25 Jun '12, 11am

Smartphones put writing on the wall for paid texts: The short message service, or SMS, started as a way to us.

Smartphones put writing on the wall for paid texts: The short message service, or SMS, started as a way to us.

Text messaging, the simple telecoms service that turned into a global phenomenon, is under threat from free smartphone services and operators need to find alternative revenue streams, analysts say. The short message service, or SMS, started as a way to use spare telecoms capacity but has become a key cash generator for operators, while offering users a cheap way to keep in touch with friends and family and avoid the expense of voice calls. But the surge in Internet-enabled smartphones in recent years has led to the rise of free voice, video and text messaging applications that are threatening to send SMS into oblivion. According to technology research firm Ovum, SMS contributed about 57 percent of non-voice revenues for telecom companies globally in 2009 but this is projected to fall to 47 percent this year. Ovum estimates the rise of alternative messaging services has sla...

Full article: http://www.mnn.com/green-tech/gadgets-electronics/stories...

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