TELECOM SERVICES GOS-051
A GLOBAL OUTLOOK, SEPTEMBER 2008
CONTENTS
1. Overview 1
Mobile communication industry 1
Table 1: Global Mobile Communication Market (2006):
Percentage Breakdown of Mobile Data Revenues By Category -
Messaging, Premium Messaging, Downloads, Browsing, Internet,
Java, Music, Video Streaming and Mobile Payments 1
Global Telecommunication Services Market 1
Global Telecom Industry to Register Strong Growth Through 2013 2
Table 2: Global Telecom Industry Revenue by Services Category
in US$ Billions for 2006 2
Table 3: Global Telecom Market (2006): Revenues in US$
Billion for Select Regions - North America, Europe,
Asia-Pacific, Latin America, and Middle East/Africa 2
Table 4: Major Indicators of Global Telecom Market (2005) 3
Wireless - The Fastest-Growing Segment 3
Table 5: Global Leading Markets for Wireless Communications
by Number of New Subscribers in Millions for 2005 by Country-
China, India, Indonesia, Russia, and United States 3
Table 6: World Market for Wireless Handsets by Technology-
GSM, CDMA, 3G and Others Independently Analyzed with Annual
Shipments in Thousand Units for Years 2003 through 2008 3
Table 7: World Market for Wireless Handsets by Geographic
Region - Percentage Breakdown of Annual Sales Shipment Volume
for the Years 2006 & 2008 for the United States, Canada,
Japan, Europe, Asia-Pacific (excluding Japan), Latin America,
and Rest of World 4
Mobile Instant Messaging 4
Table 8: World Market for Mobile Messaging Services by Type-
Short Messaging Services, Multimedia Messaging Services,
Mobile Email, and Others (Mobile Instant Messaging &
Push-To-Talk) Markets Independently Analyzed with Annual
Revenues in US$ Million for Years 2005 through 2008 5
Table 9: Worldwide Mobile Messaging Services Market
(2005-2009): Number of Wireless Instant Messages Sent
Breakdown by Segment- Public IM and Enterprise IM (In
Billion) 5
Distribution Channels of Wireless Services 5
Future Prospects in the International Market 5
Liberalization of Telecommunications Services to Offer All-
round Benefits 5
Mergers Become Order of the Day in Telecom Services 6
Telecom Mergers Expected to Resurge Job Market 7
Wireless Services Overtake Long-Distance Services 7
Global Mobile Subscribers 7
Mobile Data Communications 7
Mobile Messaging Technologies 8
Short Messaging Services 8
Business Mobile Services Demand to Increase 8
The Impact of Value-Added Services on Mobile Usage 9
SMS Market Shows Less Prospects for Business Use 9
Boost for Remote Access 9
Role of Mobiles in Growth of Remote Access 9
Telecom Companies Seek Higher Growth Potential 9
DSL Subscribers 10
Growth Rate in the Market 10
Leading DSL Subscribers 10
Table 10: Global DSL Subscribers by Geographic Region
2005Percentage Market Share for Europe, Latin America, North
America, and Asia Pacific 10
Table 11: Global Digital Subscriber Line (DSL) Connections
Per 100 Inhabitants: 2005 Connections for South Korea, Hong
Kong, Taiwan, Canada, Denmark, Belgium, Germany, Sweden,
Finland, and US 10
Data Transmission Services 10
Mobile Telephone Services 11
Growth Rate in the Market 11
Competition in Gulf Countries 11
Trends in the market 11
Impact of Liberalization 11
Lack of Foreign Investment 11
Mobile Penetration 11
Table 12: Global Mobile Telephone Service Subscriber Net
additions by Country: 2005 in millions for China, Mexico,
Brazil, Italy, Spain, Japan, Thailand, France, Philippines,
UK, Turkey, Indonesia, and Other Countries 12
Expansion Schemes in Fixed Line sector 12
GSM Services 12
Growth Rate in the Market 12
Growth in Gulf Countries 13
Competition in Gulf Countries 13
Trends in the market 13
Innovations by GCC States 13
CDMA Cellular Telephone Services 13
Broadband Fixed Wireless Access Services 13
Broadband & Dial Up Access 14
Table 13: Global Broadband & Dial up Access Penetration
(Connections, Bandwidth, and Revenues): 2005 Percentage
