Juniper Research: Apple’s RCS Support to Grow RCS Business Messaging Revenue by 500% Globally in Two Years

January 08, 2024 at 02:00 AM EST

A new study from Juniper Research, the foremost experts in telecommunications markets, has found global operator revenue from RCS (Rich Communication Services) business messaging traffic will grow from $1.3 billion in 2023, to $8 billion in 2025. This substantial growth will be largely driven by Apple’s announced support of RCS technology in late 2024.

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Apple to Drive RBM Active User Growth

Apple’s entrance into the market, with support over iOS devices, will grow the number of active users by 900 million over the next two years; reaching 2.1 billion active users globally. The report predicted this will increase the value proposition of RBM (RCS Business Messaging) amongst enterprises. In turn, this will encourage more operators to roll out the technology over their networks, attracted by the significant growth in RBM termination revenue.

RBM Will Combat Threats from OTT Messaging Apps

Additionally, the research anticipated RCS will become a key technology for operators in the business messaging ecosystem, given the high levels of fraud affecting the SMS business messaging sector. It predicted that the launch of RCS will enable operators to retain business messaging traffic over telecoms networks, as SMS adoption slows, and OTT business messaging channels continue to experience significant growth.

Research author Molly Gatford noted: “For the first time, the value of SMS is being questioned by enterprises. Operators must act quickly if SMS fraud and high prices cannot be resolved. Apple’s introduction raises the profile of RCS, a technology that has historically been hindered by a lack of support, and can become a substitute for SMS business messaging traffic.”

About the Research Suite

The new research suite offers the most comprehensive assessment of the A2P messaging market to date, including market analysis and in-depth forecasts for 60 countries. The dataset contains over 72,000 market statistics within a five-year period. It includes a ‘Competitor Leaderboard’ and ‘Country Readiness Index’.

Juniper Research has, for two decades, provided market intelligence and advisory services to the global telecommunications sector, and is retained by many of the world’s leading network operators and communications platforms.