Social Messaging Apps Cost Mobile Operators SMS Revenues

Apps & Marketing Media
8 min read

conversationIn episode #9 of M-Pulse I examine a recent report from analysis firm Ovum that claims social messaging applications cost mobile network operators US$13.9 billion in lost SMS revenue last year.

Ovum expects the decline (nearly 6 percent of total messaging revenue in 2010 and 9 percent in 2011) to continue as the popularity of messaging apps continues to grow. Ovum warns operators to rework their legacy services if they want to secure their future position in the messaging market.

How can mobile operators hold their ground? Neha Dharia, consumer analyst at Ovum and author of the report tells us collaboration, not competition is the way to succeed.