Mobile Email Revenues Set to Surpass SMS in the $10 Billion Market

From personal productivity and messaging solutions to mobilized line-of-business applications, by the end of the decade more than 41 million North American business users will spend over $10 billion annually on wireless enterprise data services, with mobilized personal productivity tools grabbing the 81% of revenues, according to Strategy Analytics

Strategy Analytics in Boston estimates that BlackBerrys handle 59 percent of corporate wireless e-mail traffic. RIM added about 705,000 BlackBerry subscribers in the fiscal second quarter, bringing the total to about 6.2 million Enterprise converged mobile device shipments will reach 63 million units worldwide by 2010, up from 7.3 million in 2005, according to IDC.

As early as 2009, revenues from mobile email will surpass SMS, generating  $3.6 billion. Text messaging, at $3.0 billion will remain a solid revenue generator for service providers in the region. Instant Messaging, with staggering year-on-year revenue growth exceeding 105% is the next rising star in the enterprise mobility space. The use of image messaging will also see impressive 50% revenue growth. 

Mobilized line-of-business applications such as CRM and ERP will remain hindered by high solution deployment and service delivery costs with revenues approaching $2.0 billion by 2010. SFA solutions will stand out as the largest e-business opportunity due to more affordable low-end managed services offered by operators to SME's. 

Despite comparatively slower growth than email, Sales Force Automation is one e-business application that will see wireless handheld access spread out to nearly 33% of all SFA users by 2010. Companies like Sybase/iAnywhere, SAP, Siebel, Sendia/Salesforce.com, Entellium, Pyxis and Vaultus are all working to move the US mobile SFA market forward faster.

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