Tuesday, 06 December 2016

Voicing a new economics

By Javier Martin, Almira Labs
Monday 13 August 12

Voice-based VAS can potentially shift the arc of the traditional economic curve and create a revenue model that leaves no phone behind.

With device costs increasing, healthy appetites for the latest technology, and shorter product lifecycles, it’s harder for carriers to generate profits from ever-narrowing device margins. Tier-1 carriers like Vodafone Spain have dropped device subsidy programs on costly smartphone models like the iPhone. As subscribers continue carrier-hopping to shop for the lowest rates, standard consumer subscriptions no longer drive enough long-term revenue for these cash-strapped operators to fully amortize device technology…

With device costs increasing, healthy appetites for the latest technology, and shorter product lifecycles, it’s harder for carriers to generate profits from ever-narrowing device margins. Tier-1 carriers like Vodafone Spain have dropped device subsidy programs on costly smartphone models like the iPhone. As subscribers continue carrier-hopping to shop for the lowest rates, standard consumer subscriptions no longer drive enough long-term revenue for these cash-strapped operators to fully amortize device technology…

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