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Mobile Phone Revenue Expected To Decline

Posted on January 11th, 2006

According to the market research firm iSuppli, global mobile-phone market revenue is expected to shrink by almost 5% from last year’s historic high. The expected decrease is related to slowing growth and falling prices.

iSuppli projections:

  • mobile phone global revenue will decline to $109.7 billion in 2006 (4.7 percent down) from $115.1 billion in 2005
  • revenue will grow by single-digit percentages, recovering to its 2005 level of $115.1 billion by 2009
  • growth in mobile-phone manufacturing will be driven by replacement sales, rather than by new subscribers, slowing growth (most global markets are saturated)
  • mobile-phone average selling prices expected to decline to $129 in 2006, down 9.2 percent from $142 in 2005. This follows a fall of 8.5 percent in 2005 from $155 in 2004.

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