Malaysia’s mobile service revenues expected to stagnate
Malaysia’s mobile service revenues are forecast to grow at a compound annual growth rate (CAGR) of 0.7%, from $ 5 billion in 2020 to $ 5.2 billion in 2025 due to a steady decline revenue from mobile phone and mobile messaging services, according to GlobalData.
Mobile phone and mobile messaging service revenues of telecom operators in Malaysia will continue to decline over the forecast period due to the widespread shift by consumers to over-the-top communication (OTT) platforms.
Mobile voice service revenues of mobile operators in Malaysia will register a 3.2% CAGR decline over the forecast period, driven by lower voice subscriptions as well as average revenue per user (ARPU) levels of voice services.
Hrushikesh Mahananda, Associate Project Manager at GlobalData, said Malaysia’s telecom mobile data service revenue will grow at a CAGR of 2.9%, due to the steady increase in adoption of 4G ARPU services over high rates and increasing consumption of mobile data services.
Average monthly data usage will increase from 12.5 GB in 2020 to 16 GB in 2025, due to the growing consumption of mobile video services on smartphones, thanks to data-centric plans offered by mobile network operators.
4G will remain the main subscription mobile technology in Malaysia during the forecast period 2020-2025, driven by the continued expansion of the 4G network by operators, supported by the government’s Jalinan Digital Negara Plan (JENDELA) initiative. to improve 4G network coverage.
Maxis dominated the mobile services market in terms of subscription share in 2020 and will remain the leading mobile operator until 2025. Maxis’ leadership will be primarily driven by its focus on the postpaid segment by offering promotional plans and investments in the expansion of the 4G network, especially in rural areas.