Market Share 14
Residential Fixed-Wireline Communications 15
UMTS Services 15
Leading Companies 15
Innovations in 3G Service 15
Leading Japanese Vendors 15
2. Mergers and Acquisitions 15
3. Strategic Corporate Developments 27
4. Product Launches 34
5. A North American Perspective 34
Overview 34
Table 14: North American Market for Wireless Handsets (2005):
Market Shares of Leading Vendors by Volumes Shipped for
Motorola, LG, Nokia, Samsung, Kyocera, Sony Ericsson,
Audiovox, and Others 34
Table 15: Telecom Industry in Canada (2006): Percentage
Market Share by Leading Cellular/ PCS Operators - Aliant
Mobility, Bell Wireless Alliance, MTS Mobility, Rogers
Wireless, SaskTel Mobility, and TELUS Mobility 35
Table 16: Broadband Internet Connections Households in North
America: Annual Estimates for 2003 through 2008 in Millions
for DSL Service Subscribers and Cable Modem Subscribers 35
5a. United States 35
Overview 35
Growth Outlook 35
Table 17: US Mobile Content Revenue for Mobile Operators,
Content Providers and Aggregators and Content Enablement
Platform Providers in US$ Billion (2006-2010) 36
Competitive Trends in Wireline Business Telecom Services 36
Spending in the US Telecom Industry 36
Market Structure 37
Table 18: Sales of Major United States Cellular Service
Providers - Verizon, AT&T, Sprint Nextel, Qwest, Alltel and
Nortel in US$ billions (2006) 37
Table 19: US Telecom Market (2005): Percentages of Household
Penetration of Telecom and Related Services by Category 38
Table 20: US Telecom Market (2005): Revenues in US$ Billion
for Leading Telecom Companies - Verizon, AT&T, Sprint Nextel,
BellSouth, Qwest, and Nortel 38
Broadband Services 38
Broadband Services through Cable Operators 38
Broadband Services through Local Exchange Carriers 38
Broadband Services through DSL Carriers 38
Broadband Satellite Communication Services 39
High-Speed Internet Access Services 39
Wireless Communications 39
Wireless Communication Services 40
Table 21: Factors for Selecting Wireless Services by Users
in the US: 2005 Percentage Breakdown for Complete Regional or
National Coverage, Service Pricing, International Roaming
Coverage, Wireless Internet and Data Services, and Handset
Selection and Price 40
Wireless Telephone Services 40
Table 22: Wireless Telephone Service Market in the US:
2005Percentage Market Share for Verizon, SBC/Bell South,
AT&T/SBC, and Others 40
Table 23: Wireless Telephone Communications Service Market by
Area in the US: 2005 Estimates for Chicago, Cleveland-Akron,
Detroit, Los Angeles, Milwaukee, New York, and San
Francisco-Oakland-San Jose 41
DSL Services 41
Table 24: Digital Subscriber Lines Installed by Carriers in
the US: 2005 in Thousands of for Bell Atlantic, BellSouth,
GTE, SBC Communications, US West, Rhythms Net Connections,
Northpoint Communications, and Covad 41
Wi-Fi Services 41
Cellular Telephone Services 42
Mobile Subscribers 42
Table 25: Cellular Subscribers and Cellular Penetration Rate
in Leading the US Metropolitan Cities: 2005 Breakdown for New
York, Los Angeles, Chicago, Washington D.C.\ Baltimore, &
Others 42
Table 26: Cell Phone Owners by Age Group in the US:
2005Percentage Breakdown 43
Cable Telephones 43
Competitive Local Exchange Carriers (CLECs) 43
Table 27: Leading Competitive Local Exchange Carriers (CLECs)
by Volume of Fiber Optic Line Deployed in the US: 2005 in
Route Miles for Level 3 Communications Inc., AT&T Local,
Digital Teleport Inc ITC Deltacom Adelphia Business
Solutions, Time Warner Telecom Inc., GST Telecommunications
Inc., Electric Lightwave Inc., NTS Communications, CapRock
Communications Corp., Cox Communications Inc. and ICG
Communications Inc. 43
An Insight into WAP Technology 44
Voice Over Digital Subscriber Line Services 44
SOHO Wireless LAN 44
Table 28: Small Office/Home Office (SOHO) Wireless Local Area
