LONDON-Increased mobile penetration in Eastern Europe and Africa is expected to drive revenue growth in the Europe-Middle East-Africa region, according to new research from the Yankee Group.
The company predicts total service revenue in the region will grow from about $210 billion in 2004 to $275 billion by 2009. Prepaid services are expected to remain crucial in the region, although the share of customers who use prepaid services is forecast to decline modestly, especially in Western Europe where carriers are pushing postpaid contract-based services, according to the report.
In addition, the report predicts average revenue per user will decline in most regions through 2010, with ARPU in the EMEA region falling until 2007 and then remaining flat. The Yankee Group said it believes infotainment services, ringtones and third-generation services will see growth in the region. By the end of 2007, the company predicts nearly one-third of Western European customers will own a third-generation phone.
