Hong Kong Mobile Service Revenue Expected to Grow at 2.2% CAGR
Overall mobile services revenue in Hong Kong is poised to grow at a compound annual growth rate (CAGR) of 2.2%, from $2.7 billion in 2021 to $3.0 billion. dollars in 2026, supported by growth in smartphone subscriptions and mobile data service revenues, predicts GlobalData, a leading data and analytics company.
GlobalData’s Mobile Broadband Forecast Model in Hong Kong (Q1 2022) reveals that while mobile voice and messaging revenue will continue to decline, mobile data revenue will grow at a CAGR of 5.1% over the forecast period, mainly due to the growth of mobile internet subscriptions. , and growing adoption of higher average revenue per user (ARPU) 5G services.
Aasif Iqbal, Telecom Analyst at GlobalData, said: “Average monthly mobile data usage is expected to increase significantly from 4.8 GB in 2021 to 12.1 GB in 2026, driven by growing online video consumption. and social media content on smartphones, supported by operator data-centric packages. Moreover, the predicted increase in the adoption of 5G services will increase the usage of mobile data over the forecast period.
5G subscriptions in the country will overtake 4G subscriptions in 2025 and continue to garner 61% of total mobile subscriptions in 2026, driven by 5G network expansions by all major mobile operators, including China Mobile, PCCW and 3 Hong Kong.
5G adoption will also be supported by telco’s 5G promotional offers at discounted rates and value-added benefits. SmarTone, for example, offers 110 GB of 5G mobile data, unlimited video call data for Zoom/Teams, a free handset for 2,000 HKD ($257) and an accessory voucher for 398 HKD ($51.1 )/month.
Iqbal concludes, “PCCW led the postpaid market in terms of subscription share in 2021 and will remain the leading postpaid provider through 2026, thanks to its focus on the postpaid segment, including including M2M/IoT. PCCW, for example, has partnered with the Hong Kong Institute for Data Science (HKIDS) of the City University of Hong Kong (CityU) to develop smart city solutions using data analytics and artificial intelligence technologies in May 2022. The strategic study will focus on creating solutions for environmentally friendly urban development, such as smart energy management for industrialists, asset health monitoring, predictive maintenance and optimization of traffic flows.