The mobile industry saw unprecedented growth in 2015, driven in part by the adoption of 4G technologies in more than 150 countries, according to the GSMA Mobile Economy Report 2016. There are now 4.7 billion unique mobile subscribers of which 47% are connected to mobile broadband networks. The GSMA forecasts that the global unique subscriber base will reach 5.6 billion by 2020, meaning that more than 72% of the world’s population will be connected. This ongoing growth is leaving a remarkable socio-economic footprint. Thanks in part to major investments in broadband and LTE network deployments, the mobile ecosystem generates 4.2% of global GDP, which equates to 3.1 trillion dollars. It also employs 17 million people and creates an additional 15 million jobs in other sectors.
By providing wireless Internet access and other services, the mobile industry increases digital inclusion among formerly unconnected populations, enables financial inclusion for the unbanked and provides access to other vital services via innovative apps. Smartphones and high-speed broadband have become the foundations of the new digital ecosystem, enabling the development of a growing range of digital services and platforms.
Although broadly positive, such developments also bring challenges for mobile operators, who need to be able to adapt and ‘converge’ services in order to sustain the network investments required to further expand the connectivity. In such a complex and dynamic digital environment, a new and comprehensive regulatory approach is vital. Regulation should enable the realization of economies of scale by applying a holistic approach across the digital ecosystem, one that genuinely addresses the diversity of players in it. A well-designed regulatory framework should follow a bottom-up approach, which would safeguard competition and allow flexibility of the digital markets. Policymakers should recognise these challenges and implement reforms that are fit to enable the true potential of the digital era.