More mobiles than people
That doesn't mean every soul on the planet will have a mobile phone. But data released on Monday by GSMA, an association of cell operators whose Mobile World Congress just opened for a four-day run in Barcelona, shows the total number of mobile connections surging to 7.4 billion this year, up from 6.8 billion in 2012. The world population sits at about 7.1 billion, and is growing far more slowly.
Part of the rise in mobile connections results from customers having more than one at a time. The average user of mobile services - there were 3.2 billion worldwide last year - had at least two connections, according to Monday's report by GSMA.
Many people have both a mobile phone and a tablet or e-reader, each with its own wireless connection.
The Mobile World Congress, an annual event expected to draw 70,000 people, is largely devoted to wringing even more money out of one of the world's great growth industries. That means new devices, new apps, new ways to reach the remotest corner of every potential market. Much attention is being devoted to the development of systems that let customers make payments from their mobiles.
Whoever solves the riddle - finding a way to get people to easily and elegantly use their mobile devices as mobile wallets - stands to win billions of customers.
Frequently Asked Questions about this Article…
It means the total number of active mobile connections (phones, tablets, e-readers and other wireless devices) will exceed the world population. It doesn’t imply every person has a phone — many people have more than one connection, so connections can outnumber people.
The GSMA report cited in the article says total mobile connections surged to about 7.4 billion this year, up from 6.8 billion in 2012.
The article notes there were roughly 3.2 billion mobile service users last year, and the average user had at least two mobile connections.
Many consumers use more than one connected device — for example a mobile phone plus a tablet or e-reader — and each device often has its own wireless connection, which drives up the total connection count.
Mobile World Congress is an annual, multi-day industry event (drawing about 70,000 people) that showcases new devices, apps and services. Investors watch it for signals about where mobile technology and monetisation opportunities — like mobile payments and apps — are headed.
Companies are developing systems to let customers make payments from their mobiles because solving the mobile wallet challenge could unlock massive customer bases and new revenue streams across global markets.
The growth supports opportunities in device makers, app developers, wireless carriers and payment technology providers. The article highlights particularly strong interest in mobile payment systems that could reach remote markets and large numbers of users.
It’s a clear signal of expanding demand for connected devices and mobile services. For everyday investors that suggests watching companies involved in devices, apps, networks and mobile payments — while remembering to research fundamentals and consider risk before investing.
Call 1300 880 160
Start a chat
Schedule a call
