{"id":20812,"date":"2023-11-23T06:59:45","date_gmt":"2023-11-23T06:59:45","guid":{"rendered":"https:\/\/www.gsma.com\/newsroom\/?p=20812"},"modified":"2024-02-22T12:33:33","modified_gmt":"2024-02-22T12:33:33","slug":"european-mobile-data-traffic-will-triple-in-next-five-years-driving-continued-pressure-on-network-investment-new-gsma-report-predicts","status":"publish","type":"post","link":"https:\/\/www.gsma.com\/newsroom\/press-release\/european-mobile-data-traffic-will-triple-in-next-five-years-driving-continued-pressure-on-network-investment-new-gsma-report-predicts\/","title":{"rendered":"European mobile data traffic will triple in next five years, driving continued pressure on network investment, New GSMA report predicts"},"content":{"rendered":"\n<p><em>The GSMA&#8217;s annual European Mobile Economy Report shows that mobile contributed <\/em>&nbsp;<br \/><em>Eur 910 billion of value to Europe\u2019s economy in 2022, whilst mobile operators will continue <\/em>&nbsp;<br \/><em>to face real investment challenges as bandwidth demands grow<\/em><\/p>\n\n\n\n<p><strong>23 November 2023, London<\/strong>: Mobile data traffic in Europe will almost triple over the next five years, fuelled by 4G migration in central and eastern Europe and increasing improvements in 5G coverage and capacity, according to new research by the GSMA.&nbsp;&nbsp;<\/p>\n\n\n\n<p>Analysis compiled for the organisation\u2019s annual <a href=\"https:\/\/www.gsma.com\/solutions-and-impact\/connectivity-for-good\/mobile-economy\/europe\/\" target=\"_blank\" rel=\"noreferrer noopener\">European Mobile Economy Report<\/a> indicates that 5G subscribers, in particular, are interested in adding high-bandwidth services and content to their mobile contracts, as demand for high quality gaming, extended reality, and video content grows. In turn, these demands will require continued investment in Europe\u2019s mobile networks by operators, who are already expected to spend more than Eur 198 billion on upgrading their networks by 2030.\u00a0\u00a0<\/p>\n\n\n\n<p>In further analysis, the report, which evaluates the value of the mobile ecosystem to Europe\u2019s economy, shows that:&nbsp;<\/p>\n\n\n\n<ul>\n<li>The mobile sector added Eur 910 billion of value to the European economy in 2022, with mobile technologies and services generating 4.3% of GDP across Europe.&nbsp;&nbsp;<\/li>\n\n\n\n<li>The entire ecosystem accounted for 2.2 million jobs, directly or indirectly, in 2022.&nbsp;<\/li>\n\n\n\n<li>Mobile-based productivity contributed Eur 670 billion to the European economy while operators\u2019 own contribution generated Eur 110 billion.&nbsp;&nbsp;<\/li>\n\n\n\n<li>By 2030 it is expected that the sector\u2019s economic contribution will reach Eur 1 trillion, driven mostly by continued expansion of the ecosystem, and vertical segments benefitting from the improvements in productivity and efficiency delivered by the take-up of mobile services.&nbsp;<\/li>\n<\/ul>\n\n\n\n<p>The GSMA found that the mobile ecosystem contributed Eur 110 billion in taxes in 2022, with employment taxes and social security generating Eur 50 billion, followed by services, VAT, sales taxes and excise duties at Eur 40 billion.&nbsp;<\/p>\n\n\n\n<p><strong>5G development<\/strong>&nbsp;<\/p>\n\n\n\n<p>The latest report also reveals that 5G will become Europe\u2019s dominant mobile technology within the next three years, driven by uptake in Germany and the UK. By 2030 5G is expected to reach 87% of all users.&nbsp;<\/p>\n\n\n\n<p>As it develops, the GSMA expects the technology to benefit a range of business sectors as European economies incorporate 5G use cases into their activities. By 2030, 53% of 5G\u2019s business benefits will originate within the services sectors, while almost 30% will come from manufacturing, driven by applications such as smart factories, smart cities and smart grids. To this end, 5G will help drive European GDP growth, accounting for Eur 153 billion of economic benefits by the next decade, and representing some 15% of the overall economic impact of the mobile sector. Many of these benefits will materialise over the next five years.