Tag Archive | "VoiP"

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Skype a big fish in the telco sea

Posted on 24 March 2009 by Andreas Vamvatsikos

International voice traffic is on the rise, according to market research companies such as TeleGeography. Cross-border voice traffic increased 14% in 2007 and 12% more in 2008. That amounts to an amazing 384 billion minutes of talk.

But despite all this traffic, voip in general and Skype more specifically have forced prices and margins down and so “old-school” telcos are registering more traffic, but cashing almost the same as they did the year before or maybe even a little less.

On the other hang Skype, only five years since launch is now the largest provider of international voice communications on the planet, controlling the 8% of all traffic of this kind. Free is always nice but even Skype‚Äôs paid-for ‘Skype Out’ service – which lets users make calls to standard telephones – is on the rise , generating 8.4 billion minutes of calls in 2008.

So since the competition in the telco market is becoming more intense on all fronts, old-school providers will have to learn new tricks to stay in the game.

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