IDC Says Market for U.S. Mobile Broadband about to Speed Up

FRAMINGHAM, MA. – June 15, 2010 – The market for mobile broadband connectivity for portable computers has been slow to gain momentum over the past several years. Only in the past 18 months has the U.S. market taken significant steps toward broader adoption beyond the traditional mobile worker. According to a new International Data Corporation (IDC) forecast, the U.S. mobile broadband market will grow from 6.5 million subscribers in 2009 to 30.2 million in 2014, which accounts for a compound annual growth rate (CAGR) of 36.1% over the forecast period.

The introduction of subsidized netbooks and tablets, changes to pricing structures, and the early availability of 4G with WiMAX (and upcoming LTE deployments) have begun to spur interest among the consumer segment about the power of mobile broadband as a secondary access method beyond wired broadband. Although the possibility of mobile broadband becoming a primary access technology remains a figment of our imagination, it is not beyond the realm of possibility in for the longer term.

"Mobile broadband is growing in importance for both consumers adopting the service and the operators offering connectivity," says Carrie MacGillivray, program manager, Mobility Services. "Diversity in pricing plans, new computing devices capable of mobile broadband connections, and the promise of a 4G world with faster speeds are a tempting proposition for customers looking to be ubiquitously connected regardless of location, anytime."

The evolving landscape of wirelessly connected devices such as Apple’s iPad will also have a positive impact on this market. As devices such as tablets — which are rich in digital media experiences — become more broadly available and consumed, the appetite for instantaneous connectivity will drive growth around mobile broadband.

It is an exciting time for mobile broadband. 2010 will see growing interest and adoption of services, but being at the threshold of a world with 4G — both WiMAX and LTE fully deployed — will play a positive role in spurring growth within the consumer and the business segment.

IDC’s recent study, U.S. Mobile Broadband 2010-2014 Forecast: Consumers Join Business Users to Spur Growth (IDC #223386), examines the market for mobile broadband services that connect laptop computers to the cellular network. It discusses recent developments in the U.S. market, highlights offerings by U.S. mobile operators, and presents a revenue and subscriber forecast for 2010–2014.

About IDC

International Data Corporation (IDC) is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications, and consumer technology markets. IDC helps IT professionals, business executives, and the investment community to make fact-based decisions on technology purchases and business strategy. More than 1,000 IDC analysts provide global, regional, and local expertise on technology and industry opportunities and trends in over 110 countries. For more than 46 years, IDC has provided strategic insights to help our clients achieve their key business objectives. IDC is a subsidiary of IDG, the world's leading technology media, research, and events company. You can learn more about IDC by visiting www.idc.com [http://www.idc.com].

All product and company names may be trademarks or registered trademarks of their respective holders.

###