Facebook poses strong competition to mobile operators: Ovum

By siliconindia   |   Wednesday, 23 February 2011, 13:08 IST
Printer Print Email Email
Bangalore: Facebook is shaping up to be a strong competitor to mobile operators that are in danger of underestimating the threat it poses, according to independent telecoms analyst Ovum. In a new report Ovum states that Facebook is much more than a social network and its domain spreads much wider. However operators are being slow to wake up to the extent of Facebook's ambitions. According to Ovum principal analyst, Eden Zoller, Facebook is encroaching directly on mobile operator territory and should not be underestimated. Facebook has come a very long way since it first launched Facebook Mobile in 2006. It is now a force to be reckoned with in mobile with over 200 million users interacting with the service via mobile phone, said Zoller. Facebook has made several moves that have placed it in competition with mobile operators. It has an integration deal with Skype for voice communications and in November 2010 unveiled an email offering. Meanwhile, it is turning increasing attention to location-based services with its Places platform and is pushing into mobile advertising in the shape of the Facebook Deals "check-in" service. Facebook apps dominate app stores across most smartphone operating systems. Despite this competition from Facebook, mobile operators are keen to partner with it, for example by offering easy access to its services and address book integration. It is only by understanding Facebook fully that operators can engage with it effectively, be that on a collaborative or competitive basis, Zoller added.