Several years of economic contraction and operators focussing on the more lucrative postpaid segment have constrained growth of subscriptions, but Pyramid expects penetration to advance to 84% by 2014.
The recent incursion of big telecoms operators, such as AT&T and T-Mobile, looking to expand beyond the US in the mobile market, may also put additional pressure on tariffs but will spur offerings in data services, such as mobile internet and infotainment content. Pyramid forecasts infotainment content to gain share in the total data market at the expense of messaging while connectivity revenue grows thanks to uptake in mobile internet and datacards. Data as a percentage of ARPS will advance to more than 30% by 2014 from 18% in 2009.
In the fixed segment, Pyramid expects broadband to expand at a CAGR of 16.7% to generate $390 million by 2014.