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Skype, VoIP taking business away from carriers

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Skype is the largest international voice provider in the world, according to new research from TeleGeography.

In a new blog titled "The bell tolls for telcos?," the analysis firm estimates that cross-border Skype-to-Skype voice and video traffic grew 44 percent in 2012 to 167 billion minutes. To put the figure into perspective, this increase is more than twice that achieved by all international carriers in the world combined.

Indeed, adding Skype's traffic to the volume of international phone calls would have seen international voice traffic grow 13 percent in 2012, which is in line with historical trends.

In comparison, international phone traffic growth is slowing, highlighting the cannibalization by Skype and other VoIP offerings. This declining growth for carriers does mean that they will have an even smaller slice of the pie to offset price declines over time.

Despite its tremendous growth, the bigger picture for enterprises is not so much about Skype, but about the effect that voice and messaging applications can add to an organization's bottom line. A sustained strategy on this front makes sense, as companies expand overseas, or substitute overseas trips with voice and video calls.

For more:
- check out this article at TeleGeography
- check out this article at GigaOM

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