OTT Stats for FWIC

The Mobile Technology Ecosystem Stats, Facts and Figures

with special focus on OTT Apps

Report by Zahid Ghadialy of

eXplanoTech

for the ‘Future Wireless International Conference’ (#FWIC) organised by Cambridge Wireless

Date: 13th June 2012

V 2.0

Disclaimer

This presentation has been prepared from freely available information on the internet with the sole purpose of making the information available in a convenient format for a particular event. This contains no confidential information, is not a personal opinion of any individual or any company and may not provide a complete picture from any other point of view than for the sake of distribution of knowledge. No individual or a company may be held liable or responsible for any information contained within this document. E&OE.

Non-Confidential – Public Distribution © eXplanoTech Ltd.,

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General Stats


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World Stats

7 Billion people in the world with 6.2 Billion mobile subscriptions (1st June 2012 estimates) [1]

In 2011, 486 million smartphones were sold, 2012 will be 700 million and end of 2013 will be 1 billion smartphones sold worldwide [1]

1 Billion mobile phone handsets expected to sell this year and by 2014, 2 Billion to be sold every year [1]

By 2015, three out of every four handsets sold will be a smartphone. [1]

1.1Billion 3G Subscribers [7]

Global Mobile traffic is 10% of Internet traffic [7]


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Smartphones #1

The UK (51%), Sweden (51%) and Norway (54%) all saw a dramatic increase of more than 20% in smartphone adoption in less than one year. [10]

52% of Australians own a smartphone, 15% more than did last year. [10]

Among the 26 countries, smartphone penetration was highest in the Middle East at 62% in the UAE and 60% in Saudi Arabia. [10]

Consumers in Egypt and Brazil are among the heaviest social networkers with 91% and 88% of smartphone users doing this. [10]

100% of smartphone owners in Japan use their phone to research a purchase. [10]


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Smartphones #2

59% of smartphone owners in China have made a purchase on their device, the highest among all countries in this study. [10]

36% of Egyptians have changed their mind about a purchase while in a store due to smartphone research. [10]

In 2011, 486 million smartphones were sold, 2012 will be 700 million and end of 2013 will be 1 billion smartphones sold worldwide [1]


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Touch Screens

The year 2014 will be the moment when more than half of all new phones sold will have either a pure touch screen, or a hybrid input with touch screen and some kind of keyboard as well, such as a slider or folder QWERTY input. [1]


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WiFi

In 2013 a third of all mobile phones in use worldwide will have WiFi connectivity. [1]

1 Billion mobile users have used WiFi (900 mil smartphone + 100 mil feature phones) [4]


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SMS, MMS

SMS has reached 5 Billion active users by end of 2011, and generated revenues of 126 Billion dollars. [4]

MMS is the second most widely used data service on the planet, still growing strongly globally, which has 2.5 Billion active users and generated 39 Billion dollars in 2011. [4]

Informa predicts SMS will see annual growth of 3% a year for the next five years, delivering $722.7bn in operator revenues worldwide between 2011 and 2016. [14]

SMS traffic will reach 9.4 trillion messages by 2016, up from 5.9 trillion last year.[14]

SMS's share of all global mobile messaging traffic will nosedive, from over 64% in 2011 to just over 42% in 2016. [14]


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OTT and Revenue


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Operators Revenue

In 2011 the mobile industry earned 1.3 Trillion dollars. Most of the business - 77% of it actually - was on the services side. Most of that 1.0 Trillion dollar service revenue pie, went to the telecoms operators. And of their income, 65% came from voice calls, and 19% came from messaging. So out of the total mobile telecoms revenue pie, 84% came from voice and messaging. [2]

Roughly speaking 50% of global mobile operator profits came from voice calls, and 45% came from mobile messaging. So voice and messaging generated 84% of revenues, and 95% of profits for the mobile industry's biggest players. [2]


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UK OTT Stats

81% of British mobile phone users have installed an app for at least one OTT service. [2]

Four in ten UK mobile phone owners with an OTT service, have also shifted away messaging traffic from traditional SMS, either partially or completely. That means 33% of the total mobile phone user base in Britain. [2]

