Some issue for the CSP to catch the digital customers

Traditional communications service provider (CSP) services are rapidly becoming irrelevant to digital customers, in the face of the richer, ‘free’/low-cost experience delivered by over-the-top (OTT) and other alternative service providers such as Google, Facebook, LINE, Skype, Viber, WeChat and WhatsApp. The complexity and inflexibility of CSPs’ legacy service delivery environments and processes have led to costly operations and lagging legacy communication services. As such, CSPs are attempting to access revenues driven by richer OTT and other third-party communication applications, and accept commoditisation of their traditional voice and messaging services. As a result, CSPs’ voice and messaging revenues worldwide are forecast to decline continually between 2015 and 2019 as follows: mobile voice revenue at a –2% CAGR, mobile messaging at a –6.5% CAGR and fixed voice at a –4.4% CAGR.

Source : Analysys Mason