The document discusses 10 consumer trends related to mobility networks and technology in 2014. It finds that apps are transforming daily life as consumers expect more availability of mobile apps. It also notes that consumers want fingerprints and other biometrics to replace passwords for accessing content online. Finally, it discusses how the rise of affordable smartphones is reducing the digital divide as more consumers gain access to the internet primarily through their smartphones.

1. Mobility
network and
CONSUMER
TRENDS
2014Ericsson ConsumerLab

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General MARKET TRENDS 2014
This slide contains forward-looking statements. Actual result may be materially different.
Digital lifestyle drives demand
Superior network performance wins
Customer experience in focus
Data brings new business models
ICT transforming industries
Smartphone intensive markets defined as markets with smartphone penetration above 50 percent in 2013.
Every other
subscriber will have
a smartphone
>75%
Mobile video traffic
growth will exceed
75 percent
Data will exceed
50 percent of revenues
globally in smartphone
intensive markets
1/2

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Highlights - Wearable1
Wearables
today $ 2 bn
2018 $18 bn

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Highlights - Wearable1

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Highlights - Wearable1

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Highlights – connected cars2

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Mobile subscriptions Q3 2013 -
regional

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Mobile penetration Q3 2013 - regional

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5.6 Billion smartphone
Subscriptions end 2019
› 5.6 B smartphone
subscriptions by the end
of 2019
› 55% of phones sold
during Q3 were
smartphones
› By 2019 the average
smartphone subscription
will use 2.2GB of data per
month

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Historic growth talks
with clear numbers
Need for capacity
increase
› More spectrum
› Technology upgrade
› Small cells

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Technology by regions
› Several technology shifts ahead

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Deployment of mobile infrastructure
is essential for the digital economy
Growth Potential
› Significant growth
potential in Columbia
for the mobile economy
Source GSMA

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Data centric mobility as a
driver for mobile advertising
From Voice to Data
A sustainable
conversion from voice
centric to data centric
mobility is essential for
the growth of the
digital economy.
Source: Bank of America Mobile Matrix Q1/2014
22%

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10 times Mobile data Traffic by
end of 2019
3.3 GB
1.0 GB
0.6 GB
Monthly consumption per device type
Global mobile traffic: voice and data 2010-2019
13 GB
4.5 GB
2.2 GB
2013 2019

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Regional mobile traffic
Mobile data traffic
increase between 2013
and 2019 by region
North America x7
Latin America x11
Western Europe x9
Central Europe and Middle
East and Africa x11
Asia Pacific x11

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App coverage
“App Coverage” – the area where my app works as I expect”
“Every app has its own
coverage map”
› It’s an app centric world
› User want reliable access for their apps wherever they go in the network
› App coverage requires a true end-to-end approach to design, build and run mobile
networks

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APP coverage in cities

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APP coverage in cities
› Majority of mobile traffic
originates in cities
› Urban users expect instant and
reliable access to apps
wherever they go
› Ericsson consumer research
shows that general satisfaction
levels with voice and internet
coverage is lowest on public
transportation, shopping malls
and restaurants
› There is a large difference
between peak (10%), median
(50%) and 90% probability
downlink speeds in all cities
Seoul Copenhagen Tokyo New York São Paulo
Source: Based on Ericsson’s analysis of Speedtest.net results provided by Ookla (2013)

19. 10 HOT
CONSUMER
TRENDS
2014
Ericsson ConsumerLab

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Making small changes to the ways we
communicate and use the internet will
have a huge impact on society as a
whole. So what new developments can
we expect to see in 2014 and beyond?
© Ericsson AB 2013 | 2013-12-11 | www.ericsson.com/consumerlab | Page 20

21. BU Support Solutions | , Rev | 2012-06-29 | Page 21© Ericsson AB 2013 | 2013-12-11 | www.ericsson.com/consumerlab | Page 21