One third of British mobile phone owners has not only installed an OTT app, and uses it, but likes it so much, they have already shifted part or all of their messaging traffic away from SMS.[2]

iMessage is most popular with 50%, BBM used by 40%, Whatsapp 37%, Skype 33%, Kik 25% [2] Most people use more than one OTT service


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US OTT Stats #1

Facebook 37%, Skype 17%, Twitter 17%, iMessage 11%, BBM 10% and Whatsapp 5%.[2]

Most who use SMS have not stopped doing so even with OTT services. [2]

U.S. consumers send an average of 107 SMS messages per week [3]

55% smartphone owners surveyed stated they also use SMS alternatives [3]

Main reasons for using SMS were core service capabilities: speed of delivery (47%), reach (43%) and reliability (38%). [3]


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US OTT Stats #2

Top 3 reasons to use OTT/IM messaging services over SMS are enhanced service features: content sharing (28%), speed (27%) and works across devices (25%). [3]

Over half of U.S. smartphone users (52%) said they would use an operator OTT-type service, especially consumers aged between 18-34 show high interests (60%) [3] When asked about what such a service should look like, cost

related elements stated as number one, two and four, including a lower price compared to the existing service (63%), inclusion in package (57%) and the service price (47%).


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Worldwide Revenue Loss due to OTT

Ovum measured for 2011 globally and found OTT cannibalization of lost revenues to mobile operators out of text messaging at 14 Billion dollars. [2] When the remaining real SMS market was worth 126 Billion

dollars, the theoretical revenue pie would have been 140 Billion.

SMS's share of all global mobile messaging traffic will nosedive, from over 64% in 2011 to just over 42% in 2016. [14]

SMS use over Christmas declined in some countries [13]: In Finland it was down to 8.5M from 10.9M from previous year on

Sonera and down to 5.6M from 5.9M on DNA.

In Hong Kong it was down by 14%

In Australia it was down 9%

Non-Confidential – Public Distribution

© eXplanoTech Ltd., 15

OTT Apps


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General Stats

Total mobile IM traffic will increase from 1.6 trillion messages to 7.7 trillion messages in the next 5 years, doubling its share of the market from 17.1% to 34.6% [14]


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WhatsApp #1

Number of messages sent per day rose from 1 Billion in October to 2 Billion messages in February [19]

An average of 7.6 million WhatsApp messages are sent per day on a mobile operator with 1 million subscribers. [6]

In APAC it accounts for 2.0% of upstream traffic in peak period, a very high number for an application that doesn’t provide voice streaming. [6]

37% of UK and 5% of US subscribers who use OTT for messaging use Whatsapp [2]


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WhatsApp #2

Web monitoring firm Allot Communication claims that WhatsApp accounted for 18 percent of instant messaging bandwidth in 2011, that’s up from just 3 percent in 2010. [19]

Analytics firm Coleago Consulting cites WhatsApp as major cause for a 12 percent drop in SMS messages in the country during 2011. [19]


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Blackberry Messenger (BBM)

There are 75 million blackberry users who have access to BBM [2]

By mid 2011, there were over 5.2 million BBM groups [15]

The number of active BBM users have increased from 5.3 million to 55 million over the past three years [11]

2 million new users joining per month [15]

70% of them use it daily to communicate with friends, family and colleagues [12]

Billions of messages sent each day [15]


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iMessage

iMessage reaches about 150 million users of iOS devices, not just iPhones but also iPads and iPod Touch devices. [2]


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Skype

Skype has over 900 million registered users (mobile + desktop) [2]

Has 250 million mobile subscribers [9]

Skype is used by 33% of UK and 17% of US subscribers who use OTT for messaging [2]

As of April 2012, there have been over 40 million concurrent users of Skype regularly [17]

In 2011, 200 million users used 300 billion minutes and 50% were video calls [17]


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Rebtel

Rebtel now claims to be the largest independent mobile VoIP provider, with 17 million users in over 200 countries accessing its service over WiFi and 3G on iPhone, Android, and PCs.[8] Has added two million users since February

Is seeing an average of 650K new users a month

Low-cost international SMS at rates it claims are up to 60% lower than the average carrier [8]


