Above and beyond: how services beyond connectivity generate more than two thirds of operator revenue growth

Service and revenue diversification has become a strategic focus for major operators in recent years. For most, the goal is twofold: to offset low revenue growth in mobile and fixed connectivity, and grow a presence in the digital ecosystem, moving up the value chain. If taken individually, services beyond connectivity generate far lower revenues than connectivity. However, the total across all services is material.

GSMA Intelligence research, based on rigorous analysis of financial results, shows that major operators continue to make progress. The average contribution to total revenues from services beyond traditional core telecoms reached 27% in 2023 for the operators analysed, up from 18% in 2017.  

There are two crucial findings for services beyond traditional core telecoms. First, they are now a key component of telco revenue growth stories (accounting for two thirds of operator total revenue growth). Second, revenues from services beyond traditional core telecoms are now greater than fixed revenues for most of the operators analysed – a further sign of the shifting revenue mix.

This report looks at how far major operators have progressed with revenues beyond traditional core telecoms, the operators leading in terms of revenue diversification and growth beyond connectivity, and the main trends and drivers of growth.