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Differences in Mobile Handset Usage and Spending

By Jean-Laurent Poitou | Sept. 20, 2010
While some business software companies work to integrate their offerings directly with online tools like Twitter or Facebook, the real business benefits will come from enterprise resources planning (ERP) and other enterprise software.

Six: U.S. respondents' use of Web-enabled mobile devices has nearly quadrupled in the past two years, but trails Chinese and Malaysian use.
Fifty-nine percent of Chinese surveyed-more than any other country surveyed-use Web-enabled mobile devices. Singaporeans also ranked high at 46 percent, followed by Malaysians at 33 percent. U.S. respondents landed in the mid-range at 27 percent but nearly quadrupled from 7 percent usage in 2007. The explanation for the lower U.S. percentage is probably that PC penetration is so high in the U.S. that it continues to be the main device used to access the Internet, whereas in China and Malaysia the handset has become, in relative terms compared with the PC, more of the main device to connect to the Internet.

Seven: Users in India discontinue mobile service more often than home Internet access.
In India and Germany, mobile service is more often discontinued by users than home Internet access. Nineteen percent of India's respondents discontinued mobile phone service compared with 13 percent who stopped home Internet access. Among German respondents, 17 percent stopped mobile service versus 14 percent who halted home Internet. But among United States respondents, 8 percent ended mobile phone service, the same percentage that ceased home Internet.

These findings could be explained by the competitive shopping, package and wireless carrier hopping people do when service contracts expire. Another possible reason is the inherent complicated nature of mobile service compared with home Internet service. Mobile service costs relatively more and is less predictable on a monthly basis, which would explain the higher rates.

Eight: Among Indian respondents, there will be heavy investment in mobile phone service during the next year.
Next year in India, 45 percent of respondents indicated they will purchase mobile phone service, well above the 25 percent global average. This finding underscores the massive telecom infrastructure upgrades taking place in this country. There are few countries in the world more aggressively deploying wireless services than India.

Nine: Emerging country respondents are more than two and half times as likely to buy a smartphone during the next year than respondents in mature countries.
Fifty-two percent of emerging country respondents are likely to buy a smartphone next year. By contrast, only 20 percent of mature country respondents are likely to do so. One reason is the rapid expansion of the middle class in emerging countries, which has a growing amount of disposable income. Additionally, the increased demand in emerging countries for smart connected devices such as smartphones is being driven by social networking applications, which are survey found to be especially popular in emerging countries such as Malaysia. Part of the reason for this disparity could be the higher penetration and use of smartphones already in mature countries.


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