ROAMING THE RANGES

Roaming has always been a core revenue source for rural and regional carriers as the big boys look to augment their nationwide networks. But Kagan data shows that while roaming revenues are increasing substantially for the smaller carriers, they aren't increasing as fast as other service revenues. For example, in 1999, 40% of Triton PCS's revenue came from its roaming agreement with AT&T Wireless, but in 2001 that number had fallen to 20%. However, Triton's roaming revenue nearly tripled and its total service revenue almost quintupled, according to Kagan. Simply put, the regional and rural carriers seem to be doing OK on their own.

Regional roaming carrier revenue (in billions of dollars)
Figure 1

Regional carrier total service revenue (in billions of dollars)
Figure 2

Roaming's dwindling piece of the pie
Regional carriers find that their dependence on the roaming revenues from the big carriers is dwindling.
Figure 3