Benefits
10. Mobile phones offer both social and economic
benefits. The sheer size of the industry in the UK, which currently
employs over 100,000 people and contributes around £5 billion
to the UK's GDP, demonstrates its important contribution to the
UK economy.[6]
Motorola alone employs over 10,000 people in the UK, had UK sales
of £3.3 billion in 1998 and is in the top ten UK exporters.[7]
Vodafone, following its merger with Airtouch Communications, is
now the second largest UK company in terms of its market capitalisation
of around £70 billion, and has interests in 23 countries.[8]
Recent growth in the mobile phone market has been dramatic. In
1998 the market grew by 54% and mobile phones were the most popular
Christmas gift.[9]
In the first quarter of 1999, the industry acquired almost 20,000
new customers each day.[10]
Telecommunications is important as an industry sector in itself
but is also part of an essential infrastructure upon which other
businesses and services depend. Orange plc, for instance, pointed
out that mobile phones are now important business tools which
contribute to improved communications and productivity and that
they are increasingly used for data as well as voice transmission.[11]
11. The most persuasive evidence that the public
perceive a benefit from mobile phones is that so many choose to
buy them and use them so frequently. It is estimated that there
are now 16 million users in the UK, representing roughly 25% of
the population.[12]
The flexibility offered by mobile telephony, price convergence
between mobile and standard networks and the introduction of UMTS,
which will offer global coverage and a range of additional services,
indicates that the market will continue to grow. It has been estimated
that by 2000, 50% of all calls in the European Union (EU) could
involve a mobile phone.[13]
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