Additionally, SIMalliance member shipment volumes have risen from 4.4 billion in 2011 to 4.6 billion in 2012. SIMalliance also estimates that the total available market has grown 9 percent, expanding from 4.7 billion to 5.1 billion between 2011 and 2012.
North America has seen the highest regional growth rate at 32 percent, with reported 2012 shipments equalling 216 million. The main factor influencing growth in this market was the transition from CDMA to LTE SIM-based networks. Thanks to continuing subscriber acquisition, Africa enjoyed significant growth of 20 percent with 2012 shipments up to 499 million. Western Europe also performed strongly with an 11 percent rise in shipments to 375 million. This is attributed mainly to demand for new SIM form factors – micro and nano SIMS – resulting from increased usage of smart connected devices.
Significantly, SIMalliance member data has shown that NFC-enabled SIMs started shipping in volume throughout 2012. SIMalliance members have reported 30 million NFC shipments globally during 2012, which represents an 87 percent increase on 2011. The strongest NFC SIM markets were Japan/Korea (21 million) and Western Europe (6 million).
Finally, SIMalliance has identified three key factors influencing growth globally. The first one is multi-device ownership. In developed markets such as Western Europe, North America, Japan and Korea, the growth in secondary smart devices, such as phones and tablets, has created a demand for newer SIM form factors, also known as micro SIMs and nano SIMs. This has been supported by LTE launches and the continued global commercialisation of NFC, which has resulted in an increased demand for NFC payments and couponing.
The second factor is population penetration. In emerging markets such as India, China and Africa, subscriber acquisition continues to grow as mobile phone handsets remain a primary channel for accessing the internet in rural areas. In some developing markets, such as Africa, prepaid is prevalent among subscribers accessing mobile services.
The third factor is the rise of the machines (M2M). Globally, the machine-to-machine (M2M) sector continues to expand. In 2012, SIMalliance members reported a 42 percent rise in shipments of soldered SIMs designed specifically for M2M applications (MFF2 form factor). This level of growth reflects the increased usage of M2M in specific sectors, such as the automotive and utilities industries; it doesn’t however take into account the increase of M2M deployments across devices using plug-in or micro SIMs, suggesting that the M2M market is potentially even bigger.
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