EY Post-Event Report GSMA Mobile Asia Expo 2013
This year’s GSMA Mobile Asia Expo showcased an industry that is evolving more dynamically than ever. Asia has arguably adopted mobile technologies faster and in more innovative ways than other regions, and the industry’s prominence in the region was evident during the Shanghai event.
Asia now has the most mobile connections, the highest revenue growth and a rate of mobile investment that makes other regions look on in envy. The vibrancy of the region’s economies allied to growing levels of customer sophistication, make Asia an excellent launch pad for new service offerings, while the correlation between overall mobile penetration growth and GDP growth remains strong.
This is not to say that Asia is immune to the challenges facing the telecommunications industry as a whole. Fast-changing consumer demands have created an environment in which operators must prize flexibility if they are to deliver on the promise of high-speed mobile infrastructure and smart devices. Enterprises are reflecting this trend, seeking ways to optimize and reduce costs while at the same time boosting employee productivity. Agile technology specialists are also seeking to seize customer mindshare through the provision of new applications. These disruptive players present the delicate problem of balancing competitive instincts and partnering needs for operators — a challenge that has only just begun to be addressed. Although faced with these challenges, the mobile industry continues to play a transformative role in economies at all stages of maturity. Mobile technology solutions in different industry verticals — from automotive to financial services and healthcare — provide a platform for new forms of socio-economic development.
Nevertheless, business models for many new services remain in a state of flux. Looking ahead, operators must work closely with ecosystem partners to ensure positive return on investment for all players. Working more effectively on a cross-sector basis, while adjusting operating models to improve time-to-market, will help determine how deep a transformative role the mobile industry can play.
Making the most of a hyper-connected world will take time. Many established players need to consider further steps to rationalize legacy parts of their business, through network sharing for example; while also future-proofing their networks to address new demand scenarios in mobile data. Addressing a wider set of stakeholders — both other industry entities and policy-makers — can also do much to secure an enabling environment for growth.
The mobile industry has an exciting and rewarding role to play as the infrastructure that underpins an increasingly digital economy. EY remains optimistic on the outlook for the industry: as mobile operators improve the way they align demand and profitability, this consensus can only improve.
EY is privileged to lead this summary of the GSMA Mobile Asia Expo and I would like to thank both the GSMA and EY’s team of analysts in helping to prepare these insights.
I would like to thank our team of analysts at Ernst & Young for the hard work done in preparing this document and I sincerely hope you enjoy reading it.
Global Telecommunications Leader
Ernst & Young