In Europe, it can be argued, mobile-only service providers have done better, financially, than service providers that sell both fixed and mobile network services, according to Rewheel.
Some might say that means mobile-only is the preferred business strategy, assuming a particular company can afford to do so.
Others might say the data only show that in markets where there is but one fixed network supplier, the results mostly show the relative market positions of attackers and defenders (incumbent telcos).
Though both segments have growth challenges, fixed network operators arguably face the tougher challenges, because of stranded asset issues.
The problem is that as more customers abandon the fixed line network, capex per customer and operating cost per customer go up, since all fixed costs must be spread across a smaller base of actual customers.
Some might argue such losses will be compensated by gains in other product areas. One hears about the need for backhaul for small cells, which could emerge as a bigger enterprise or wholesale opportunity.
Video services appear an answer for some service providers. And most are hopeful about prospects for internet of things connections.
The issue is whether the magnitude of the new revenues will compensate for the loss of legacy revenues.
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