Demand for mobile broadband services from European consumers has grown rapidly over the last eighteen months. A study by IDC identifies four main drivers behind this surge in demand; the ever-growing availability of HSPA, the widespread use of small USB connection devices, a fall in subscription prices and an increase in laptop computer penetration.
The rise in demand is good news for European mobile operators as mobile broadband is a new source of badly needed revenue that is entirely incremental to existing revenue streams. The other good news for operators in the IDC study is that the combination of a strongly growing addressable market, low prices and increasingly flexible mobile data packages will ensure that consumer demand for mobile broadband will continue to be strong for some time to come.
However, the study does sound a note of warning. Financial constraints could slow the penetration of laptop computers which would lessen the addressable market. Also, economic concerns could inhibit consumers from committing to new service contracts.
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