in low-ARPU mobile markets' puts the future growth of the mobile industry into perspective. MONTHLY average revenue per user (ARPU) for US subscribers for example is likely to be equivalent to YEARLY ARPU in rural regions of markets such as India and Pakistan. The report goes on to say that each North American subscriber is worth seven new subscribers in Asia.

Despite the obvious disparity in profits for mobile networks operators geographically, the report provides some insights into why the big players cannot afford to ignore any region. The Asia Pacific region offers massive growth in subscriber numbers, while North America and Europe offer the highest levels of ARPU. South America will see continued growth of basic services but with significantly higher returns per user than much of Asia, the Middle East and Africa.

Africa, so long considered a poor region for investment, offers great future potential as ‘the last billion' when markets everywhere else are reaching saturation.

The next great phase of worldwide market growth is going to come from introducing mobile services to the mass market at the bottom of the wealth pyramid. The report highlights a number of successful initiatives in different regions where the mobile phone has become a major driver for the localised economy. Extending mobile services to rural areas helps businesses to get started, helps farmers to sell their produce and provides new ways for communities to communicate, delivering significant social and economic benefits to millions of people.

While the cost of handsets remains the largest inhibitor to mobile take-up, even here industry initiatives are paving the way for ‘the next billion'. The Portio report looks in to the handset market in detail, explaining regional dynamics and the strategies required to win over the next four years.

For more information, go to www.portioresearch.com.