Global telecom services spending forecast 2018-2024, by region

Global spending on telecom services is expected to reach 1.595 trillion U.S. dollars by 2024, slightly higher than the 1.575 trillion U.S. dollars spent on telecom services during 2019. The overall growth forecast is largely driven by increased spending in the Americas, as the Asia Pacific and Europe, Middle East and Africa regions are expected to remain flat. The stagnation in growth seen between 2019 and 2022 is attributable to the effects of the coronavirus (COVID-19) pandemic, with the increase in services from more people working at home offset by the slowdown in travel and tourism, and prevailing economic conditions.

Telecoms: a capital-intensive industry

Developing, maintaining and building new telecommunications infrastructure is part and parcel of operating a major telcos. Ageing infrastructure and technological advancements drive capital expenditure, while challenges such as gaining access to remote locations are expensive problems to solve.​ While the global median revenue sat at 201 million U.S. dollars in 2019, median expenses came in at 180 million U.S. dollars.
The equipment contained in the network can also provide telcos with a huge asset base. United States based AT&T generated 181.27 billion U.S. dollars in revenue during 2019, holding assets worth 551.67 billion U.S. dollars.

Economic contribution through employment

Telecommunications companies play a vital role in the economy, not only as operators of essential infrastructure, but as providers of millions of jobs worldwide. The effect of this contribution is even greater given the industry’s relative stability during uncertain economic times. AT&T alone employs 246,000 people in the United States, while Deutsche Telekom AG provides 210,530 jobs in Europe.