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U.S. Mobile Service Revenue Down $1 Billion

By Craig Galbraith
August 08, 2014 - News

**Editor's Note: Which is America's top wireless network? Click here to see what we discovered.**

A new report says mobile service revenue in the U.S. fell by $1 billion, or 2 percent, last quarter. But mobile data revenue continues to climb, offsetting the decline.

The stats come from technology and strategic consulting firm Chetan Sharma, which says data revenue is on track to break the $100 billion mark, which would make the U.S. the first country to cross that barrier, Telecompaper reported.

Chetan Sharma says Verizon and AT&T accounted for more than two-thirds (68 percent) of the mobile data services revenue and more than two-thirds (68 percent) of subscribers. Verizon now has 54 million subscribers on its LTE network, making it the biggest LTE operator in the world.

As more customers sign up for prepaid plans, average revenue per user (ARPU) has fallen – but data ARPU was up slightly from the previous quarter.

Shared data plans have been a success. Half of postpaid accounts at Verizon are now on shared plans. At AT&T, nearly half (49 percent) of postpaid customers are on shared plans with data buckets over 10GB, the consulting firm said.

Nearly 93 percent of mobile devices sold last quarter were smartphones. Penetration of these smart devices is now 70 percent. Android had a 60 percent market share.

Follow senior online managing editor @Craig_Galbraith on Twitter.

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