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Ovum estimates that operators lost $13.9bn in 2011 due to social messaging

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New estimates from Ovum indicate that consumers' increasing use of IP-based social messaging* services on their smartphones cost telecom operators $8.7bn in lost SMS revenues in 2010, and $13.9bn in 2011.

In a new report**, the independent technology analyst reveals that it expects the decline, representing nearly 6% of total messaging revenue in 2010 and 9% 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.

"Social messaging has disrupted traditional services, and operators' revenues in this
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