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Single mobile and landline devices set for $28bn bonanza
Fewer handsets, more money

By Jo Best

Published: Thursday 20 April 2006

Fixed mobile convergence (FMC), where one handset acts as landline and mobile, could be worth billions in the coming years, although business users may be in the minority.

BT has been the first operator to take baby steps in the world of FMC, and according to analyst house Informa Telecoms and Media, the market for FMC will be worth $28bn by 2011.

A new report by the research company predicts there will be 92 million subscribers to FMC services in five years' time and that it will make up three per cent of all mobile subscriptions.

As a consequence, dual mode handsets will account for five per cent of all mobiles shipped by 2011 - around 47 million units.

Informa reports that just 15 per cent of those handsets will be used in businesses, with consumers making up the lion's share of subscribers for reasons of cost.

The Asia Pacific region will lead the way in deploying converged services, while North America and Europe are also expected to take up the technology due to high broadband penetration.