Published on November 8, 2023, 10:32 pm

According to a new report by Juniper Research, future retail roaming revenues of mobile telecoms operators could be at risk due to the rise of competing travel mobility solutions. Despite an estimated annual growth rate of 15% through 2024, the research firm warns that these solutions pose a threat to the operators’ revenues.

Juniper Research predicts that global roaming data revenues will generate over US$10 billion in 2024, up from US$8.6 billion in 2023. However, travel mobility solutions offer an alternative for roaming subscribers to avoid incurring high roaming charges when traveling abroad by adopting temporary local profiles.

The key enabling technology behind this shift is eSIMs (Embedded Universal Integrated Circuit Cards), which are operator-agnostic built-in chips. By 2024, it is expected that more than 1.5 billion smartphones worldwide will leverage eSIMs for cellular connectivity, with this number projected to reach 3.5 billion by 2027.

To capture opportunities in the travel mobility market and mitigate potential revenue losses from roaming charges, Juniper Research recommends that operators launch specific travel mobility services catered towards long-term travelers who wish to avoid such charges or may become permanent roamers.

The company emphasizes the need for user-friendly digital platforms that allow subscribers to self-manage their travel mobility mobile subscriptions in real-time. These platforms should enable users to set up their profiles, manage data allowances, and easily cancel subscriptions without relying on physical SIM cards. This will streamline the process and reduce friction in adopting these services.

In order for operators to stay competitive and maximize revenue potential, Juniper Research advises them to provide travel mobility services directly to subscribers on their network.

With the increasing adoption of eSIMs and rising demand for hassle-free travel connectivity, operators must adapt their strategies and offerings to meet the evolving needs of their customers. The future success of mobile telecoms operators’ retail roaming revenues hinges on their ability to embrace and leverage these emerging travel mobility solutions.

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