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Viber

Recently surpassed 50 million registered users [16].

iPhone and Android apps are being used by people in 193 countries, who collectively make about 150 million calls on a monthly basis. [16]

Over 20 million photo messages are exchanged per month. [16]

Over 200,000 new signs-ups per day.[16]


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Fring

From the official Fring website [18]: There are 10s of millions of fringsters in all 221 countries

More than 1 Million new fringsters join a month

Fringsters are connected to fring on average for 8 hours a day

Fring powers 10,000,000 video call minutes/month and 100,000,000 voice minutes/month

World record: The 1st to bring mobile VoIP calls from all smartphones

World record: The 1st to make mobile video over IP calls on all smartphones

You can fring wherever you are on 3G/4G/5G/WiFi even if you're 30,000 feet in the sky


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Operator OTT Services

In the USA, T-Mobile launched Bobsled

In Spain, Telefonica has launched Tu Me.


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Social Networks


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Largest Social Networks on Mobile in 2011 [5]

Facebook mobile . . . . . . . 425 M . . . USA

Mobile QQ (Tencent) . . . . 200 M . . . China

Sina (Weibo) . . . . . . . . . . 150 M . . . China

RenRen . . . . . . . . . . . . . . 61 M . . . China

iMessenger (Apple) . . . . . . 58 M . . . USA

Mig33 . . . . . . . . . . . . . . . . 55 M . . . Singapore

Twitter mobile . . . . . . . . . . 55 M . . . USA

Blackberry Messenger . . . . 50 M . . . Canada

Skype Mobile (Microsoft) . . 40 M . . . USA

Whatsapp . . . . . . . . . . . . . 20 M . . . USA

FourSquare . . . . . . . . . . . . 15 M . . . USA


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Audio and Video Streaming


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North America (NA)

monthly median usage has increased more than eight-fold from 3.1 MB to 25.5 MB, while monthly mean usage has declined slightly from 346.9 MB to 312.8 MB. [6]

The majority of mobile data in North America is streaming audio and video. [6] YouTube leads the way, accounting for 23.4% of daily traffic

Pandora Radio has emerged to make up 6.4%.

Real-Time Entertainment traffic will exceed 60% of mobile data in the United States by late 2014.

Netflix now represents 2.1% of mobile data, good enough to make it the 8th largest source of traffic.

9% of North America’s fixed access traffic is driven by mobile devices, primarily due to high levels of Netflix and YouTube use.


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Latin America (LatAm)

Monthly median usage increased from 58.1 MB to 67.5 MB at the same time as monthly mean usage dropped from 893.7 MB to 344.1 MB. [6]

In Latin America, like most regions, Real-Time Entertainment is the largest driver of traffic, accounting for 45.9% of peak downstream traffic. [6] YouTube is the largest source of that traffic, representing 24.3%,

but the amount of Flash Video is also notable.

Because of the large number of aircards connected to laptops, Flash Video is the fourth largest component of traffic, accounting for 5.8% of peak downstream bytes


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Asia Pacific (APAC)

Monthly median consumption in the region is 140.4 MB, while mean consumption is 601.9 MB [6]

YouTube is the largest Real-Time Entertainment application, accounting for almost 13% of aggregate peak traffic, with PPStream not far behind at 9.50% [6]


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Youtube

Over the past three years in North America, YouTube has grown modestly from 9.9% to 12.2% of peak downstream traffic on fixed access networks, but has exploded on mobile networks from 12.3% to 27.2% in the same period.[6]

The average duration of Youtube video is 3mins 15 secs. [6]


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References #1

[1] – Tomi Ahonen: Massive Milestones in Mobile - Will These Numbers Change Your Mobile Strategy?

