Mobile economy report for Asia pacific in 2016

Asia is mobile first. Source: asia.nikkei

The number of mobile subscribers in the Asia Pacific region will grow to 3.1 billion by 2020, up from 2.5 billion at the end of 2015 according to GSMA study, The Mobile Economy: Asia Pacific 2016, reports Digital News Asia.

Highlights from The Mobile Economy 2016

  • 62% of the region’s population was subscribed to a mobile service in 2015
  • Mobile ecosystem adds $1.3 trillion in economic value to APAC economy
  • The four largest markets in the region are China, India, Indonesia and Japan accounting for more than 75% of the region’s total subscriber base
  • Calculation shows that mobile technologies and services made up 5.4% of Asia Pacific’s GDP. This is set to increase to $1.7 trillion by 2020
  • Mobile broadband (3G/4G) accounted for 45% of total mobile connections in Asia Pacific in 2015
  • Mobile broadband’s contribution to total mobile connection is expected to rise to 70% by 2020. This is partly due to operators’ investments in 4G network build-outs
  • 4G is on track to account for more than a third of total connections in Asia Pacific by 2020

Over half of the world’s mobile subscribers are in the Asia Pacific, and this region will be the main engine of global subscriber growth for the decade.

Rising mobile subscriber penetration and acceleration to faster networks is fueling innovation across both advanced and emerging markets in this diverse region. Mobile connectivity is helping Asia build digital societies that allow people to have all access to services, anytime and anywhere. This factor is driving a lot of economic and social development among the Asian demographic.

China, India and Indonesia have been the main drivers of smartphone growth, helping the region double its overall smartphone base over the past 2 years.

Smaller countries in the region such as Indonesia and Myanmar will also make major contributions to subscriber growth.

As Asia Pacific mobile industry’s economy value is expected to rise to $1.7 trillion by 2020, it has become a major growth contributor for the economy. Not only will this create a wealth of opportunities for the region and employment opportunities, social and developmental services will also accelerate.

To fully utilize this potential, the mobile industry must work with regulators and ecosystem players to break the region’s multiple barriers, such as the lack of locally relevant content and affordability.

A version of this article appeared in Digital News Asia on June 6. Read the full article here.