
HAMPSHIRE, UK – The consumer migration from operator voice and text services to OTT messaging services and social media will cost network operators nearly $104 billion this year, equivalent to 12% of their service revenues, according to new data from Juniper Research.
Mobile Operator Business Models: Challenges, Opportunities & Strategies 2017-2021 analyzed the scale of operator traffic decline together with the uptake of OTT VoIP and message services. The report says that the success of several platforms has substantially impacted on operator margins, with WhatsApp alone now generating nearly three times as much traffic daily as SMS.
It also says that operators will continue to see an erosion of traffic levels in the future as most leading OTT messaging platforms incorporate multiple communication options, including group voice or video chat.
There are, however, a number of measures that operators could introduce both to slow the decline in core revenues and to develop new sources of income, continues the report. They include big data and analytics packages for both consumer and IoT (Internet of Things) devices; carrier billing payment options; mobile money services; and mobile identity services.
The research also says that with mobile increasingly deployed within the context of a quad-play offering, it is essential for telcos to provide consumers with attractive, original content to differentiate themselves from the competition.