Posted on Thursday, August 24th, 2006 at 4:42 pm
Revenue in the U.S. wireless market totaled $174.7 billion in 2005, up 10.7 percent from 2004, with an acceleration in handset revenue and a ramp-up in new wireless subscribers as key drivers of growth, according to the newly released TIA’s 2006
The wireless handset and device market totaled $15 billion in 2005 and is expected to increase 19.3 percent in 2006 climbing to $17.8 billion, according to the annual report.
TIA projects the overall wireless market, including transport services, devices, wireless equipment and services in support of the wireless infrastructure, to grow at an 11.0 percent compound annual growth rate (CAGR), reaching $265.2 billion in 2009.
The TIA expects a drop to single-digit increases in wireless subscribers (wireless telephony and paging) beginning in 2007, with growth averaging 8.2 percent on a compound annual basis through 2009, when there will be an estimated 278.5 million wireless subscribers, representing 88 percent of the population.
Revenue in the wireless device market rose 22.6 percent in 2005 reaching $15 billion as a 25.4 percent increase in wireless phones offset a 21.6 decline in pagers and a 5.9 percent decrease in PDAs, according to the TIA.
Overall wireless equipment revenue totaled $29.4 billion in 2005 and is expected to grow at an 8.3 percent CAGR reaching $40.4 billion in 2009.
Total spending on services in support of wireless infrastructure in the United States will increase to a projected $20 billion by 2009, up 14.1 percent CAGR from the $11.8 billion total of 2005.
