Telecoms in Europe can make some 12 to 20 percent of their total revenue on SMS, and no wonder they were not big fans of an iPhone 5 iOS feature called iMessages.
Apple wants to connect all iOS users and let them talk to each other. This would not be so bad, if this wouldn’t mean that telecoms will lose the SMS and MMS money to Apple. Apple’s basic idea is that you can send unlimited number of messages via WiFi or 3G from iPhone, iPad or iPod to anyone with these devices.
iMessage is built in the Message application and instead of shooting off an SMS you will be able to send an “Apple SMS” and save a few cents on each message. This makes Apple’s case and necessity to become the part of Apple inner circle much better, but will cost telecoms some money.
We are quite sure that telecoms won’t be able to change much, but how knows maybe some brave one might end up blocking the app, at least over its 3G. We expect iOS5 to appear this fall for iPhone 4 and iPhone 5, once the latter launches, which is sometime between August and never if you ask analysts.
Takes the SMS money away
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