Mobile Message Spending > $88 Billion by 2012, Says Strategy Analytics

Total spending on mobile messaging services by consumers will rise 15%
from $65 billion in 2007 to over $88 billion by 2012, according to a new
Strategy Analytics report, "Global
Mobile Messaging Forecast 2007 - 2012
." Although SMS will continue
to contribute to the vast share of consumer messaging spend, the
availability of low-cost flat-rate data plans will enable rapid growth
in usage of traditional PC based messaging services, such as email and
instant messaging via mobile. By 2012 mobile email will account for 20%
of total end user mobile messaging spending.

Senior Analyst Nitesh Patel noted, "Mobile
messaging, which includes SMS, MMS, mobile email and instant messaging,
will account for over 40% of the total consumer spend on mobile media
and messaging services in 2012. We anticipate growing adoption of
consumer email access via mobile, as flat-rate pricing, combined with
improving email provisioning and device user experience lower the
existing barriers to adoption and usage of this popular PC messaging
format."

David Kerr, VP Global Wireless Practice, adds, "SMS
use has exploded over the last 3 years in the US, while Western European
SMS revenues are beginning to plateau due to price erosion, despite
continuing increases in overall traffic. In North America, we expect
healthy growth over the next five years with the region contributing to
25% of total end-user spend on mobile messaging by 2012."