ABI Research Forecasts Global GSM Subscriber Growth Rate to Slow in 2008

Business Wire, April 7, 2008

SINGAPORE -- ABI Research forecasts global GSM subscriber growth to slow from a year-on-year rate of over 22% in 2006/07 to 14% in 2008/09, mainly due to the increased migration of subscribers to UMTS 3G technologies. UMTS (including HSDPA) experienced a nearly 83% year-on-year growth rate in 2006/07. ABI Research expects global GSM subscriber numbers to show a negative growth rate starting in 2013, as by then GSM will become less attractive compared to the cheaper 3G services; there will also be losses due to the proliferation of mobile WiMAX and 4G networks.

"Within the GSM subscriber population, EDGE is expected to maintain a high growth rate following increased deployments in emerging markets," says Asia-Pacific vice president Jake Saunders. "Nonetheless, GSM (including EDGE and GPRS) is still expected to have the highest number of subscribers of all mobile technologies, with a 70% global market share in 2013 (dropping from 78% in 2007.)"

Meanwhile the W-CDMA (including HSDPA and HSPA) global market share is expected to increase from a little over 5% in 2007 to nearly 14% in 2013.

The CDMAone and iDEN subscriber bases, on the other hand, have been diminishing quickly in the last five years, and by 2010 most subscribers to these technologies will have migrated to either GSM or CDMA2000 networks. CDMA2000 (including EVDO) has not experienced as high growth rates as UMTS.

"CDMA2000's growth rate is expected to decline," adds research analyst Hwai Lin Khor, "particularly with the increased talk of CDMA2000 operators adopting LTE in their 4G roadmaps. However, ABI Research expects that CDMA2000 technologies, particularly the 450 MHz implementation, will remain attractive for rural coverage due to their wider network range."

ABI Research's "Mobile Subscriber Market Data" (http://www.abiresearch.com/products/market_data/Mobile_ Subscriber_Market_Data) is a comprehensive spreadsheet that presents a macro view of mobile subscribers in different regions and countries on quarterly and annual basis. It provides technology splits within each subcategory from 2002 to 2013. It is a component of the Consumer Mobility Research Service (http://www.abiresearch.com/products/service/Consumer_Mobility_ Research_Service), which also includes Research Reports, Research Briefs, another Market Data product, Online Databases, ABI Insights, the ABI Vendor Matrix, and analyst inquiry support. (Due to the length, the above URLs may need to be copied/pasted into your Internet browser's address field. Remove the extra space if one exists.)

ABI Research is a leading market research firm focused on the impact of emerging technologies on global consumer and business markets. Utilizing a unique blend of market intelligence, primary research, and expert assessment from its worldwide team of industry analysts, ABI Research assists hundreds of clients each year with their strategic growth initiatives. For information, visit www.abiresearch.com, or call 1.516.624.2500.