A report by telecoms analysts Juniper Research claims that the increasing use of streamed video, video chat and 3G services will lead to the rise.
The report shows that Europe will remain the largest market for mobile adult services with revenues increasing from $775m in 2007 to $1.5bn by 2012. Global revenues from video chat services will also rise from $138m in 2007 to around $1.5bn in 2012.
Juniper Research also expects a significant increase in the North American market despite current restrictions on mobile adult services in the region.
Report author Dr. Windsor Holden said: "While operators in the US and Canada are still very reluctant to introduce age-verification systems and offer adult content, it is a completely different story off-portal with a number of service providers now offering D2C content and services aimed at those markets.
“Furthermore, as mobile subscribers become more comfortable and familiar with the off-portal environment, then the traffic to these sites is likely to mushroom."