Network Providers’ Revenues in the US: 2005 Percentage Market
Share for Linksys, Buffalo, D-Link, Netgear, Intel,
Actiontec, SMC, 3Com, Avaya, Proxim, and Agere 44
Ethernet Services 45
Table 29: Retail Ethernet Service Providers in the US:
2005Percentage Market Shares of Metro Ethernet Provider,
RBOC, and IXC 45
Residential Telecommunication Services 45
Table 30: Average Monthly Household Telephone Service
Expenditure in the US: 2005in US$ for Local and Long
Distance Telephone Service 45
Mobile Roaming Services - An Insight 45
Long Distance Telephone Services 45
Table 31: Long-Distance Telephone Service Companies’ in the
US: 2005 Percentage Market Share for AT&T/SBC, MCI/ Verizon,
Verison, Sprint, SBC, Qwest, and BellSouth 46
Table 32: Long-Distance Telephone Service Companies in the
Northeast US: 2005 Percentage Market Share for AT&T/SBC,
Verizon, MCI/ Verizon, and Sprint 46
Table 33: Long-Distance Telephone Service Companies’ Services
in the Southwest US: 2005Percentage Market Share for
AT&T/SBC, Verizon, MCI/ Verizon, and Sprint 46
5b. Canada 47
An Overview of Wireless Communications Industry 47
Canadian Wireless Market to Triple by 2010 47
5c. Mexico 47
Overview 47
Table 34: Leading Telecom Companies in Mexico: 2005Percentage
Market Shares of Telefonos de, Televisa GPO, and Telecom
Carso 47
Long-Distance Telephone Services 48
DSL & Cable Lines 48
6. Japanese Perspective 48
Mobile Messaging Services 49
Table 35: Japanese Market for Mobile Messaging Services by
Type - Short Messaging Services, Multimedia Messaging
Services, Mobile Email, and Others (Includes Mobile Instant
Messaging & Push-To-Talk) Markets Independently Analyzed with
Annual Revenues in US$ Million for Years 2005 through 2008 49
3G Mobile Communication Services 49
Table 36: Mobile Phones Penetration in Japan: 2004- 2005 in
Percentage 49
7. European Perspective 49
Mobile Messaging Industry 49
Mobile Subscribers 50
Leading Service Providers 50
Regional Subscriber Base & Market Hindrances 50
Table 37: European Telecom Market (2005): Revenues in
Billions of Euros for Leading Companies - BT, Deutsche
Telekom, France Telecom, Telecom Italia, and Telefonica
(Spain) 50
Table 38: European Telecom Market (2005): Percentages of
Broadband Penetration for Select EU Countries 51
Table 39: Broadband Communication Service (DSL and Cable
Modem) Subscribers by Country in Europe: 2005 for Sweden, The
Netherlands, Austria, Denmark, Belgium, Iceland Luxembourg,
Germany, Switzerland, Finland, France, Portugal, Norway,
Spain, UK, Hungary, Poland, Ireland, and Greece 51
7a. Belgium 52
Overview 52
7b. France 52
Overview 52
7c. Germany 52
Mobile Communications 52
Mobile Messaging Services 52
Table 40: German Mobile Telephony Market (2006): Percentage
Market Share by Leading Players - E-Plus Mobilfunk, O2
Deutschland, T-Mobile, and Vodafone Deutschland 53
7d. Kazakhstan 53
Overview 53
7e. United Kingdom 54
Telecommunication Services 54
Table 41: UK Telecom Market (2005): Percentage Market Share
by Major Cellular Operators - O2, Orange, 3UK, T-Mobile,
Vodafone 2G, and Vodafone 3G 54
Table 42: UK Fixed Exchange Line Market Share for 2005 by
Company - BT, ntl/Telewest, and Other Indirect/Direct Access 54
Mobile Phone Market 55
Table 43: UK Market for Wireless Handsets by Technology -
GSM, 3G and Others Independently Analyzed with Annual
Shipments in Thousand Units for Years 2005 through 2008 55
Mobile Phone Services 55
DSL Services 55
7f. Eastern Europe 56
Russian Market Trends 56
Russian Mobile Market to Register Stupendous Growth 56
Mobile Service Penetration 56
Changes in Mobile Segment 56
Table 44: Telecom Industry in Bulgaria (2005): Percentage
Market Share of Mobile Subscribers by Operator - GloBul,
Mobikom, MobilTel, and Vivatel 57
Table 45: Telecom Industry in Lithuania (2005): Percentage
Market Share of Mobile Subscribers by Operator - Bité
Lietuva, Tele 2, Omnitel, and Others 57
