Wednesday, June 25, 2003

FCC Sees Very Healthy Competition in Wireless

In its just released Eighth Annual Report on Commercial Mobile Radio Services (CMRS), the FCC found the wireless industry is fundamentally competitive and delivering on the promise of greater service, more extensive coverage and lower prices. Highlights of the 2002 report include:

  • the number mobile telephone subscribers in the U.S. rose from 128.5 million to 141.8 million, resulting in a nationwide penetration rate of roughly 49%


  • the mobile telephone sector generated more than $76 billion in revenue for 2002


  • more than 95% of the total U.S. population lives in counties with three or more different mobile telephone operators and 83% of the population has access to five or more mobile operators


  • digital mobile telephone services were used by approximately 88 percent of all mobile telephone subscribers at the end of 2002, up from 80 percent at the end of 2001


  • minutes-of-use per month averaged 427 between June and December 2002, an increase of 12 percent from 380 during the same period in 2001. Estimates for the decrease in the price of mobile telephone service during 2002 range from one to nine percent depending on the methodology employed.


  • while mobile data services generated only 1% percent of total industry revenue during 2002, an estimated 11.9 million, or 8%, of the 141.8 million mobile telephone subscribers at the end of 2002 subscribed to some type of mobile Internet service. An additional 2.3 million consumers subscribed to mobile Internet services on data-only mobile devices at the end of 2002. About 20% of all mobile telephone subscribers used text messaging services during Q4 2002.


  • As of March 2003, operators were offering services in at lease some parts of counties containing 265 million people, or 93% of the population
http://www.fcc.gov