New and established digital players have launched messaging, voice, video and enhanced social media services for mobile use, resulting in a massive increase in data traffic alongside a decline in MNOs’ revenues from their own messaging and voice services. The companies offering these additional services have added significantly to MNO costs, but contributed nothing directly to their income.
Some of these OTT and social media service suppliers have grown into major global digital companies. These players are investing heavily in new technologies that both facilitate the delivery of their services and increase their geographic availability, further threatening MNO legacy revenues.
Between them, the major global digital players now have a presence in all aspects of MNOs’ business activities, including communications infrastructure, fixed and mobile telecommunications networks, voice, messaging and video communications services, music and video content, IoT products and services and consumer devices.
So far companies like Alphabet (Google) and Facebook have chosen to work together with MNOs, forming agreements and joint ventures as appropriate. However, while they generate a large part of the business that MNOs rely on, they also pose a potential threat to the mobile industry.
This report reviews the activities of the five largest global digital players (GDPs), Alphabet, Amazon, Apple, Facebook and Microsoft, and assesses the potential opportunities and threats they present.
2.1 Background to the Report
2.2 Report Content
2.3 Currency and Conversions
2.4 Further Questions and Feedback
3 Global Digital Players
3.1 The Industry
4 OTT Digital Services
4.2 OTT Voice, Video & Messaging Services
4.3 Facebook Free Basics
4.4 Streaming Audio and Video
4.5 IoT Services
5 Infrastructure, MVNOs & SIMs
5.2 Existing Technologies – Improving Coverage
5.2.1 Alphabet’s Project Fi
5.2.2 Google Fiber
5.3 Innovative Technology - High Altitude Base Stations
5.3.5 Implications for MNOs
6 Conclusions and Options
6.3 Threats or Opportunities
6.4 MNO Options