Table 46: Hungarian Mobile Telecommunications Market (2005):
Percentage Market Share by Operator - T-Mobile, Pannon GSM,
and Vodafone 57
Table 47: Hungarian Fixed Line Telecom Market (2005):
Percentage Share by Leading Companies - Emitel, Hungarotel,
Invitel, Monortel, and MT 57
7g. Western Europe 58
Leading Service Providers 58
Market Trends 58
Telecommunication Services 58
Table 48: West European Market for Wireless Handsets (2005):
Market Shares of Leading Vendors by Volume for Nokia,
Samsung, Motorola, Sony Ericsson, Siemens, Sagem, and Other 58
Table 49: Telecom Market in Italy (2006): Percentage Market
Share of Leading Cellular Operators - 3Italia, TIM 3G, TIM
GSM, Vadafone 3G, Vadafone GSM, and Wind 58
8. Asia-Pacific Perspective 59
Overview 59
Liberalization & Licensing Efforts 59
Mobile Market & Impact 59
Table 50: Major Telecom Companies in Indonesia 59
Table 51: Major Indicators of Indonesia’s Telecom Market (2005) 59
Table 52: Major Indicators of New Zealand’s Telecom Market (
2005) 60
Table 53: Major Indicators of Malaysia’s Telecom Market (2005) 60
Table 54: Vietnam’s Telecom Market (2006): Revenues in US$
Million for Select Companies - VNPT, Viettel, SPT, EVN
Telecom, Vishipel, and Hanoi Telecom 60
Table 55: Vietnam’s Telecom Market (2006): Number of
Subscribers in Million for Select Companies - VNPT, Viettel,
SPT, and EVN Telecom 60
Table 56: Leading telecommunications operators by mobile
communications revenues in Asia: Annual Market Estimate for
2005 in Billions of US$ for China Mobile, NTT DoCoMo, SK
Telecom, Unicom, J-Phone Group and Others 61
An Overview of Cellular Telephone Services 61
Wireless Subscribers 61
Mobile Messaging Services 61
Table 57: Asia-Pacific Market for Mobile Messaging Services
by Type - Short Messaging Services, Multimedia Messaging
Services, Mobile Email, and Others (Includes Mobile Instant
Messaging & Push-To-Talk) Markets Independently Analyzed
with Annual Revenues in US$ Million for Years 2005 through
2008 62
Table 58: Mobile Messaging Market in Asia Pacific:
Percentage of Average Revenue Per User in Select Regions -
China, Hong Kong, Taiwan, Australia, South Korea and
Singapore 62
Table 59: MMS Market in Asia-Pacific (2002-2008): Percentage
Breakdown of Growth in MMS Users in Select Countries- India,
Hong Kong, South Korea, Australia, Taiwan, Philippines,
Singapore, and PRC 62
Broadband Services 63
Leading Broadband Service Providers 63
Factors Affecting the Broadband Market 63
8a. Australia 63
An Overview 63
Fixed-Line Service Market Position 63
Telecom Competency Bill Draft 63
Ownership Reforms & Government Trials 63
Telecom Operator’s Market Stand 63
Trade Practices Exemption & Australian Subscriber Base 64
3G Services’ Marketplace 64
3G Technologies Impact 64
Operator Programs 64
Subscriber Growth & SMS Significance 64
Table 60: Major Indicators of Australian Telecom Market (2005) 65
8b. China 65
Market Participants Compete Hard 65
Fixed-Line & Mobile Communications 65
Table 61: Chinese Phone Users (in Millions) by Type - Mobile
and Fixed-Line (2004-2006) 65
Table 62: Chinese Sales of 3G Value Added Services (2006-
2010) in US$ Billions 66
Table 63: Major Indicators of China’s Telecom Market (2005) 66
Table 64: China’s Telecom Service Market (2005): Percentage
Market Share by Revenues of Select Companies - China Mobile,
China Netcom, China Telecom. China Tietong, and China Unicom 67
Table 65: Chinese Telecom Market (2006): Percentage Market
Share by GSM/CDMA Operator 67
Table 66: Chinese Market for Wireless Handsets (2005): Market
Shares of Leading Players by Volume for Nokia, Motorola,
Samsung, Bird, Sony Ericsson, Lenovo, Amoi, TCL, and Others 67
Table 67: Chinese Market for GSM Handsets (2005): Market
Shares of Leading Players by Value for Nokia, Motorola,
Samsung, Bird, Sony Ericsson, Amoi, Lenovo, TCL, and Others 67
