Skip to main content

Asia-Pacific has the Lowest Pricing for Mobile Data

As more mobile network service providers continue the ongoing decommissioning of 2G networks and start on the 3G networks, their subscribers are still considering the impact of new 4G monthly service fees.

Compared to 3G data pricing, 4G is around 20 percent higher than legacy 3G for the equivalent data plan. But there are already signs 4G tariffs will succumb to the downward pull of competition sooner rather than later, according to the latest market study by ABI Research.

"In South Korea, SK Telecom has cut its 4G pricing to remain competitive. Their LTE 62 Plan for smartphones used to be priced $55.04 for 3 GB of data, but the monthly download quota has now been increased to 5 GB. ABI Research has seen similar 4G mobile data quota and/or pricing revisions in Norway, Hong Kong, and the U.S.," said Jake Saunders, VP for forecasting at ABI Research.

According to the ABI Research cross-country comparison of mobile data pricing, the world’s cheapest 4G data plan is currently on offer by CSL Hong Kong, which launched its 4G service in November 2011.

For 3G mobile data, the lowest tariff can be found in Singapore. Singapore’s M1 offers a 4 GB data plan for the remarkable tariff of $9.62 per month.

ABI believes that 4G technology has given operators, not just greater download speeds, but also greater capacity. Therefore there is a degree of price elasticity.

As 4G devices come down in price, operators will be keen to increase 4G market share. Cutting tariffs, or boosting data quotas, will be tempting but they need to make sure they achieve reasonable returns on the infrastructure investment.

Voice tariffs are also benefiting from 4G LTE. A number of mobile network operators are rolling out Voice over LTE (VoLTE). From analysis carried out by ABI Research, the higher fidelity offered by VoLTE could help overcome the decline in voice-related ARPU.

However, VoLTE is not currently being priced at a premium over existing circuit switched mobile voice services. So, that's the apparent trend at this time.

Popular posts from this blog

Artificial Intelligence Growth at an Inflection Point

Business technology investment no longer follows a predictable path to growth. The global venture capital (VC) investment in artificial intelligence (AI) was close to its peak in 2021 reaching $22.3 billion, according to the latest worldwide market study by ABI Research. This is just $400 million shy of the historical high of $22.7 billion recorded in 2019. Compared to the $15 billion recorded in 2020, the market made a remarkable recovery, with a 48.5 percent year-on-year growth. Will the future AI marketplace return to stable growth, or will it remain volatile? Artificial Intelligence Market Development "COVID-19 greatly accelerated the speed of digital transformation within the enterprise. Businesses are looking for solutions to work processes automation, customer care, due diligence, transcription and translation, and sales and marketing enablement tools," said Lian Jye Su, research director at ABI Research . At the same time, COVID-19 led to the Great Resignation of 2021

How a Digital-First CEO Leads Transformation

Some leaders reject the notion that "wait and see" is the best response to disruptive change. Savvy senior executives are already driving digital business transformation throughout their organization in an effort to gain a bold strategic advantage. According to the latest market study by International Data Corp (IDC), Digital-First CEOs plan to drive at least half of their income from digital business products, services, and experiences by 2027 -- that's ahead of the market average of 39 percent. Driven by their response to the COVID-19 pandemic, these business leaders have changed how they think about the relationship between business and technology, and how they approach the next digital transformation era -- from scaling digital technology to guiding a viable digital business. Digital Business Market Development IDC defines digital business as value creation based on technology, which entails: 1) Automated customer-facing processes and internal operations; 2) Provision

Digital Solutions for Industrial & Manufacturing Firms

Executive leaders of fast-moving consumer goods (FMCG) are seeking guidance on how to apply new business technology in their manufacturing operations. CIOs and CTOs are tasked with gaining insight into the best solutions for digital transformation. ABI Research evaluated the impact politics, regulation, the economy, supply chain, ESG, and technology are having on FMCG, pharma, producers of steel, chemicals, pulp and paper -- as well as the mining and oil & gas sectors. Digital Transformation Market Development "Our assessment found that the FMCG sector is under pressure from all sides," says Michael Larner, industrial & manufacturing research director at ABI Research . Securing raw materials is challenging considering lockdowns in China and limited grain supplies from Ukraine. Supply shocks are raising input costs, and operating costs are rising with higher energy costs coupled with the pressure to pay higher wages and work sustainably. "We all hoped that with th