What is OTT and Why Smartphone Users Should Care

Posted by Erica Berry on Apr 19, 2013

Remember how recently at Mobile World Congress we launched Voxox For Operators, a program that empowers operators and other service providers to economically deliver the industry’s most comprehensive suite of Rich Communication Services (RCS) and Over-The-Top (OTT) cloud applications and features to their customers? Well, we thought we'd get a bit more into this topic by talking about what OTT is and why it's important.

OTT refers to "over-the-top" apps and services, such as Voxox for iPhone, that you can use over the network of your cellular service provider to make cheaper and free voice calls, send and receive text messages, and other features. Sounds like a good deal, right? Well it is... for consumers!

OTT Image Source: Flickr user Ed Yourdon When consumers use OTT services over their carrier's network, the carrier is left out of the equation and not collecting revenue for those calls and texts. Our new Voxox For Operators Program lets operators get back in the game by enabling them to also deliver the features users love about OTT services, such as free and cheap calling, texting, voicemail transcription, etc. under their own brand. It's a win-win!

To give you a little more insight into just how big the OTT market is, we put together these stats from across the web...

  • The total number of OTT users on smartphones in the world is projected to rise from an estimated 276.8 million in 2012 to 1.32 billion in 2016. (MobileSquared, August 2012)
  • 42% of operators believe over 40% of their customer base will be using OTT services in 2016. (Tyntec, August 2012)
  • 48% of operators believe generating revenue from OTT services is possible. (Tyntec, August 2012)
  • OTT communications will generate mobile termination and interconnection fees for mobile operators amounting to $3.7 billion in 2012 and rising to $8.4 billion in 2016. (Tyntec, August 2012)

Now, go share your new-found geek knowledge with your friends... you just might impress them with these stats! Want to download Voxox or still have questions about OTT? Post your questions and comments in the comments below or connect with us on our social media sites -- Twitter and Facebook.

Get Voxox for iPhone Free

Tags: Industry Trends, Voxox, VoIP, SMS, OTT