VASillating Facts…

VAS : The services apart from the basic voice services like OG & IC which allows the user to personalize & add value by enhancing the mobility & can be subscribed by the user based on their requirement can be defined as VAS… the big tool to build ARPU

VAS is mainly segmented based on content to Infotainment, Entertainment & m-Commerce

Infotainment: The info broadcasted which is intended both for entertainment & information
Entertainment: The broadcast information provided with amusement content or content designed purely for entertainment.
m-Commerce: the commercial transactions which can be done wireless (OTA) using mobile technology & mobiles.


Further the Value Added Services can be classified to Text, Voice, Call Management, Data, and USSD Based.


The foremost troops who have a big say in this are, telecom companies, content providers, technology & solution providers, content copyright owners, IT vendors, aggregators, developers, handset manufacturers, mobile internet, portal providers, short code owners, system integrators, smartcard manufacturers, multimedia providers, financial service providers etc…

As per IAMAI the VAS industry in India is now a 4560cr which is just about 2850cr in 2006 and is anticipated to fold 10- 15times by 2010.

The Total Revenues

The maximum revenue shares are from the entertainment services and can be quantifies as below as per IMRB research

P2P ---------------- 40%

P2A & A2P --------- 15%
Game & Data ------- 7%
Ringtone download- 35%
Others -------------- 7%

The VAS Revenue sharing

P2A & A2P------------- 15%
Copy right Owner ------ 15%
Aggregator n developer- 25%
Operators -------------- 60%
(Telcos take major share as the SMS stands in top when it comes to VAS )

Revenue sharing in Enterprise solutions:

Short Code Owner ------- 30%
Operator --------------- 70%
OTA : Over The Air
P2P : Person to Person, P2A : Person to Application
USSD : Unstructured Supplimentary Services Data
ARPU : Average Revenue Per User per month
OG : Outgoing Calls, IC : Incoming Calls
IAMAI: Internet and Mobile Association of India.

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