Fixed-mobile convergence (FMC) revenues will reach $80 billion in 2009, or 6 percent of total communications spend worldwide, according to a new Pyramid Research report. The report credits converged service revenue growth to value-added services and the migration of digital content from broadcasting networks to new converged networks. Pyramid expects converged services adoption to accelerate only after 2007, as more consumers are migrated to convergent platforms. "Key drivers of FMC include fixed-mobile substitution, industry consolidation, and strong uptake of VoIP services" said Pyramid Research analyst Svetlana Issaeva. End-users in the traditional fixed and Internet access segments will continue to spend less, as competition puts downward pressure on prices and subscribers trickle away to mobile networks. Fixed providers are most keenly aware of these trends as fixed-mobile substitution slowly gains ground. For them, a prompt launch of FMC networks promises to cut CAPEX and OPEX, and offers an arsenal of new value-added services that will improve loyalty and increase revenues.
The BaaS model has been adopted across a wide range of industries due to its ability to streamline financial processes for non-banks and foster innovation. BaaS has several industry-specific use cases, where it creates new revenue streams. Banking as a Service (BaaS) is rapidly emerging as a growth market, allowing non-bank businesses to integrate banking services into their core products and online platforms. As defined by Juniper Research, BaaS is "the delivery and integration of digital banking services by licensed banks, directly into the products of non-banking businesses, commonly through the use of APIs." BaaS Market Development The core idea is that licensed banks can rent out their regulated financial infrastructure through Application Programming Interfaces (APIs) to third-party Fintechs and other interested companies. This enables those organizations to offer banking capabilities like payment processing, account management, and debit or credit card issuance without