Latin America to see double-digit mobile Internet growth | Second Screen | News | Rapid TV News
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Only three regions—Latin America, Middle East, and Africa—will see mobile Internet service revenue grow with a double-digit CAGR between 2013 and 2018, according to new research from ABI.

In 2018, Latin America and Middle East are expected to see an average user contributing more than 2.5 Gigabytes of traffic per month. This is underpinned by the strong per subscription data consumption increasing at CAGRs of 45-49%. In other words, data traffic doubles in less than every two years on average, thanks to the increased availability of affordable smart devices in the near future (and, of course, their video consumption).

Low literacy rate has resulted in the low messaging volume in Africa. However, with the fastest mobile subscription growth and over-the-top (OTT) applications being less prevalent, ABI said that it will be the only region to enjoy consistent positive messaging service revenue growth throughout the entire forecast horizon.

“Nonetheless, a key determinant of the future consumption pattern will be the regulatory policies in the regions,” said Ying Kang Tan, research associate at ABI Research. “For instance, the recent implementation of mobile number portability measure in Nigeria and the reduction in mobile termination rate in Honduras and Jamaica will go a long way in shaping the competitive landscape and encourage cellular usage.”

All these rising trends do not necessarily imply increased profitability though. “Operators in the regions need to be prepared to respond to new competition policies,” added Jake Saunders, vice president and practice director at ABI. “For example, a slash in termination rates means consumers have fewer reasons to subscribe to different operators concurrently. The battle to gain market share will be even more intense.”

The “Mobile Carriers and Revenue” and “Mobile Data Traffic & Usage” Market Data provide a robust source of financial and operational benchmarks, as well as traffic and end-user related metrics respectively, not just for the markets as a whole, but also for mobile cellular carriers. These findings are part of ABI Research’s Mobile ARPU and Mobile Traffic Research Services.