Skip to main content

Why 4G Mobile Data Traffic will Surge by 82.2 Percent

Even though 4G wireless technology overall share of cellular subscriptions stood at a meager 2.9 percent at the end of 2Q 2013, it is expected to account for slightly more than 20 percent of the total data consumed on mobile networks worldwide this year.

After surpassing 3G mobile networks in 2016, 4G mobile networks will go on to capture two-thirds of data traffic by 2018, according to the latest market study by ABI Research.

Moreover, 4G mobile data traffic will surge at a compound annual growth rate (CAGR) of 82.2 percent between 2013 and 2018.

Underpinning this high-growth traffic trend is the aggressive LTE network deployment by wireless network operators and the expanding portfolio of smartphones and tablets which are also falling in price.

"These two factors work hand in hand to enable consumers to stream videos on their smartphones," said Ying Kang Tan, research associate at ABI Research.

Already, Verizon saw video accounting for 50 percent of its network traffic earlier this year. It's anticipated to be the beginning of a significant ongoing trend. ABI Research now believes global annual video consumption will soar at a CAGR of 60.6 percent -- to exceed 100 Exabytes in 2018.

Despite growing at the slowest rate, more traditional web browser traffic on the Internet will still contribute to 27 percent of the data traffic consumed.

The result is that the revenue generated from data traffic -- excluding that from SMS texting -- will increase at a CAGR of 7.9 percent between 2013 and 2018.

However, voice service revenue will still take up the bulk -- 52.7 percent -- of the global total in 2018. ABI believes that mobile network operators still need to improve their voice quality and not lose sight of this key application segment.

Popular posts from this blog

Navigating AI Implementation Challenges in 2025

As we approach 2025, the global Artificial Intelligence (AI) market is poised for significant growth. Traditional AI spending is rising, while Generative AI (GenAI) struggles to meet lofty expectations. This apparent dichotomy presents challenges and opportunities for vendors and business leaders navigating the complex world of AI implementation. Let's explore the overall situation. Traditional AI: A Pragmatic Approach In the coming year, we expect to see a surge in traditional AI spending as enterprises seek pragmatic, ROI-driven solutions. This trend is driven by a growing recognition of the limitations and risks associated with GenAI projects, which have shown alarmingly high failure rates of 80 to 90 percent in proof-of-concept stages. The trend towards traditional AI is further supported by data from Amazon Web Services (AWS), which revealed that over 85 percent of AI projects in 2024 were not based on GenAI.  This insightful statistic underscores the continued relevance and ...