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Mobile Broadband Subscriptions on Tablets to Grow 7x in Next Five Years

4G LTE, Video and Shared Data Plans Drive Growth and Spur Mobile Operator Data Revenues

Boston, MA - August 7, 2012 –Strategy Analytics: The mobile broadband tablet market is heating up, adding 150 million new data subscriptions in the next five years. By the end of 2017, tablet subscriptions will reach 172 million worldwide, as highlighted in Strategy Analytics Mobile Broadband Opportunities (MBO) service report, "Tablet Opportunity for Mobile Operators Expanding: Forecasts of Tablet Subscriptions, Data Traffic, Service Revenues 2010-2017."

"Less than 13 percent of the global tablet installed base will have active mobile broadband service in 2012, yet in the US, both AT&T and Verizon Wireless saw tablets play a key role in net subscriber additions in Q2 this year," notes Susan Welsh de Grimaldo, Director, Mobile Broadband Opportunities (MBO) at Strategy Analytics. She adds, "Service revenues from tablets will be an important incremental growth source for mobile operators, with global tablet service revenues reaching US$15 billion in 2017. Multi-device shared data plans and 4G LTE are key drivers for tablet subscriptions."

LTE quickly becomes the access technology of choice, accounting for nearly 68% of mobile broadband tablet subscriptions by the end of 2017, according to the companion report, "Global Active Mobile Broadband Tablet Subscription Forecast: 2010-2017," which provides tablet forecasts by region and for 37 countries. Average data traffic per subscription will grow substantially as use of video intensive services increases. Mobile data traffic from tablets will surge to more than 2.7 million Terrabytes in 2017, representing an 80.4% CAGR from 2012.

While the US retains its leadership position as the country with the most mobile broadband tablet subscriptions, the Chinese market comes in second and shows rapid expansion. Guang Yang, Senior Analyst, Wireless Operator Strategies (WOS), recommends, "Despite representing a small percent of total service revenues, the tablet opportunity is a growth market that Chinese mobile operators cannot afford to overlook as they target growth in data revenues and share of consumer wallet."

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Susan Welsh de Grimaldo
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