The telecom and pay TV services revenue in Australia is expected to increase at a modest compound annual growth rate (CAGR) of 0.8% from $19.1 billion in 2024 to $19.9 billion in 2029, supported by mobile data and fixed broadband segments. Expanding 5G coverage and fibre network upgrades are set to bolster connectivity and support the market’s digital evolution over the forecast period, according to GlobalData.
GlobalData’s ‘Australia Telecom Operators Country Intelligence’ report reveals that mobile voice service revenues will decline during the forecast period, given the continued user migration to OTT-based communication platforms, and decline in mobile voice ARPU.
Mobile data service revenues, on the other hand, will increase at a CAGR of 3.8% over the forecast period driven by growing mobile Internet subscriptions and rising adoption of relatively high ARPU yielding 5G services.
“4G services accounted for a majority share of the overall mobile subscriptions in Australia in 2024. 5G subscriptions, on the other hand, are set to increase at a rapid pace and surpass 4G subscriptions, driven by the ongoing efforts of operators like Optus, TPG Telecom, and Telstra,” said Kantipudi Pradeepthi, Telecom Analyst at GlobalData. “For instance, Telstra aims to expand its 5G coverage to 95% of the country by the end of 2025.”
In the fixed communication services segment, fixed voice services will continue to decline, due to the steady drop in VoIP subscriptions and discontinuation of circuit-switched services in the country. Fixed broadband service revenue, on the other hand, will grow at a CAGR of 1.2% over 2024-29, supported by the steady increase in coverage and adoption of fibre-to-the-home/business (FTTH/B) broadband services.
The Australian government has committed up to AUD3 billion ($1.86 billion) in equity funding in January 2025 to the National Broadband Service (NBN), supplemented by NBN Co’s AUD800 million ($494 million) investment, to upgrade the fibre-to-the-node (FTTN) network and improve broadband access for 622,000 households and businesses across the country by 2030.
Pay TV service revenue in the country is due to decline over the forecast period in line with the losses in cable-TV and DTH subscriptions because of continued cord-cutting trend and growing preference for OTT video alternatives such as Netflix and Stan.
Telstra has led all the service segments, including mobile, fixed, and pay TV services, by subscriptions in 2024. While its ongoing expansion of 5G network and fibre broadband network coverage will help the operator maintain its leadership position in mobile and fixed broadband service segments, its strong foothold in the IPTV segment will help to maintain its lead in the pay-TV services market.
“As Australia’s telecom landscape evolves, operators must prioritise investments in high-speed connectivity and service innovation to stay competitive. Strategic focus on 5G rollout, fibre expansion, and digital service offerings will be crucial in driving long-term revenue growth and meeting rising consumer expectations in an increasingly digital-first environment,” concluded Pradeepthi.
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