Table 68: Chinese Market for CDMA Handsets (2005): Market
Shares of Leading Players by Value for Samsung, LG, Motorola,
Hisense, Nokia, Daxian, Kyocera, and Others 68
Fixed-Line Operators to Enter Mobile market 68
Market Trends 68
8c. India 68
Overview 68
Indian Telecom Sector Perspective 69
Mobile, Fixed-Line Telephone and Internet Subscribers 69
Mobile Phone Services 70
Table 69: Indian Cellular Market (2006): Percentage Market
Share by Leading Players - Airtel, Bharti, BPL, BSNL,
Hutchison, IDEA Cellular, MTNL, Reliance Telecom, Spice, and
Others 70
Table 70: Indian Market for GSM Handsets (2005): Market
Shares of Leading Players by Volume for Nokia, Motorola,
Samsung, Sony Ericsson, LG, and Others 70
Table 71: Indian Market for CDMA Handsets (2005): Market
Shares of Leading Players by Value for LG, Nokia, Samsung,
Motorola, Kyocera, and Others 71
Table 72: Indian Telecom Market (2006): Percentage Market
Share of Fixed-line Operators -BSNL, MTNL, and Private
Operators 71
Table 73: Indian Internet Service Providers (ISPs) Market
(2006): Percentage Market Share of Leading Players - Bharti
Infotel, BSNL, Data Infosys, MTNL, Reliance, Sify, VSNL,
and Others 71
Table 74: Indian Telecom Market (2006): Percentage Share for
Leading Companies by GSM Network - Bharti, BSNL, Idea,
Reliance, Tata, and Other 71
8d. South Korea 72
Overview 72
8e. Taiwan 72
Overview 72
Table 75: Cellular Telephone Service (GSM) Subscribers by
Operator in Taiwan: 2005 in Thousands for CHT, TCC, Far
EasTone, KGT, and Mobitai 72
8f. Thailand 72
Overview 72
9. Latin American Perspective 73
Wireless Subscription Growth 73
Performance of Leading Companies 73
Wireless Penetration 74
Table 76: Wireless Penetration in Select Countries in Latin
America (2005): Penetration Rates in Chile, Argentina,
Colombia, Brazil, Venezuela, and Mexico 74
Table 77: Latin American Market for Wireless Handsets (2005):
Market Shares of Leading Players by Volume for Nokia,
Motorola, Siemens, Samsung, Sony Ericsson, LG, and Others 75
Foreign Investments 75
Cubas Telecom Industry Remains Low 75
Economic Recovery Fuels Industry Growth Dominican Republic 76
Mobile Communication Services 76
Broadband Communication Services 76
9a. Argentina 76
Major Companies Driving the Market 76
Changes in Mobile Communications 76
Economic Changes 77
Countries Contributing for Rapid Growth 77
9b. Brazil 77
An Overview 77
Expansion of Networks 77
Growth in Mobile Communications 77
Table 78: Brazilian Telecom Industry (2005): Percentage
Market Share of Leading Cellular/ PCS Operators - BrT GSM,
Telecom Americas (Claro), Telemar (Oi), Telpart, TIM Brasil,
VIVO, and Others 77
Table 79: Brazilian Telecom Industry (2005): Percentage
Market Share of Leading Broadband Service Providers -
Brasil Telecom, Net Servicos, TELESP, Telemar, and Others 78
9c. Puerto Rico 78
An Overview 78
Wireless Services in Puerto Rico 78
10. Middle East & Africa 78
African Mobile Communications Market - An Overview 78
Debt Capital to Propel Mid-East and African Telecom Sector 79
Mobile Services Market in Nigeria and Libya 79
Egypt Telecom Market - A Huge Potential Ahead 79
Trends in Telecom Market 80
Changes in the Sector due to Liberalization 80
Table 80: Middle East Telecom Market (2005): Population,
Total Number of Fixed Lines in Millions by Select Countries 80
Table 81: Middle East Telecom Market (2005): Number of GSM
Subscribers in Millions by Select Countries 81
Table 82: Middle East Telecom Market (2005): Number of
Internet Users in Millions by Select Countries 81
Table 83: Telecommunications Market in Egypt (2005):
Percentage Share by Category - GSM, Fixed, Hardware/
Software, and Services 82
Saudi Arabian Broadband Internet Market to Witness
Encouraging Growth 82
Wireless Communications 82
Wireless Communication Operators 82
Role of Foreign Investment in the Middle East and Africa 82
GLOBAL DIRECTORY
