A Flood of Low-Spending Users Dilute Profit Margins -- "The latest quarterly Strategy Analytics wireless operator benchmarking study indicates potentially serious global operator profit slides, as global margins fell below 40 percent for the first time in eight quarters. While subscriber volumes rose by 24 percent, year on year EBITDA was up by less than 4 percent, resulting in a 15 percent decline in average margins per user (AMPU). Globally, AMPU among the operators fell by 15 percent over the previous year, to a low of $11.54 in Q4 2004, from 2003's $15-plus figure. The heaviest declines were in Central & Eastern Europe and Asia-Pacific, both regions where exceptionally high subscriber growth among lower-value customers has outstripped profitability. Even more mature markets have not been immune to AMPU declines, with 3 percent declines in North America and Western Europe as competitive pressures and, in the case of Europe, regulatory interconnect rate cuts, left their mark."
The rapid evolution of digital payment technologies is reshaping global financial apps, with instant payment platforms emerging as a transformative force. These innovative payment systems are streamlining transactions and also driving financial inclusion or economic growth across diverse markets. The recent worldwide market study by ABI Research provides compelling evidence of the explosive growth in instant payment transactions. Instant Payments Market Development According to ABI findings, the top eight global instant payment platforms are projected to see their transaction volumes skyrocket from 213 billion in 2023 to 681.1 billion by 2028. This remarkable growth trajectory underscores the increasing adoption and importance of instant payment solutions in our increasingly online world. One key driver is the global rise in Peer-to-Peer (P2P) payments. "Account-to-account wallets, which have seen widespread use in P2P transfers, are experiencing increased usage given their use in