While Skype is having a clear impact on the international voice business, that this is a small segment for most big telcos. For example, ILD [International Long Distance] accounted for about 1 percent of Verizon’s 2009 revenues, and about 0.7 percent of Telstra’s revenues. That ratio can be higher in some developing countries, but broadband penetration in these countries is also far lower, limiting the near-term impact of Skype on these markets.Of course, Skype isn’t stopping with taking over the long-distance market; it’s also releasing video-chat services over mobiles and televisions, which could soon change the paradigm for most people, who will swap out voice calls with video chats. Our own GigaOM Pro analysts believe that video chats will account for 30 billion calls by 2015 (sub req’d). The net of all this is Skype has managed to undercut a small, but profitable, business for the phone companies, while also boosting the traffic on their networks, thanks to the higher bandwidth requirements for video calls. Related content from GigaOM Pro (sub req’d):
Skype Is Killing It On Long Distance
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