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Sunday, November 17, 2013

Annual global SMS revenue is expected to fall by £14 billion within five years

Figures from Informa Telecoms & Media show that global annual SMS revenue is expected to fall from $120 billion this year to $96.7 billion by 2018, which is a drop of $23 billion (£14 billion).

This predicted fall is being blamed on the adoption and use of over-the-top (OTT) messaging applications that aren’t controlled by mobile networks.

The Asia Pacific region, which currently generates the largest amount of revenue from SMS text messages, is expected to see the highest drop in annual SMS revenue over the forecast period. It’s notable that a number of OTT messaging apps have originated from countries in this region.

However, the report notes that mobile operators with a high proportion of post-paid (‘pay monthly’) customers can mitigate the impact of OTT messaging applications and slow the rate of decline by offering ‘unlimited’ SMS or large bundles with contracts. In addition, revenue from business use of SMS messaging is growing.

Gareth Sims, Head of Forecasting at Informa Telecoms & Media, said “Although we are forecasting a decline in SMS revenues, due largely to the well-documented competition from OTT players, the diverse messaging market provides so many complementary use cases that it would be naïve to think that SMS has no future role to play.”

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Opinion Articles

Why a mobile TV service is just like a zombie

Mark Bridge writes:

Here in the UK, we’re struggling a bit with mobile TV. Which made me wonder what the problem really was. Well, after a long evening with the finest stilton and the cheapest port, the answer came to me in a dream. A mobile TV service is just like the lurching, drooling nightmare creatures that appear in every zombie film. And once consumers understand zombies, they’ll understand the problems with mobile TV. Let me explain.

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Selling your way out of a recession? Of course you can!

Iain Graham writes:

Everybody these days (apart from a lucky few!) is suffering from a lack of business or reduced sales due to the current 'downturn in the economic climate'. In my opinion, this is the time when sales people should stand up and be counted!

No, I don't mean the hard nosed, foot in the door double-glazing, second-hand car or mobile phone types (no offence!), I mean EVERYONE! Selling is a concept as much as it is a profession.

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Mobile & Contactless Payments

James Rosewell offers his opinion on the current state of mobile and contactless payments.

The banking and mobile industries have big plans for Near Field Communication (NFC) as the mobile payment mechanism of the future. Barclaycard has been leading the way from the credit card sector forming a partnership with Orange, having previously worked with O2, and running a catchy TV advert prompting contactless cards using VISA’s paywave system.

However the reality of NFC payments appears a lot further away. The Point of Sale (POS) technology appears to be badly deployed by some of the first-phase retailers mainly made up of low-value high-volume businesses like coffee shops, fast food outlets and newsagents.

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Insecure Mobile Browsers

James Rosewell writes: I note with interest Barclays mobile on-line banking home page extolling the safety of mobile banking whilst claiming it’s as secure as their non-mobile equivalent. This is on the same page that recommends customers use Opera Mini to access Barclays mobile on-line banking.

Yet following the link to the operamini.com web site and looking at the help section we can read Opera’s answer to the question “Is there any end-to-end security between my handset and — for example — paypal.com or my bank?” and the answer is “No. If you need full end-to-end encryption, you should use a full Web browser such as Opera Mobile.”

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Recent Podcasts

Reviewing our 2015 mobile industry predictions... and looking forward to 2016

Podcast - 15th January 2016

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Later in the programme, the team anticipates some of the topics that will be hitting the headlines during 2016.

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Podcast from Mobile World Congress 2015

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Looking back at February: from security scares to multiple MVNOs

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We're taking a look back at the biggest mobile industry news stories from February 2015, including allegations that the UK's security service tried to breach SIM card security by hacking into one of the world's biggest SIM producers.

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Interview with Chris Millington of Doro about mobile retailing, wearables and technology for older consumers

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They discuss the state of mobile retailing in the UK, the future of wearable devices and - as you might expect - smartphones for seniors.

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A month of mobile: O2 counts on 3, Microsoft counts to 10 and Apple counts its profits

Podcast - 30th January 2015

We're back with a month of mobile industry news, including takeover talks and takeover rumours. O2 and Three are said to be discussing a merger... but is there any truth in the suggestions that BlackBerry could be up for grabs?

We also discuss Apple's record-breaking quarterly figures, the highlights of CES and the launch of Microsoft Windows 10, as well as saying farewell to the current version of Google Glass.

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