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The Monetization of Mobile Apps


By: Nora Maene, Digital Media Solutions Marketing Director, Alcatel-Lucent

Global mobile traffic has increased with a factor of 30 in 5 years time; 6 billion mobile apps have been downloaded in 2010. Besides being a challenge, this explosive growth also presents an opportunity for communication service providers (CSPs) to engage in new ecosystems and business models – embracing cloud services and working with over-the-top players to transform application and content value chains.

Today, a large portion of the return for mobile applications comes from the mobile data revenues that they drive (growing from $260 billion in 2010 to $500 billion in 2015). Given that mobile data revenue is more than a 100-fold the revenues from mobile apps purchases, it is clear that stimulating mobile data consumption is the primary monetization vehicle for service providers.

With a need to increase mobile data usage - and changing market dynamics – it is clear that CSPs have to launch new application services in their markets as soon as possible to monetize the mobile application opportunity.

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