Is it near the end of SMS-s?
Last week Facebook acquired WhatsApp for the colossal sum of 19 billion dollars. One of the biggest deals in the industry remind everyone just how much money that is lost mobile operators face competition from companies such as WhatsApp, which allows users to share text, videos and photos for free. Social applications for mobile devices are very expensive cellular operators worldwide. According to a recent survey of analyst house Ovum company lost 32.5 billion dollars in fees for text messages in 2013 Experts estimate that by 2016 the number will swell to $54 billion
More people move to smartphones with a good internet connection, allowing them to use applications like WhatsApp communication. Internet chats conquer markets outside the U.S. where operators often offer unlimited SMS services in their plans. Applications offer people free or extremely cheap way of communication, especially when it comes to relationship with someone halfway around the world.
“The trend is more and more people use such services, the growth in consumption will continue to grow in coming years,” said Chetan Sharma, who is an independent analyst Washington.” Free shipping short messages bay international markets, WhatsApp is undoubtedly a leader in the field ,” adds the expert in an interview with Bloomberg.
Representatives of the leading mobile operators in the UK, Mexico and the United States were contacted by Bloomberg, but declined to comment.
WhatsApp now has 450 million users, which means that Facebook paid 42 dollars for each of them. The app is especially popular in Europe, India and Latin America, where there are fewer users think of traditional SMS-es. CEO of Facebook – Mark Zuckerberg predicted that in the next few years, users of the application will increase to 1 billion.
WhatsApp, Rebtel, Viber, KakaoTalk and similar applications use the Internet to send and receive information, making them independent of the cellular network of mobile operators.
While applications are gaining in popularity, revenues from SMS- and American consumers have fallen by 3-4% to about $21 billion, says Sharma. Internationally, the service will reach its peak in 2016, then will start to fall, he said.
Mobile applications proved that they are very profitable, which was the main reason the U.S. operators to start offering unlimited SMS- and its users, says Roger Entnar analyst based in Massachusetts house Recon Analytics.
The first SMS was sent in 1992 in the network of Vodafone.
In Mexico, for example, almost 90% of short messages are generated by WhatsApp, says Ernesto Piedras, director of the local telecommunications consulting firm Competitive Intelligence Unit.” About a year and a half consumption WhatsApp grows in Mexico dazzling. The application is practical and convenient, more people install it and more of them are using it.”
6-8 years before the Mexican mobile operators have generated about 15 percent of its revenue from fees for SMS-s. Currently they are responsible for about 7% of their revenues.
The same goes for roaming text messages. Five to ten percent of U.S. mobile subscribers sent a substantial amount of SMS- and their friends abroad, told Bloomberg the independent analyst Charles Golvin. Service they pay 20-25 cents per text message and 50 cents for this, which contains a picture or video (so-called MMS).
The deal between Facebook and WhatsApp means that the largest social network in the world can remind a lot of consumers to alternative called WhatsApp, which in turn force the operators to reduce prices or to include sending messages to phones abroad more affordable plans.
Most U.S. operators now offer a flat fee for unlimited messages to their customers. In AT&T as it is $10 a month and includes messages sent beyond the borders of the United States. Subscribers to this plan, however, has only 100 messages, and each subsequent charge them 20 cents to the monthly bill.
Contacted by Bloomberg to comment on the threat posed by applications such as WhatsApp, from Verizon answered that already offer binary unlimited messages as part of the subscription plans. According to spokeswoman “sms-s will die in the near future.”http://szlifestyle.com/sz/2014/02/27/is-it-near-the-end-of-sms-s/TECH NEWSfacebook,WeChat,WhatsAppLast week Facebook acquired WhatsApp for the colossal sum of 19 billion dollars. One of the biggest deals in the industry remind everyone just how much money that is lost mobile operators face competition from companies such as WhatsApp, which allows users to share text, videos and photos for...Nicolas T.Nicolas T.email@example.comAdministratorNicolas T. is a writer/editor of szlifestyle.szlifestyle.com Tech News, Life Style, Reviews, Videos!