TECHNOLOGY SPECTATOR: Five new revenue streams for telcos

With fixed-line revenues on the nose, telcos need to explore new service delivery options and find new channels to keep the cash flowing in.

Technology Spectator

The downward trend in fixed line telephone services continues to chip away at the revenue of telecommunications providers, with data released yesterday showing nearly one in five Australian adults are now without a fixed line home telephone.

The data, from the Australian Communications and Media Authority, shows bundling of fixed, mobile and internet services has been working for telcos, with 43 per cent of households holding two or more services as part of a bundling arrangement.

But just how sustainable the bundling strategy is for the sector is questionable, with 37 per cent of those aged 18-24 having no fixed line telephone at home, and the growing use of smartphones driving that percentage up every year. The number would probably be higher if it wasn’t for the fact that many of these young adults are still living at home with their parents who pay the fixed line phone bills. Just 16 per cent of 18-24-year-olds who live alone have a fixed line phone, according to the ACMA survey.