Communications & high tech

European Mobile Observatory – state of the mobile industry

The "2009 European Mobile Observatory" report on the EU mobile industry has been published ahead of this year’s Mobile World Congress in Barcelona. It was prepared for the GSMA by A.T. Kearney, working with the close cooperation of 40 of the largest operators in Europe.

Key findings of the report include:

With total revenues in 2008 of €178 billion, mobile ranks amongst Europe’s most important industries
Mobile usage has increased strongly: on average for each month, Europeans now make 126 minutes of calls (up from 116 in 2007) and send 45 mobile messages (up 9% since 2007)
The mobile industry also makes a very substantial contribution to the European economy, generating an estimated 3.5 million jobs for Europeans:
- Mobile operator GDP of approximately €138 billion (1% of total European GDP)
- Direct contribution to public funding of €44 billion from mobile operators, plus almost twice as much indirectly from induced economic activity
- Direct employment of 610,000 Europeans and induced employment of 2.9 million
Mobile broadband has grown by 139% CAGR from 2006 to 2008, with subscribers rising from 2 million to 13 million
Smart phones have also grown significantly with an estimated 32 million in Western Europe by the end of 2008 and rapid growth during 2009
The mobile industry is expected to continue investing strongly in new technologies and services, creating around 25 million new jobs worldwide in the next five years, and productivity gains of mobile broadband could increase global GDP by 3 to 4% worldwide

As a GSMA report, "European Mobile Observatory" aims to provide a reference point for participants in the mobile industry, policy makers, and other stakeholders with regard to the state of the industry. The annual report covers key statistics and performance indicators; the evolution of competition; innovation in new products, services and technologies; and the contribution of the mobile industry to social and economic development.

"The European telecommunications industry continues to suffer from the economic downturn and acute regulatory pressure," said A.T. Kearney partner Mark Page. "However, stronger players are protecting cash flows and maintaining the financial strength necessary to invest in next generation technologies. Further consolidation and innovation in the value chain are definitely expected as the industry returns to growth."

Learn more

To learn more about the scope and outlook of the European mobile market, read the research report by the GSMA and A.T. Kearney: European Mobile Observatory 2009

To learn more about the scope and outlook of the Asia Pacific mobile market, read the research report by the GSMA and A.T. Kearney: Asia Pacific Mobile Observatory — The Parallel Development Paths of the Mobile Industry in Asia Pacific