17 May 2011 | Author: C. Tate
Many industry analysts and executives have forecasted a future in which all mobiles services, from voice and video calls to text messaging, will travel over data networks.
This means the traditional ways in which telephone companies have made money could be threatened, should consumers decide to adopt the digital calling revolution.
While it's a situation that has been brewing for a long time, innovations in mobile technology and smart phone capabilities have long since seen users becoming less reliant on their home phone networks - and have seen many traditional telecommunications providers moving into new areas to provide people with comprehensive packages including phone, internet and TV packages.
Now, the industry could be set to see a further integration of services thanks to online calling options.
For instance, services such as Skype allow users to send messages, undertake video conferences and phone calls, all for free. Microsoft's recent buyout of the company for 8.5 billion will probably push the development of this area even further.
"Eventually, everything migrates to a data channel," Verizon Wireless Executive Brian Higgins told the New York Times.
"We're moving away from silos of communication to one where everything is combined together."
The telecommunications industry faces a massive change similar to the one that hit the music industry seven or eight years ago, with the arrival of MP3 downloads. This change has been coming for a while, according to the NYT's Jenna Worthington.
"The telecommunications industry is already in a state of flux as more people disconnect their home telephone lines in favour of cell phones."
"Now the wireless carriers are looking for new ways to make money based on mobile broadband and applications, rather than voice minutes."
Although it's been posited that Microsoft's purchase of Skype is purely to revitalise its reputation by developing Skype-related software for tablets and smartphones, this alliance makes just one of many new competitors in the communication market.
Big names such as Facebook, Google and Apple now provide services that at one time only the traditional telephone companies could provide.
Will calling Skype force change for the telecommunications industry?
Many industry analysts and executives have forecasted a future in which all mobiles services, from voice and video calls to text messaging, will travel over data networks. This means the traditional ways in which telephone companies have made money could be threatened, should consumers decide to adopt the digital calling revolution.
While it's a situation that has been brewing for a long time, innovations in mobile technology and smart phone capabilities have long since seen users becoming less reliant on their home phone networks - and have seen many traditional telecommunications providers moving into new areas to provide people with comprehensive packages including phone, internet and TV packages.
Now, the industry could be set to see a further integration of services thanks to online calling options.
For instance, services such as Skype allow users to send messages, undertake video conferences and phone calls, all for free. Microsoft's recent buyout of the company for 8.5 billion will probably push the development of this area even further.
"Eventually, everything migrates to a data channel," Verizon Wireless Executive Brian Higgins told the New York Times.
"We're moving away from silos of communication to one where everything is combined together."
The telecommunications industry faces a massive change similar to the one that hit the music industry seven or eight years ago, with the arrival of MP3 downloads. This change has been coming for a while, according to the NYT's Jenna Worthington.
"The telecommunications industry is already in a state of flux as more people disconnect their home telephone lines in favour of cell phones."
"Now the wireless carriers are looking for new ways to make money based on mobile broadband and applications, rather than voice minutes."
Although it's been posited that Microsoft's purchase of Skype is purely to revitalise its reputation by developing Skype-related software for tablets and smartphones, this alliance makes just one of many new competitors in the communication market.
Big names such as Facebook, Google and Apple now provide services that at one time only the traditional telephone companies could provide.
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