Singapore: Operators Invest in Lte Improvements and Multiplay Offers as Regulator Set to Increase Competition

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The Singapore telecom market is among the most saturated and mature markets in Asia-Pacific and is estimated to generate telecom service revenue of $5.5bn by 2020. Mobile data will contribute nearly 37% of the total revenue, driven by proliferation of data-intensive apps, such as OTT and video. Operator investment in advanced technologies to boost indoor and outdoor LTE coverage will also be a major catalyst for growth of mobile data services in Singapore. The renewal of LTE licenses due for 2015 and 2017 will further extend the LTE coverage and enable operators to launch innovative offers. The corporate segment will be a key focus area for all three MNOs, and operators will launch services catering to business users needs, such as content delivery, cloud, managed services, cybersecurity and mobility management. Further, converged offerings will help operators to attract more customers in the coming years. Pay-TV operators will remain focused on expanding their content libraries by collaborating with content providers. Moreover, handset vendors will benefit from Singaporean operators device-bundle strategies and will leverage increasing data usage to drive up revenue.

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Key Findings

With one of the most mature and saturated telecom markets, Singapores telecom revenue will reach $4.8bn, or 1.6% of nominal GDP, by year-end 2015.

Pyramid Research expects telecom service revenue to reach $5.5bn in 2020 (CAGR of 2.6% over 2015-2020) driven by operator investment in LTE network enhancement and fiber rollouts.

The revenue mix will continue to be dominated by mobile services, due to ongoing deployment of HetNet networks to improve mobile coverage and...