Wireless Media

Operator Messaging to Decline 20 by 2017

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Report Summary:

Strategy Analytics has further downgraded its outlook for operator messaging as the combination of the growing adoption and popularity of over-the-top (OTT) communications services, such as WhatsApp, WeChat, Skype and LINE, and intense price competition between operators leads to downwards pressure on both messaging volume and messaging revenue. Strategy Analytics has also downgraded its view for RCS-based messaging services, such as Joyn, with fewer than anticipated launches by operators influencing this opinion. While Joyn would enable operators to evolve the operator messaging experience for customers and provide an alternative to OTT services, Strategy Analytics believes the window of opportunity for carriers is increasingly closing, particularly in markets where OTT communication apps have already gained strong traction.

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