Deloitte TMT Predictions 2013
LTE subscriber numbers to triple, ‘mobile’ advertising to grow by 50 percent, roll out of 4K HDTV
Deloitte also predicts PC usage to thrive, end of strong password-only security, existing broadcasters and distributors to dominate over-the-top services
Moscow, 20 February 2013 — A record one billion smartphones will be shipped in 2013, mobile advertising will get split into two categories— tablets and smartphones— and more than 90 percent of user-generated passwords will be vulnerable to hacking in a matter of seconds. This is according to the 12th edition of Deloitte Touche Tohmatsu Limited’s (DTTL) Technology, Media and Telecommunications (TMT) Predictions 2013 report released today. The TMT Predictions 2013 report also forecasts that broadcasters will continue to deliver the majority of Over- the- Top (OTT) services, and 4K televisions won’t disrupt the marketplace just yet.
“This year’s predictions cover a range of topics, from the continued dominance of personal computers (PCs) despite inferior sales relative to smart devices, the developments around Long Term Evolution (LTE), and data access, to smartphones and the vulnerability of passwords,” said Jolyon Baker, Managing Director, Global TMT Industry, DTTL. “With the splitting of ‘mobile’ advertising into separate mobile and tablet categories, advertisers should begin to consider new forms of advertising specific to smartphones, such as interactive videos or game functionality, and tablets meanwhile, may borrow content created for PCs as well as usage formerly undertaken on PCs.”
Olga Tabakova, Partner and TMT Leader of Deloitte’s member firm in the CIS commented: “This decade has seen unprecedented changes in the Telecommunications, Media and Technology sector, which are crucial for the development of the global economy. For this reason, Deloitte has been closely following the most important trends in the sector for the past 12 years. The average consumer’s decision on what tablet, PC or smartphone to purchase this year will have a huge effect, not only on the strategies of electronics manufacturers, but also on the advertising budgets of all companies engaged in the consumer sector. The speed, availability and security of data transmission remain key development areas for these industries, a huge part of whose work is based on information. In 2013, we will see further development of LTE-networks and “Smart TVs” that work on OTT technology and provide an ultra-High Definition broadcast (4K), and a lot of attention will be paid to data security.”
Additionally in 2013, the smartphone sector may generate $4.9 billion in revenues in 2013, while advertising on tables may generate $3.4 billion. Revenue per unit however reveals a different dynamic: smartphone display ad revenues are forecast at $7 per tablet and $0.60 per smartphone (including in-app ads).
There will also be an upsurge in momentum behind LTE, with 2013 being the first year in which LTE thrives across multiple markets. The subscriber base will triple to 200 million by year end, and those on LTE tariffs will represent about 10 percent of all service revenues. Usage of LTE will be evolutionary rather than revolutionary: the major benefits of subscribing to LTE from 3G are likely to be better performance from existing applications from e-mail to updating social networks.
Additional highlights of this year’s TMT predictions to impact the marketplace in 2013 include:
Full details about the global TMT Predictions are available here: www.deloitte.com/Predictions2013.
The TMT Predictions are based on worldwide research supported by in-depth interviews and input from Deloitte member firm clients, Deloitte alumni, industry analysts, leading TMT executives, and thousands of Deloitte member firm TMT practitioners across its global network.
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