Wednesday, 08 January 2020 03:53

Mobile operator voice revenues under pressure as free OTT voice services grow Featured

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Global mobile operator voice revenue will drop to US$208 billion by 2024 from US$381 billion in 2019, as users continue to prefer more flexible and free OTT (Over-the-Top) services, according to a new report.

A new study from Juniper Research - Mobile Voice: Emerging Opportunities for Operators & Vendors 2019-2024 - forecasts that third-party OTT voice services will continue to grow, nearing 4.5 billion users by 2024.

The study also found that while this trend will contribute to declining voice revenue for operators, 5G proliferation will propel a number of nascent mobile voice and video services, generating fresh revenue streams for service providers.

The research forecasts that operator voice revenue will decline by 45% by 2024, in the face of an increase of 88% in the total number of third-party OTT mVoIP users over the next five years, with the study urgeing operators to invest in AI-enabled communications platforms that facilitate competitive voice service delivery.

However, the research anticipates that improved 4G coverage and a growing number of capable devices will boost the number of mobile video call users; partially offsetting voice revenue losses, with the study forecasting that ViLTE (Video over LTE) operator revenue will exceed US$33 billion by 2024.

The Juniper report anticipates that 5G proliferation will generate new revenue streams for operators by enabling innovative use cases for VoLTE and ViLTE.

And the study notes that high data throughput and low latency will propel emerging services such as RTI, remote control and Vo5G, which will find wide application across a range of industries.

Additionally, the research prompts operators to accelerate VoLTE launches, in order to benefit from emerging Vo5G services.

The study also notes that establishing a 5G-enabled IMS (IP Multimedia Subsystem) infrastructure for VoLTE will provide a pivotal foundation for future voice services rollouts, which operators can monetise in upcoming years.

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Peter Dinham

Peter Dinham is a co-founder of iTWire and a 35-year veteran journalist and corporate communications consultant. He has worked as a journalist in all forms of media – newspapers/magazines, radio, television, press agency and now, online – including with the Canberra Times, The Examiner (Tasmania), the ABC and AAP-Reuters. As a freelance journalist he also had articles published in Australian and overseas magazines. He worked in the corporate communications/public relations sector, in-house with an airline, and as a senior executive in Australia of the world’s largest communications consultancy, Burson-Marsteller. He also ran his own communications consultancy and was a co-founder in Australia of the global photographic agency, the Image Bank (now Getty Images).

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