May 11, 2013
The war for mobile messaging is on
Start-up mobile messaging apps have surged, displacing traditional SMS texts. Silicon Valley titans such as Google and Facebook want in on the action. The Los Angeles Times reports.
... In many countries, consumers have decided they prefer these mobile messaging apps," said Tero Kuittinen, an analyst with mobile diagnostics firm Alekstra.
Now they are taking the U.S. by storm. That's particularly worrisome to wireless carriers that have already lost billions in revenue from customers shifting from text to so-called instant messages such as Apple Inc.'s iMessage service, which each day delivers 2 billion messages free of charge.
But the growing popularity of these mobile apps is not good news for the Silicon Valley tech giants either. Analysts say people use the apps to connect with their closest friends and relatives, creating a new more intimate social network that could rival Facebook Inc. and Google Inc. for the attention of hundreds of millions of users and, eventually, advertising dollars.
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