Mobile Network Operators Face Cost Crunch

Mobile network operators are facing a scenario where their capital (capex) and operating (opex) expenses will surpass their revenues by about 2014, according to a June 2010 white paper from Juniper Research. Estimates from “Crunch Time For Mobile Operators” indicate that typical 15-20% margins on operator-billed revenues, which are currently above capex/opex, will meet capex/opex in 2014, fall slightly below expenses in 2015, and begin substantially falling below them in 2016.
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