Stable performance of telecom industry

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This presentation focuses on the performance of telecom companies in current market along with the future prospects which can be expected in the coming future of the telecom industry. For more information, you can visit https://www.vtelecom.com.au

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Stable performance of telecom industry

  1. 1. Stable Performance of Telecom Industry
  2. 2. The participation of Telecom companies in revenue growth and the statistics collected by some reliable sources, emphasis upon stagnant revenue being generated since past two years and predicted the same in coming years. After a number of market surveys, reports have clarified that, not much fluctuation can be seen in the performance of telecom companies in total revenue collected last year. It even figured that participation or the performance of the telecommunication companies, in revenue collection in coming years, will be stagnant too. Nearly, $42.5 billion revenue has been generated in 2013, which shows degradation in all total. This is the result of poor performance of two telecom companies. The ever challenging, competitive pressure on pricing between different companies, and less circulation of money in the market, in comparison to 2011 has resulted in the downfall of revenue generation in year 2013. Similar performance is expected by the telecom industry, in forthcoming year 2015 and in the present year 2014. Slight growth can be expected this year, which has been rested to 1-1.5% on yearly basis. It has also been depicted that, further price rises in products, may bring annoyance among the consumers, of any of the two: fixed-line or mobile Subscriber. Between both landline and mobile connections, the vital role player in revenue generation is the favorable device of Australians that is mobile. The extra features and the internet service support the voice of mobile in market. The growing number of subscription till mid 2013 has supported mobile penetration to reach more than 130% (as a sound proportion of mobile subscribers have multiple SIM cards and phone). A consistent increase will be seen in next few years in subscriptions to smart phones. Recently 5.5 billion consumers have been added in the list of mobile subscription (till 2013). Although the landline numbers are still beneficial, especially when it comes to business inbound numbers like 1800 numbers and 1300 numbers in telecom industry of Australia. The declining state of the landline cannot be expected to participate much in growth of revenue even in forthcoming years. Till date mobile voice dominancy cannot be replaced by any other facility of Mobile Network Operators (MNOs) as it has shared the maximum revenue till now but soon it will be surpassed by mobile broadband services. Network constraints were suffered by 3G networks, over last two years, due to unavailability of relative infrastructure to tackle the traffic, so the mobile network operators have started investing in upgrading and setting preferable network range for customers to provide reliable service and to exist in the market. As mobile broadband service is the most demandable product in the market? The upgraded 4G mobile broadband has attracted maximum users; resulting in increase of bandwidth consumed. Greater returns can be expected from 4G service, so telecom companies have started investing in improving customer service provision to promote 4G. This capital expenditure will definitely support the mobile broadband services returns. Hence maximum sharing in revenue due to additional 4G networks can be expected in forthcoming years. The future of revenue collected by telecom industry in 2014 will be stagnant in accordance to the research in the market.

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