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Mobile Operators Must Drive Non-Voice ARPU More Effectively, Says Analysys
[December 19, 2006]

Mobile Operators Must Drive Non-Voice ARPU More Effectively, Says Analysys


CAMBRIDGE, England --(Business Wire)-- Despite the abundance of new non-voice service initiatives since the introduction of GPRS and 3G, mobile operators in developed markets are failing to achieve significant increases in non-voice ARPU according to a new report, Mobile Operator Performance Benchmarks, published by Analysys, the global advisers on telecoms, IT and media (http://research.analysys.com)



The new report assesses the performance of mobile operators worldwide against the key metrics that will determine their success and survival. Key findings of the report include:

-- Non-voice ARPU is flat for the majority of mobile operators in developed markets, with very few operators outside Japan breaking through the USD10 per month barrier.


-- Voice ARPU is declining for nearly all mobile operators, although a small number have managed to reverse the trend.

-- Annual churn levels vary widely around the world, from less than 10% to over 50%.

"Despite some disappointing findings, the best-in-class operators are demostrating the way forward," according to co-author Alastair Brydon. "O2 UK has increased non-voice ARPU by 19% per annum, to USD12 per month, by stimulating the usage of SMS in a number of ways, without sacrificing its price. 3 UK has leap-frogged over Japanese operators, to achieve the highest non-voice ARPU levels in the world, by exploiting the capabilities of its 3G network to offer a host of innovative 3G services, such as mobile TV, music downloads and user-generated content."

This new report benchmarks a wide variety of operators around the world against critical measures, including voice and non-voice ARPU, churn and the ability to offer fixed and converged services. As well as considering the performance of operators in individual countries, it considers the quality of multinational operators' global portfolios. The report identifies best-in-class performers and explains how they have achieved success, defining clear actions that all operators can take to improve their performance.

The report is available to purchase online at http://research.analysys.com/store, priced at GBP1700 (approximately EUR2450) plus VAT.

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