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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

What my granny taught me about online shopping

Mark Bridge writes:

When it came to telephones, my granny was an early adopter. She had a landline phone for as long as I can remember - and that’s quite a while when you consider the town only got an automatic telephone exchange two years after I was born. Recent research has now suggested that my granny was also well ahead of the game when it came to consumer behaviour.

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Cortado offers a secure 'cloud desktop' without unnecessary restrictions

Mark Bridge writes:

Security is often a balancing act - and security on mobile devices is no exception. If procedures and processes aren't tough enough, you'll compromise the security of the information you're protecting. But if your security is too tight or if it seems too complicated to an end user, that user is likely to find a way round your security by doing something else instead.

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Last week at The Fonecast: 7th November 2011

Mark Bridge writes:

I’m reminded of a sketch from BBC TV’s ‘The Young Ones’ in 1982. The four horsemen of the apocalypse are waiting around.

“What’s new?”, asks Pestilence. “Microchip technology”, replies one of the others. “That’s quite a new thing, isn’t it?”

Quite new. It’s probably the best description for much of last week’s mobile industry news.

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Mobile technology publication becomes the first NFC-equipped 'smart book'... sort of

Mark Bridge writes:

Atria Books, part of the Simon & Schuster publishing family, has released what it’s calling the first-ever smart book. A thousand copies of ‘The Impulse Economy’ by Gary Schwartz will have an NFC sticker attached, providing a web link to book-related content.

Hmmm. That’s not really a smart book, is it?  The same kind of logic means my NFC credit card turns my wallet into a ‘smart wallet’ and transforms the pocket of my jeans into ‘smart jeans’. It means my NFC-equipped smartphone is a smart smartphone.

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Last week at The Fonecast: 31st October 2011

Mark Bridge writes:

In the world of retail, you can’t move for Hallowe’en puns at the moment. You know the kind of thing. Spooky offers. Frighteningly low prices. Missing our deals will haunt you. There’s not the ghost of a chance we’ll shift these PlayBooks unless we cut the price.

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Recent Podcasts

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

Podcast - 15th January 2016

Iain Graham, James Rosewell and Mark Bridge return to review their mobile industry predictions from last year. Which mergers, partnerships and developments did they forecast correctly... and which didn’t work out as planned?

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

Podcast - 6th March 2015

Mark Bridge learns about the mobile technology trends at Mobile World Congress 2015 by chatting to James Rosewell of 51Degrees, Dr Kevin Curran from the IEEE and Chris Millington of Doro.

They talk about wearable devices, wireless charging, mobile operating systems and much more... including some of their favourite products from the exhibition.

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Looking back at February: from security scares to multiple MVNOs

Podcast - 27th February 2015

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.

We also talk about the planned BT and EE merger, the creation of two new UK virtual networks, some acquisitions in the mobile payment arena and a new Ubuntu smartphone.

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

Podcast - 24th February 2015

In today's programme Mark Bridge talks to Chris Millington, who's Managing Director for Doro UK and Ireland.

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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