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The telecommunication services market, which includes fixed-network services and mobile
services, had a value of around 1.5 trillion U.S. dollars in 2015, and is forecast to grow to
almost 1.7 trillion U.S. dollars in size by 2019.
The biggest markets for telecom services are the Asia/Pacific region, Europe and North
America.
Mobile and wireless technologies have become more prevalent in the past 15 years. The
market is expected to continue to gain space in the telecommunication services industry,
as the number of mobile connections worldwide is predicted to reach nine billion by 2020,
about twice the amount of 2009.
The total spending on wireless data telecommunication worldwide is forecasted to reach
nearly 550 billion U.S. dollars by 2019.
Industry Demographics
Wireline
Wireless services
Power of Suppliers:
Availability of Substitutes:
Cable TV and Satellite operators: Products
and services from non-traditional telecom
industries pose serious substitution
threats. Cable TV and satellite operators
now compete for buyers. The cable guys,
with their own direct lines into homes, offer
broadband internet services, and satellite
links can substitute for high-speed
business networking needs.
Internet: Just as worrying for telecom
operators is the internet: it is becoming a
viable vehicle for cut-rate voice calls.
Delivered by ISPs - not telecom operators "internet telephony" could take a big bite
out of telecom companies' core voice
revenues.
Telecommunications is a heavily regulated sector and industry leaders are highly sensitive to
uncertainties that may undermine incentives to invest.
As mobile data traffic continues to grow in all geographies, spectrum remains very much the lifeblood of
the sector, and 78% of participants believe that spectrum release and auction frameworks will be a
leading regulatory issue over the next three years.
Interestingly, net neutrality led the way as the single most important regulatory concern in years to
come, cited by more than one-third of participants.
This reflects its contentious status in a number of geographies, from the US to India, and a number of
participants underlined the importance of a level playing field where operators and OTTs are subject to
the same rules.
Meanwhile, participant views on policy risks varied according to geography. For developed market
operators, data privacy and protection ranked as the leading top-three challenge (cited by 75% of
participants)
While spectrum release is proportionately more pronounced among emerging market operators (78% of
participants).
Customer experience management is emphatically the top priority for operators, with 68% of
participants citing it as the number one strategic priority for their organizations, while 82% viewed it as
a top-three consideration over the next three years.
The drive to put customers front and center in everything they do is also forcing operators to focus on
agility, efficiency and network quality all must-have differentiators in a world where customers have
an ever-widening set of relationships with telecommunications companies and a range of digital
newcomers.
In this light, many of the other leading answers can be seen as supporting elements on the journey
toward more intuitive, convenient and trusted relationships with customers.
Customer experience management is emphatically the top priority for operators, with 68% of
participants citing it as the number one strategic priority for their organizations, while 82% viewed it as
a top-three consideration over the next three years.
The drive to put customers front and center in everything they do is also forcing operators to focus on
agility, efficiency and network quality all must-have differentiators in a world where customers have
an ever-widening set of relationships with telecommunications companies and a range of digital
newcomers.
In this light, many of the other leading answers can be seen as supporting elements on the journey
toward more intuitive, convenient and trusted relationships with customers.
Demographics
WORLD INTERNET USAGE STATISTICS
Internet Users
Penetration
(%
Population)
330,965,359
28.6 %
1,622,084,293
40.2 %
Europe
604,147,280
73.5 %
Middle East
123,172,132
52.2 %
North America
313,867,363
87.9 %
Latin America /
Caribbean
344,824,199
55.9 %
27,200,530
73.2 %
3,366,261,156
46.4 %
World Regions
Africa
Asia
Oceania / Australia
WORLD TOTAL
Regions
The United States
Nigeria
India
This rapid evolution in telecommunications has been driven by the technological changes taking place in
the information technology industries in general. These geometric increases in computer processing
speed and the development and expansion of the Internet have combined to confront the traditional
regulated monopoly structure of telecommunications industry in this country
Verizon Wireless is the largest mobile services provider in the US, with over 108.7 million customers.
The main factor for its success is its customer service and network reach and reliability, which has
awarded it the best J. D. Powers Custom Satisfaction award.
AT&T with 103 million subscribers comes in a second place in the ranking, right after Verizon, mainly for
its customer services. It has the largest selection of available phones, its wireless network is extensive,
with the largest 4G network within the US.
Sprint provides calling plans that may fit customers needs better than the competition, with some 55
million customers, Sprint Nextel comes in last place of the top 3 ranking, mainly due to its customer
service ratings being notably lower than other carriers. It emphasizes data plans over traditional voice
plans, and has one of the best 4G networks in the US.
Developed market operators are proportionately more likely to cite IT-led technical improvements that
can aid greater agility, while emerging market operators are relatively more concerned with peopleoriented improvements that can improve organizational effectiveness.
Many operators in mature markets have already undergone substantial changes to their organizational
structures and for some, people-related initiatives now center on new leadership roles regarding digital
activities and big data.
In this slide we are comparing the GDP per capita for the 3 countries in consideration. The United States,
Nigeria and India in Green, Red and Blue respectively.
In this slide we are comparing the percentage of unemployed people out of the total labor force for the 3
countries in consideration: United States, Nigeria and India in Green, Red and Blue respectively.
In this slide we are comparing the number of Internet users per 100 people for the 3 countries in
consideration. The United States, Nigeria and India in Green, Red and Blue respectively.