Digital Lifescapes

Sometimes the only way to increase market share is to go downward. Within the North American mobile communication market, where the monthly service price has remained relatively high when compared to more competitive markets, lowering subscriber costs was an inevitable outcome. Wireless revenue increased by just 1.1 percent year-to-year among benchmarked U.S. mobile network operators in 3Q16, according to the latest market study by Technology Business Research (TBR). Let's give credit where it's due. This situation is primarily the result of T-Mobile growing revenue 17.8 percent year-to-year on the strength of its 'Un-carrier' go-to-market strategies. Mobile Phone Service Market Development "While T-Mobile and Sprint remain able to increase wireless revenue by generating higher postpaid phone additions through competitive pricing, Verizon and AT&T are relying on value-added services to offset declining revenue from slowing phone subscriber growth,"...

Mobile internet users in North America have endured high-cost services (compared to other global regions) as a result of market consolidation -- where fewer service providers compete for customers. That all changed when the status-quo was broken by T-Mobile's lower prices. People rejoiced. Well, most people. Some mobile network operators struggle to generate new wireless communication service revenue growth in the U.S., due to the ongoing pricing war and the saturated smartphone market, according to the latest study by Technology Business Research (TBR). In an attempt to offset declining service revenue, some American mobile network operators are focused on expanding their connected device offerings and increasing equipment revenue through un-subsidized smartphone purchases. However, the smart ones also prepared for this scenario by lowering the inherent high costs within their operations. "Verizon remained the top-ranked U.S. wireless carrier in 2Q15 and led the industr...

The rigid American telecommunications services sector is about to undergo a significant change as the major mobile network service providers abandon phone subsidies and the previously required 2-year contracts for subscribers. The most apparent effect is likely to be many more consumers will choose to keep their working smartphones for a longer period, and fewer people may be able to rationalize the full cost of a new premium smartphone. That being said, it's highly likely that mobile operators are also going to see more customer churn, as smart people shop for better deals and consider alternative offers. T-Mobile seems to be in the most advantageous position as this trend unfolds, with Google Project Fi also potentially gaining market share. Meanwhile, the smartphone market in North America should witness greater demand for affordable (significantly lower-cost) new devices. This trend will favor the rising Chinese smartphone vendors. In contrast, the vendor likely to be ne...