Carrier Billing Spending for Digital Goods to Exceed $74 Billion in 2026

The value of end-user spending on digital goods via carrier billing will exceed $74 billion by 2026; up from $54 billion in 2022, according to a study from Juniper Research. This growth of over 37% reflects the increasing relevance of carrier billing as an option for digital commerce spending. Direct carrier billing involves users charging payments for digital and physical goods to their mobile phone bills.

The new research found that gaming spending will account for just over 50% of digital goods spend via carrier billing in 2026. This dominance will be driven by accelerating monetization strategies, including 5G cloud gaming and gaming subscription models. Carrier billing vendors must prioritize partnerships with leading gaming platforms, including emerging cloud gaming players, to best serve this market.

The research found that operator-billed carrier billing revenue attributable to digital goods will reach $11 billion globally in 2026; up from $8 billion in 2022. The research identified the high costs per transaction as a limiting factor for carrier billing payments versus card and digital wallet payments but identified operator reach as being a compelling factor.

“In the face of a rapidly accelerating digital transformation within payments, operators can be in the driver’s seat for reaching potential users, given their access to existing subscribers. Leveraging this subscription base is critical to accessing this potential revenue source,“ explained research co-author Nick Maynard.

The research found that physical goods spending is rising much faster in carrier billing than for digital goods; at a rate of 270% over the next 4 years. While this market is growing from a lower user base, it does represent a significant new opportunity, with spending set to exceed $13 billion globally in 2026. The report recommends targeting cross-border eCommerce vendors for partnerships, given their need to quickly onboard localized payment methods.