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1. APPS CHANGE SOCIETY
› The mass demand for mobile services will potentially
transform all aspects of daily life within three years
› Consumers expect a 50% increase in the availability of
apps for shopping, restaurants, leisure, child/elderly
care, communication with authorities and transport
Source: Ericsson ConsumerLab, Smartphones Change Cities, 2013
Base: 7,500 iPhone/Android smartphone users in Tokyo, Beijing, London, New York and São Paulo, who use internet daily

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› Consumers have grown tired
of using passwords to access
content online
› 52% of smartphone users
want fingerprints to replace
all internet passwords
2. YOUR BODY IS
THE NEW PASSWORD
Source: Ericsson ConsumerLab Analytical Platform 2013
Base: 5,000 iPhone/Android smartphone users in 10 major cities, who use internet daily

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3. The quantified self
› We are increasingly treating our phones
as self-tracking devices
› 40% of smartphone owners want to
log all of their physical activities
› 59% want to use wristbands and 56%
want to use rings to generate personal data
Source: Ericsson ConsumerLab Analytical Platform 2013
Base: 5,000 iPhone/Android smartphone users in 10 major cities, who use internet daily

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› Smartphone users are realizing that the
signal bars on their phone are no longer
a good indicator of internet coverage
› Quality of experience when using internet is
falling behind that of voice, and consumers
in developed nations are less forgiving of
connectivity issues
4. INTERNET EXPECTED
EVERYWHERE
Source: Ericsson ConsumerLab Analytical Platform 2013. Base: Mobile phone users

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› The increase of
cheaper smartphones is
providing more consumers
with the opportunity to
participate online
› In India and Indonesia,
the smartphone is now
the primary internet device
5. SMARTPHONES REDUCE
THE DIGITAL DIVIDE
Source: Ericsson ConsumerLab Analytical Platform 2013
Base: Mobile phone users’ total time spent on respective service per device

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› The risks associated with being
connected are becoming more
apparent, but people minimize
them by being more cautious online
› 56% of daily internet users are
concerned about privacy issues
› 4% say that they would use the
internet less because of this
6. ONLINE BENEFITS
OUTWEIGH CONCERNS
Source: Ericsson ConsumerLab Analytical Platform 2013
Base: Daily internet users in US, Mexico, Sweden, Egypt, Pakistan, Thailand

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› Our friends are particularly
influential when it comes
to viewing video material
› 38% of respondents say
they watch video clips
recommended by their
friends at least several
times a week
› 22% influence their
own friends
7. Video on command
Source: Ericsson ConsumerLab Analytical Platform 2013
Base: 5,000 iPhone/Android smartphone users in 10 major cities, who use internet daily

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› Our internet usage is measured
in bits and bytes, but people need
help understanding the relevance
of the data
› 48% of smartphone owners
use apps to get information
about data consumption
› 37% use apps to test
connection speed
8. Making my data visible
Source: Ericsson ConsumerLab Analytical Platform 2013
Base: 7,500 iPhone/Android smartphone users in Tokyo, Beijing, London, New York and São Paulo, who use internet daily

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› Smartphone owners believe that
interactive sensors will be used
in everything from healthcare and
public transport, to cars, homes
and workplaces
› 60% believe sensors will be
commonplace by the end of 2016
9. Sensors in daily places
Source: Ericsson ConsumerLab Analytical Platform 2013
Base: 5,000 iPhone/Android smartphone users in 10 major cities, who use internet daily

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› The rise of streaming services
means people are increasingly
viewing content on the move
› 19% of total global streamed
TV and video time is spent on
phones or tablets
› In Chile, Mexico and Brazil, an
average of 18% of smartphone
owners who watch video begin
doing so at home, and then continue
watching the same content elsewhere
10. Play, pause,
resume elsewhere
Source: Ericsson ConsumerLab Analytical Platform 2013. Base: Smartphone owners in Chile, Mexico and Brazil

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