A new study by Juniper Research predicts that the market for Rich Communication Services (RCS) in business messaging will grow significantly. The research predicts that global operator revenue from RCS business messaging traffic will increase from $1.3 billion in 2023 to $8 billion in 2025.
Apple’s announced support for RCS technology in late 2024 is expected to be a major driver of this growth. The number of active RCS users is projected to grow by 900 million over the next two years, reaching 2.1 billion globally.
The study shows that the rise in RBM termination revenue will likely lead more operators to adopt RCS. RCS is also expected to play an important role for operators in business messaging, especially because the SMS business messaging sector faces high levels of fraud.
Juniper Research predicts that RCS could help telecom operators keep more business messaging traffic on their networks. This is important as SMS usage is declining, and over-the-top (OTT) messaging channels are becoming more popular.
Research author Molly Gatford commented on the findings, stating,
“For the first time, the value of SMS is being questioned by enterprises. Operators must act quickly if SMS fraud and high prices cannot be resolved.”
This was seen at Apple World Today.