Asian mobile firms cash in on $250bn bonanza

Revenue generated by mobile phone and other wireless telecoms services in Asia will approach $250bn a year by the end of 2010, according to recent research.

New services enabled by widespread 3G introduction are helping providers increase income, said US-based research firm In-Stat.

The number of wireless subscribers in the region will leap more than 80 per cent to reach 1.57 billion in 2010, according to the analyst, expanding revenues from just under $160bn last year to just over $242bn by the end of 2010.

In-Stat warned that, as markets mature, simply trying to attract new subscribers en masse will no longer be an effective strategy.

"Service providers in mature markets such as Japan and South Korea have to find ways to keep their businesses viable against declining service prices and a nominal increase in subscribers," the research firm said.

Bryan Wang, director of In-Stat's Singapore office, added: "The introduction of 3G mobile services is enabling a new breed of services.

"In countries with successful 3G launches, like Japan, providers have enjoyed higher data services revenue, about 27.9 per cent of total revenue in 2005, significantly higher than the overall regional rate of 19.9 per cent."