Australia - Mobile Communications - Revenue Overview and Statistics
Overall mobile services revenue continues to come under pressure from competition among the three key market players and from among the small number of MVNOs. Compounding competitive pressures is the recent decision by the ACCC to regulate the pricing of wholesale SMS tariffs.
Telstra and Optus into 2015 are better placed to capitalise on spectrum assets, having been able to make use of their 700MHz concessions since January 2015, and so further develop their LTE subscriber base. Vodafone remains under some strain as a result of continuing subscriber losses and the failure of the operator to compete for this valuable spectrum asset. However, the company has invested about $1 billion in network upgrades, and by mid-205 claimed to provide 96% metro population coverage with its LTE infrastructure. The company has slowed customer losses by introducing international roaming deals with its partner networks across the globe, and has increased data allowances for customers, providing monthly data packages of up to 13GB.
Despite these pressures on pricing, revenue among MNOs is expected to show continued growth for fiscal 2015, though future revenue growth will be impacted by continuing activity from a number of the larger MVNOs as some of the smaller failed operators are removed from the market. Some positive growth offsetting downward pressure on mobile voice revenue should be expected from mobile data services as Telstra and Optus extend the reach of their LTE networks to an anticipated 98% of the population by the end of 2016.
For the MNOs, the latest results are positive. Telstra reported a 9.8% increase in revenue for prepaid and contract mobile customers in the year to December 2014, while total mobile revenue increased 9.6%. Optus recovered from its 5.7% fall in mobile revenue in FY2014, recording a 6.7% increase in FY2015. VHA, the entity created with the merger of Vodafone and Hutchison, experienced steep revenue declines for a number of years on the back of customer disaffection with service offerings, though for the first half of 2015 the company reported a 2.9% increase in revenue, supported by a 2.1% increase in its subscriber base. The operator's investments are clearly beginning to deliver rewards, resulting in a change in customer sentiments as it addresses popular concerns over poor network quality and stability.
This report provides analysis of high-level revenue, market shares and revenue growth, as well as revenue earned from mobile voice and mobile data services. In addition, the report includes additional statistical data relating to prepaid and postpaid revenue and average revenue per user (ARPU) for selected mobile voice and data services.
ARPU, mobile revenue by MNOs, overall mobile revenue developments to June 2015; recent market developments.
Companies covered in this report include:
SingTel, VHA, Optus, Telstra.
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