Skip to main content

Chairman and Founder of Activatel Philippe Reinbold discusses the importance of wholesale voice to the mobile ecosystem, ‘the unsung hero’ of client engagment – and why that’s set to change. 

At Activatel, with our 19 years of experience in the voice industry, we’ve watched the telecommunications landscape evolve rapidly. New technologies like RCS and mobile data often steal the spotlight, whether at industry conferences or in publications. However, it’s crucial to acknowledge that traditional services like voice and SMS continue to be the backbone of client engagement, driving substantial revenue and offering unparalleled reliability.

Voice: The Steady Revenue Generator

Globally, the revenue from voice services remains high, contributing nearly USD 300 billion annually to the coffers of mobile network operators. This figure underscores the enduring relevance of voice in a world where digital transformation is the buzzword – voice, after all, has been around since 1876, making SMS at just 32 years old look positively youthful! While mobile data and innovative messaging platforms like RCS capture much of the industry’s attention, it’s voice that consistently proves its worth in terms of both revenue and user engagement.

The Heavy Lifters in Client Engagement

Voice and SMS are often the unsung heroes when it comes to business communication. These channels are not just about making or receiving calls and texts; they are critical for customer service, marketing campaigns, and maintaining direct, personal connections with clients. They do a lot of the heavy lifting in client engagement, ensuring that businesses can reach their customers in ways that are both immediate and impactful.

Voice in the Business Messaging World

Even among the giants of business messaging, voice retains significant importance. Take Sinch, for example, one of the world’s leading cloud communications companies. In 2023, Sinch’s financials revealed that voice-related activities were more profitable than their messaging services, highlighting the lucrative nature of voice in the enterprise sector. This demonstrates that even in a tech-driven environment, voice is not just surviving; it’s thriving.

Another testament to voice’s value is the acquisition of Peerless Network by Infobip. In 2021, Infobip purchased Peerless Network, a leading provider of carrier-grade voice services based in Chicago, for approximately USD 225 million. This move not only expanded Infobip’s voice capabilities but also underscored the strategic importance of voice in enhancing global client engagement strategies.

Activatel: An Active Member of the Community

With 19 years in the voice sector, Activatel knows a thing or two about the nuances and potential of voice services. As a proud member of the Mobile Ecosystem Forum (MEF), which boasts over 200 members, we’ve noticed a disproportionate focus on SMS and RCS. While these are indeed important, there isn’t a lot of dialogue around voice considering its global financial impact and, ultimately, operational necessity. The same actually goes for email too…

The Challenges: OTT Channels and Voice Revenue

However, while voice is thriving in many places, it faces strong headwinds from Over-The-Top (OTT) channels like WhatsApp. These platforms, offering free or low-cost voice services over data networks, are significantly impacting the traditional voice revenues of mobile operators and other industry stakeholders. This shift challenges the industry to innovate and adapt, ensuring voice services remain competitive and relevant.

Why Voice Matters

Voice services provide a level of personal interaction that newer digital channels struggle to match. They are crucial for scenarios requiring real-time interaction, like customer support calls, where the human touch can significantly influence customer satisfaction and loyalty. Additionally, voice remains a critical component for businesses in regions where data services might be less reliable or accessible.

In Conclusion

While the industry might be enamoured with the latest in digital communication, the world of wholesale voice at Activatel tells a different story – one of stability, significant revenue generation, and indispensable utility in global client engagement. We advocate for a balanced appreciation of all communication channels, ensuring that voice gets the recognition it deserves not just for its historical contributions but for its continued relevance in our increasingly connected world.

At Activatel, with our deep understanding and extensive experience, we’re committed to ensuring that voice remains a central part of the conversation in the evolving telecommunications world. If you’re interested in learning more about Activatel’s Wholesale voice capabilities, feel free to contact our Sales Director Franck Noutcha directly at franck@activatel.com!

Philippe Reinbold

Chairman and Founder of Activatel

Join The Discussion

MEF