Europe is predicted to be the worst hit region this year
The coronavirus crisis will cost the mobile industry an estimated £41 billion ($51 billion) this year.
That is according to global technology research firm Omdia.
Omdia expects revenue will reach £600 billion ($749.7 billion) this year, which is a drop of 4.1 per cent from last year when it hit £624 billion ($781.5 billion).
But this number is considerably lower than the initial £639.5 billion ($800.3 billion) initially forecasted.
5G uptake will also be slow this year, with worldwide subscriptions down 22.1 per cent against the previous forecast.
Commenting, Omdia research director Mike Roberts said: “Mobile phone companies around the world are experiencing usage spikes as more countries encourage or enforce social distancing and work-from-home rules to slow the spread of the COVID-19.”
“However, the spikes aren’t enough to overcome the impact of the pandemic on consumer behaviour. These rules are having a dramatic impact on various regions of the world, halting new subscriptions and upgrades in the United States, while slashing revenue for operators in Europe.”
Europe is expected to feel the biggest impact according to Omdia.
Mobile service revenue in Europe is projected to drop 9.1pc to £105 billion ($131 billion).
While the Americas market is forecasting a decline of 3.7pc. The Middle East and Africa will be down 3.9pc.