The number of SMS sent in Hong Kong during the Chinese New Year (which began on 31 January) fell by 43 percent compared to the previous year, to 6.572 million, according to the Hong Kong regulator, OFTA.

Tarifica’s Take

This dramatic decrease in SMS traffic during a time in which a disproportionately large number of celebratory message is traditionally sent in Hong Kong is a good indicator that IP-based messaging is fast supplanting cellular-based text messaging. Mobile operators have long been aware that OTT messaging services such as WhatsApp and Skype have been taking their messaging business away by undercutting their prices. The 43 percent figure in Hong Kong, however, reveals just how fast OTT messaging is coming on, at least in this particular affluent, sophisticated Asian market.