Mobile data subscriptions on tablets will more than double to 200 million from 2015 to 2021, according to Strategy Analytics.
Meanwhile, IDC said the worldwide tablet market declined 7 percent year over year and 3.9 percent quarter on quarter to 44.7 million in the second quarter of 2015.
Strategy Analytics said three of the four top telecom carriers in the U.S. have increased tablet connections to nearly 10 percent of their subscriber base.
Globally, telecom operators will be adding more than 100 million wireless connections on cellular enabled tablets through 2021. By 2021 tablets will only account for 2 percent of total mobile subscriptions, a 2.7 percent population penetration rate, according to Strategy Analytics.
Shared data plans and lower cost SIM-only tariffs will help increase the portion of tablets with data plans to 19 percent by 2021, equating to a 54 percent attach rate of data plans within the cellular tablet installed base.
The US is a leading market for tablet subscriptions, with top two carriers Verizon Wireless and AT&T driving strong quarterly tablet net adds with their shared data plans.
The SoftBank-owned Sprint, which has achieved tablet penetration nearly on par with Verizon Wireless and AT&T, is focusing on equipment installment plans (EIP) and leasing plans, and offers all-in pricing bundling a tablet with a smartphone and service for both with a simple monthly price.
MTS in Russia and Vodacom in South Africa have targeted tablet growth with their own-branded tablets; Vodacom has bundled its own-branded tablet with content for children.
Phil Kendall, executive director, Wireless Operator Strategies, said: “We are seeing an increase in use of equipment installment plans (EIP) to lower the barriers for upfront purchase of a cellular-enabled tablet. In emerging markets, operator branded and other low cost tablets with good functionality, bundled with small initial or monthly free data allocations and targeted content are making tablets accessible to new users.”
Baburajan K
editor@telecomlead.com
