From $400 billion to $1300 billion by 2024, mobile VAS market set to boom

According to a recent study from market research firm Global Market Insights, the Mobile Value-added Services Market is set to grow from its current market value of more than $400 billion to over $1300 billion by 2024, gaining remarkable traction over the 2020 to 2024 period.

The report indicates that fierce business competition coupled with the reduction in costs of mobiles & smartphones has forced the mobile manufacturers to focus more on providing value-added services and thus improve their brand presence. The rising importance of 3G and 4G services available at reasonable charges are expected to boost mobile value-added services market demand over the next few years. Rising demand for novel technologies such as M2M and IoT by the organizations to effectively handle their day-to-day operations is also expected to accelerate MVAS industry development.

The telecom sector, which had observed a commendable growth in the past, is expected to significantly boost MVAS industry size over the coming years. The growth can be attributed to the escalated requirement for personalized and content-rich value-added services.

The mobile value-added services market in the education sector is expected to witness a massive expansion over the coming seven years, driven by its enhanced usage for in language training, online education & tutoring, reading, and vocational training.  Mobile value-added services will also help distance learners improve their learning ability, thereby complementing business expansion.

The potential use of value-added services for diagnosing & treating patients along with the rising trend of storing health records of the patients in a digitized format is expected to boost mobile value-added services market size across the healthcare & IT sector.

Taking into consideration the geographical trends, the Asia Pacific mobile value-added services market is projected to experience a notable surge over the coming timeframe, driven by rising consumer trend towards the use of smartphones & tablets. The governments of the region have been undertaking efforts to spread awareness regarding the benefits of mobile usage and have been developing infrastructure for its effective use, thereby favorably influencing the industry growth across the region. China, South Korea, India, and Japan are forecast to be the major revenue pockets.

The mobile value-added services market in Latin America is projected to experience a remarkable expansion over the years ahead with mobile operators providing internet coverage to distant and untapped areas. Flourishing MVNO sector in the region along with a huge budget allocation for MVAS by various firms will further contribute towards the regional revenue. U.S. MVAS market, which accounted for more than 25% of North America MVAS industry revenue in 2016, is expected to observe a notable growth over the coming years. The growth is driven by escalated usage of new media coupled with the huge presence of reputed media participants such as Amazon, Netflix, Apple TV, Roku, and Hulu across the nation.

SMS, infotainment, MMS, mobile money, and instant messaging are the various types of mobile value-added solutions. The thriving mobile money sector is projected to make substantial contributions towards MVAS market share, driven by the widespread demand for mobile value-added services such as mobile wallet, mobile banking, mobile remittance, and mobile payments.