More than half (52 per cent) of Australia’s mobile services in operation are on 4G networks and penetration is expected to reach 85 per cent by 2020, according to Telsyte.
The country had more than 25 million mobile services in operation at the end of June, with more than half of handsets on non-contract plans, which leaves the door open for more movement between carriers, the research firm said.
Among those who switched mobile service providers last year, two-thirds opted for non-contract plans, an increase of more than 10 per cent over 2014. The firm found that more than half of consumers considering changing mobile operators are driven by price.
The firm believes Telstra’s high-profile network outages in the first half of the year, combined with more competitive 4G plans available, will encourage mobile handset service subscribers to shop around.
Telsyte senior analyst for mobile services, Alvin Lee, predicts price competition will likely see ARPU starting to decline for more operators in the second half of the year.