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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

Hotel phone charges demonstrate the value of packing your mobile

Mark Bridge writes:

I like hotels. Free biscuits in your room and all the portions of UHT milk you can drink. But the phone calls... that's a different story.

Dearie me, you're paying for that hospitality tray when you pick up the phone.

Author: The Fonecast
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Charlie Chaplin, a mobile phone and a time-travel mystery

Mark Bridge writes:

A Charlie Chaplin DVD includes an image of a woman using a mobile phone in 1928.

That’s the suggestion surrounding a YouTube clip that’s currently received more than 2½ million hits since it was posted online last week.

Author: The Fonecast
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Why the Sat-Nav Application Model is Broken

James Rosewell writes:

Most Sat-Nav applications are now obtained via the Application Store used on the mobile phone. Navigon have gone so far as to remove access to their application via any other route. Application Stores are now the only choice. This move to a platform-specific sales model is a massive mistake.

Author: The Fonecast
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Come on, Steve Jobs – why don't you attack a few more mobile companies?

Mark Bridge writes:

Mark Zuckerberg's girlfriend breaks up with him acrimoniously. So off he goes and creates Facebook. Yes, there's nothing like an insult to fire up the creativity. Well, that's certainly what the plot of The Social Network would like you to think.

And, you know, it's got a point. In fact, I'd go as far as to say that sticking two fingers up at the opposition seems to be the new way of doing business.

Author: The Fonecast
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The positive cult of giffgaff

Mark Bridge writes:

Wouldn't it be great if mobile customers loved their networks so much that they'd fight for them?  Ofcom would be inundated with complaints from O2 users about its decision not to allow GSM frequencies to be used for 3G services. Vodafone customers would demand that Nokia pre-loaded the N8 with a Vodafone 360 application. Orange users would be sending petitions to radio stations, asking them to implement HD Voice on phone-ins. And giffgaff users would take to online forums to defend the service they receive.

Oh, hang on. That last one's already happening.

Author: The Fonecast
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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.

Author: The Fonecast
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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.

Author: The Fonecast
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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.

Author: The Fonecast
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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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