Australians increasing use of over-the-top telco services: ACMA

Australians increasing use of over-the-top telco services: ACMA

Summary: The ACMA's communication report for FY2012-13 has said that almost 2 million people use VoIP services from mobile devices.


The Australian Communications and Media Authority (ACMA) has warned that the increasing usage of over-the-top (OTT) communications, such as Skype and Apple's iMessage protocol, is threatening the fixed-line and mobile voice revenues of Australia's telecommunications companies.

In its Communications report for 2012-13 (DOCX), the Australian media regulator said that 4.59 million Australians aged 18 or over make use of VoIP, with 1.06 million people using VoIP on mobile handsets, up 73 percent on last year, and usage of VoIP on tablets growing 150 percent to 966,000 people. Usage of VoIP on desktop computers and laptops was stable, while the use of internet phones and voice box/adaptors decreased.

Take-up of VoIP services by household consumers.
(Image: ACMA)

Putting further pressure on telco revenues, the report said that 3.68 million people with a mobile phone are now without a home fixed-line telephone service, up 18 percent since June 2012.

The report showed the dominance and influence that Telstra is able to exert on the local industry: The Australian telco giant accounted for more customers than the rest of the competition combined. Telstra is able to serve 4.8 million fixed internet customers and 3.6 million mobile broadband customers, while its competitors have approximately 2.9 million customers combined — Optus had just over 1 million fixed internet subscribers at June 2013, iiNet had 840,000, TPG accounted for 671,000 customers, and M2 Group had 412,000 customers.

For mobile customers, Telstra controls 49 percent of the market, Optus is at 31 percent, and Vodafone is at 20 percent. Vodafone's share for the year fell three percentage points, Telstra's share was up three points, and Optus was steady. ACMA said that growth in mobile services was due to the uptake of smartphones, which grew 29 percent to 11.2 million smartphone users in the year to May 2013.

Australians increased their usage of IPTV services for the year by 52 percent, with 7.86 million people using catch-up TV and video-on-demand services.

The report said that by May this year, 14 million Australians had used cloud services, which represented an 11 percent increase on the number of users at May 2012.

Topics: Telcos, Telstra, Australia


Chris started his journalistic adventure in 2006 as the Editor of Builder AU after originally joining CBS as a programmer. After a Canadian sojourn, he returned in 2011 as the Editor of TechRepublic Australia, and is now the Australian Editor of ZDNet.

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  • Okay what is bad about all that?

    Customers are doing what customers have always done, find the best services then switched to them. In many places around the world landline phone use, installation, and the like have decreased. In many countries instead of laying copper wire they are putting up cell towers. They say it is less expensive, more efficient, and has less negative environmental impact.

    In that article this is what I come away with, the landline folks are seeing profits diminish. Yes, to stay in vibrant every company must make a profit, that keeps folks in jobs, helps the economy. However, the global telecommunication market and industry is seeing a major shift away from landline use, most likely a good thing. As history has always shown, either keep up with what is happening or lose relevance.
  • the only reason

    that I have a landline is to get an ADSL internet service. I have used VoIP services for years. Very hard to beat. I pay AU$5.00 / month for 100 calls to landlines in Australia and 30 other countries with effectively no timing of the calls. We call Canada, USA, France, UK and NZ just like we call to the local town and anywhere else in OZ. The rough part is if I exceed 100 calls the price doubles to 10 cents each. I also have to pay for 13 and 1300 numbers so I always look for another number for these services. They often quote a number to use if you are calling from OS so I use that.

    The conventional telcos could offer similar products but they won't. They would rather complain than innovate and give customers what they want. I like the freedom of not having to worry if the call will bankrupt me.