Mobile Internet VAS revenues to go beyond $22 Billion by 2016

To capture details of the spending patterns and IT investments of emerging economies, Zinnov has announced the release of its latest study titled, E+ Economies & Winning Strategies.

According to the study, growing economic powers with sizable consumptions will lead the next wave of technology investments. Expanding the base of globally competitive large and mid-size enterprises, strong base of growing domestic micro & small companies, and growth of enabling IT infrastructure are among the key factors for the exponential growth of IT spending in E+ economies.

The report further states that the strong internet and mobile infrastructure is enabling IT investment growth in E+ countries. As per the findings, E+ economies will have a potential internet user base of 2,256 million by 2020. China with 42% penetration has a current internet user base of 564 million, while developed economy of U.S stands at 244 million with 78% penetration. India stands second after China with a 157 million internet user base but with a low penetration of 11% which shows a tremendous growth opportunity.

Praveen Bhadada, Director  Market Expansion, Zinnov, said, While the basic IT infrastructure is fast growing in E+ economies, mobile internet is increasingly becoming key as compared to desktop internet in these countries. Mobile internet VAS revenues are expected to be over $22 billion by 2016 and presents great opportunity for technology companies.

Smartphone users in E+ economies is also growing at a strong pace and it is likely to reach 1,795 million by 2020. According to the report, increasing data consumption and smartphone penetration is creating newer opportunities in the telecom space.