&nbsp;<\/p>\n\n\n\n<p>The continued growth of 5G is tempered by concerns about the impact of policies holding back investment in next-generation network technologies in Europe, threatening the bloc\u2019s digital leadership globally, as well as its ambitious \u2018Digital Decade\u2019 goals. For example, European adoption of more capable \u2018standalone\u2019 5G continues to trail behind other regions: at the end of 2022, only 5% of live 5G networks in Europe were 5G SA, compared with 25% in Asia Pacific, a reflection of the challenging operating environment operators in Europe continue to face amid market fragmentation and low returns.&nbsp;&nbsp;<\/p>\n\n\n\n<p><strong>Daniel Pataki, VP for Policy and Regulation, and Head of Europe for the GSMA, said:<\/strong> \u201cEurope has a strong history of leadership in mobile and digital technologies, but strong, sustained investment in networks is now needed to regain that leadership in the face of global competition. We\u2019re encouraged to see European policymakers now facing up to that reality and examining the potential for meaningful policy change on areas such as consolidation, spectrum harmonization and the creation of fairer investment models for infrastructure, as we go into 2024. Our report shows that action is needed now to give European citizens and businesses the digital infrastructure they need for the future.\u201d<\/p>\n\n\n\n<p><strong>Other key findings<\/strong>&nbsp;<\/p>\n\n\n\n<ul>\n<li>The <strong>mobile Internet usage gap<\/strong> continues to narrow, with more than <strong>460 million Europeans<\/strong> \u2013 85% &#8211; now connected, reducing the gap to just 14%. The majority of European countries enjoy Internet coverage by mobile with several countries, including Denmark, Italy, Spain and Portugal, seeing penetration above 90% in 2022.&nbsp;<\/li>\n\n\n\n<li>There are over <strong>900 million active connections<\/strong> in Europe, made via smartphones and \u2018feature\u2019 phones. Ownership of such devices will reach <strong>91% by 2030<\/strong>, enabled by greater affordability across the device domain.&nbsp;<\/li>\n\n\n\n<li><strong>Satellite connectivity<\/strong> is flourishing as mobile operators and satellite companies seek to address coverage gaps through connectivity to Low Earth Orbit constellations.&nbsp;<\/li>\n<\/ul>\n\n\n\n<ul>\n<li><strong>Generative AI<\/strong> is being actively explored by operators for activities such as code development, network management and customer care.&nbsp;&nbsp;<\/li>\n\n\n\n<li>The shift to <strong>green<\/strong> gains momentum, with operators and handset manufacturers alike increasing their focus on <strong>circularity<\/strong>, <strong>device longevity<\/strong> and use of recyclable materials.&nbsp;<\/li>\n\n\n\n<li>Europe&#8217;s <strong>fintech<\/strong> sector has expanded further, securing more than <strong>24% of global investments<\/strong> in 2022, and driving a general modernisation of banking in the region.&nbsp;<\/li>\n<\/ul>\n\n\n\n<p class=\"has-text-align-center\"><strong>-END-&nbsp;<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The GSMA&#8217;s annual European Mobile Economy Report shows that mobile contributed &nbsp;Eur 910 billion of value to Europe\u2019s economy in 2022, whilst mobile operators will continue &nbsp;to face real investment challenges as bandwidth demands grow 23 November 2023, London: Mobile data traffic in Europe will almost triple over the next five years, fuelled by 4G [&hellip;]<\/p>\n","protected":false},"author":100,"featured_media":20818,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_jetpack_memberships_contains_paid_content":false,"jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","enabled":false}}},"categories":[3],"tags":[],"algolia_discover_type":[6627],"jetpack_publicize_connections":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v22.0 (Yoast SEO v22.6) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>European mobile data traffic will triple in next five years, driving continued pressure on network investment, New GSMA report predicts - Newsroom<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" 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