13 reasons why location-based services could grow bigtime by 2013
That would be 13 billion reasons: “Mobile location-based services will generate annual global revenues of $13.3 billion by 2013 up from $515 million in 2007 according to a new forecast released by market analysis firm ABI Research.”
AT&T wireless service revenues surge due to data usage AKA iPhone sales?
AT&T today announced 22% increase in profits in 1Q08 from 1Q07 up to $3.46B. Of much interest to us here at Zedmo is how important the growth in wireless data revenues to this surge. From their announcement: “wireless data revenues grew 57.3 percent versus results in the year-earlier first quarter to $2.3 billion reflecting robust increases in Internet access e-mail messaging data access and media bundles. Data now represents 21.5 percent of AT&T’s total wireless service revenues.”
Wow.
Well if we must let’s consider how much is attributable to iPhone sales (of course you can’t even legitimately buy the Apple iPhone anywhere else in North America!):
- 73% of iPhones in the US are still locked to AT&T
- The average iPhone user spends more than $90 a month on wireless service, including Internet access, text messaging, and other features. Compare that to the $50.18 average for all of AT&T’s wireless customers!
- The iPhone (plus Apple’s WiFi-only iPod Touch) is the most used mobile browser for Internet access in the US. (Actually Symbian OS still leads globally.)
- BUT… Apple is receiving $3 a month from AT&T for each iPhone user and an additional $8 a month for new subscribers to AT&T’s network lured by the iPhone.
So while one might be tempted to see where these subsidies fit into AT&T’s income statements how much this eats into the otherwise glorious iPhone usage payments and how Apple has this death-grip upon AT&T couldn’t we instead just be excited about the long-awaited catalyst to “The Great American Mobile Web Revolution?” I sure am and everyday consider dumping my beloved Symbian device for one.