Smartphones provide multiple modes of communication, giving mobile network operators (MNOs) and over-the-top content (OTTs) more options when it comes to offering new services to their customers. This includes the full range of rich communication services (RCS) with chat, content sharing, VoIP, IP video call, file transfer and social presence sharing. According to Wise Guy Reports, the market for RCS is set to grow at a compound annual growth rate (CAGR) of 41.81 percent to 2020.
RCS is an initiative launched by the GSM Association that enables mobile operators to start providing enhanced communication services. It is an IP Multimedia Subsystem (News - Alert) (IMS)-based platform that allows users across any network on any device to communicate using all of the RCS features. The technology can deliver a standard global interoperable system giving handset manufacturers, network operators and application providers a solution that can easily be applied without compatibility issues regardless of region.
According to MarketsandMarkets, the monetary value of the segment is expected to reach to $5.74 billion by 2019. The growth is primarily being driven by the adoption of high-speed broadband, IMS and Long Term Evaluation (LTE (News - Alert)) investments, as well as the competition OTT's are posing to traditional service providers. This has resulted in more operators offering multimedia-based services to address the influence of social networks with services such as customer retention, global interoperability and collaboration.
While the technology provides many benefits, the lack of awareness among organizations about the deployment and usage still remains a challenge. However, the purchase of Jibe Mobile (News - Alert), a company at the forefront of RCS development, by Google has once again placed a spotlight on the service.
Once Google and other players push RCS technology with cloud-based deployment services, it has the potential to be applied more broadly by providing solutions to enterprises and SMBs with greater efficiency. As integrated communication, video services and mobile content administration continue to be part of the new collaborative workforce environment, the convergent and rich communication experience RCS provides will also see more growth.
In addition to Google, some of the other major players in the segment include, Acision, Alcatel-Lucent, Comverse, Ericsson, Genband, Huawei, Interop Technologies, Mavenir Systems (News - Alert), Nokia Solutions and Networks, and SAP.
Although RCS has great potential, the adoption rate is still low globally, with some regions faring better than others. The Asia-Pacific region has the largest adoption rates, followed by Europe, the Americas and the rest of the world.
Edited by Alicia Young