According to Juniper Research, globally, the revenues generated by the operators from mobile data roaming are expected to reach $42 billion by 2018. The huge growth potential in roaming revenues is prompting global operators such as Vodafone, Orange and Telefonica to block the initiative of the European Union (EU) to end roaming charges in the region.
The research firm states that the industry revenues will be driven by increasing data usage, as operators migrate to 4G networks encouraging users to opt for faster broadband connectivity. Further, lower roaming tariffs will also lead to heavy data usage amongst users. Furthermore, to tap the potential business opportunities offered by roaming services successful business models need to be established between end-users and operators. Currently, a large number of operators are already in the initial stages of establishing partnerships with other industry stakeholders for developing a wholesale model.
According to Juniper Research, if the proposal to end roaming charges in the EU is approved by the European Parliament, then the move would significantly impact roaming revenues of operators. The proposal is being opposed by the operators, including Vodafone, Orange and Telefonica. The research firm states, that in case the proposal is approved than the European voice, SMS and data revenues is expected to decline by over 20 per cent in 2016. However, the actual volume of data usage and the number of active roamers will continue to rise over the forecast period.
