gateway Archives — LIRNEasia


Skype is eating telco’s lunch

Posted on January 10, 2012  /  1 Comments

The awaited end of rapacious money making from international calls is nigh, according to Telegeography. International long distance traffic growth is slowing rapidly. According to new data from TeleGeography, international long distance traffic grew four percent in 2011, to 438 billion minutes. This growth rate was less than one-third of the industry’s long-run historical average of 13 percent annual growth. Because telcos must rely on strong volume growth to offset inevitable price declines, slowing traffic growth is making life ever more difficult for international service providers.