[2] – Tomi Ahonen: Understanding OTT - Why Carriers dislike BBM, hate iMessage and fear Skype

[3] – Mobile Enterprise Research: Smartphone Users Would Be Lost Without SMS

[4] – Tomi Ahonen: Mobile Services Beyond Messaging? Excellent TNS Global Survey Reveals Tons

[5] – Tomi Ahonen: Largest Mobile Social Networks Today by Size of User Base

[6] – Sandvine: Global Internet Phenomena Report


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http://communities-dominate.blogs.com/brands/2012/06/massive-milestones-in-mobile-will-these-numbers-change-your-mobile-strategy.html






http://communities-dominate.blogs.com/brands/2012/05/understanding-ott-why-carriers-dislike-bbm-hate-imessage-and-fear-skype.html









http://mobileenterprise.edgl.com/news/Research--Smartphone-Users-Would-Be-Lost-Without-SMS80105



http://communities-dominate.blogs.com/brands/2012/05/mobile-services-beyond-messaging-excellent-tns-global-survey-reveals-tons.html



http://communities-dominate.blogs.com/brands/2012/04/largest-mobile-social-networks-today-by-size-of-user-base.html



References #2

[7] – Mary Meeker: Internet Trends, D10 Conference, May 2012

[8] – Techcrunch: Article on Rebtel, 31/05/2012

[9] – Economic Times, India: Article on Skype, 01/06/2012

[10] – Google: Google stats reveal mobile's impact on business, 21/05/2012

[11] – Venturebeat: Don’t shoot the BBM, 24/05/2012

[12] – MyBroadband, South Africa: Why BlackBerry is “cool” in South Africa, 30/05/2012

[13] – NY Times Blog: Text Messaging Is in Decline in Some Countries, 01/01/2012


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http://techcrunch.com/2012/05/31/rebtel-hits-the-ipad/



http://articles.economictimes.indiatimes.com/2012-06-01/news/31959387_1_skype-users-microsoft-s-skype-tony-bates

http://www.mysocialagency.com/mobile-apps/google-stats-reveal-mobile-s-impact-on-business



http://venturebeat.com/2012/05/24/rim-bbm-licensing/

http://venturebeat.com/2012/05/24/rim-bbm-licensing/

http://mybroadband.co.za/news/cellular/51153-why-blackberry-is-cool-in-south-africa.html



http://bits.blogs.nytimes.com/2012/01/01/text-messaging-is-in-decline-in-some-countries/

http://bits.blogs.nytimes.com/2012/01/01/text-messaging-is-in-decline-in-some-countries/

References #3

[14] – Rethink Wireless: SMS scarcely feeling the heat from over-the-top, 30/05/12

[15] – Berry Review: RIM Talks BlackBerry Messenger Growth Numbers, 11/08/2011

[16] – TechCrunch: Vibergrowth, 13/02/2012

[17] – Skype Numerology Blog

[18] – Fring facts

[19] – TNW: WhatsApp founder to operators: We’re no SMS-killer, we get people hooked on data, 04/04/2012


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http://www.rethink-wireless.com/2012/05/30/sms-scarcely-feeling-heat-over-the-top.htm







http://www.berryreview.com/2011/08/11/rim-talks-blackberry-messenger-growth-numbers/



http://techcrunch.com/2012/02/13/vibergrowth-50-million-users-150-million-calls-and-nearly-a-billion-text-messages-per-month/

http://techcrunch.com/2012/02/13/vibergrowth-50-million-users-150-million-calls-and-nearly-a-billion-text-messages-per-month/

http://skypenumerology.blogspot.co.uk/

http://skypenumerology.blogspot.co.uk/

http://info.fring.com/newsroom/fring-facts/



http://thenextweb.com/mobile/2012/04/04/whatsapp-founder-to-operators-were-no-sms-killer-we-get-people-hooked-on-data/





Further Reading

Alan Quayle: Reviewing the History of Instant Messaging and What it Means to Over The Top Providers Today, 22/05/2012

Dean Bubley and Martin Geddes: Introduction to Telco-OTT Services, May 2012

GigaOm: Why mobile must solve its data dilemma – or die, 06/06/2012


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http://www.alanquayle.com/blog/2012/05/reviewing-the-history-of-insta.html

http://www.alanquayle.com/blog/2012/05/reviewing-the-history-of-insta.html

http://www.scribd.com/doc/92351310/Introduction-to-Telco-OTT-Disruptive-Analysis-Ltd-and-Martin-Geddes-Consulting-Ltd



http://gigaom.com/europe/why-mobile-must-solve-its-data-dilemma-or-die/






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