The total mobile services revenue in China is poised to increase at a compound annual growth rate (CAGR) of 4.1% from $146.4 billion in 2023 to $179.1 billion in 2028, mainly driven by the robust growth in mobile data services segment, forecasts GlobalData, a leading data and analytics company.
GlobalData’s latest China Mobile Broadband Forecast (Q4 2023) reveals that the growth in mobile data service revenues will offset the decline in mobile voice service revenues during the forecast period. While the mobile voice service revenue will decline at a CAGR of 8.8% between 2023 and 2028, mobile data revenue will increase at a CAGR of 7.4% over the same period, primarily driven by the increasing adoption of higher average revenue per user (ARPU) 5G services.
Srikanth Vaidya, Telecom Analyst at GlobalData, comments: “The average monthly mobile data usage in China is expected to increase from 13.3 GB in 2023 to 22 GB in 2028, driven by the growing consumption of online video and social media content over smartphones, thanks to the widespread availability of 5G services.”
GlobalData is optimistic about the country’s mobile broadband services outlook with 5G services leading the way. 5G subscriptions are estimated to account for a majority 87.5% share of the total mobile subscriptions in 2028, driven by the ongoing 5G network expansion by operators and proliferation of 5G-enabled smartphones.
Vaidya concludes: “China Mobile led the mobile services market in China in 2023. China Mobile will retain its leading position through 2028, supported by its ongoing 5G network expansions to cater to the rising demand for high-speed services by residential and enterprise segments. The operator has invested about CNY42.3 billion ($5.8 billion) on 5G infrastructure in H1 2023, of the total CNY83 billion ($11.68 billion) planned for the entire year.”
