Fixed Mobile Convergence (FMC) involves the convergence of networks, devices, services and content. For telcos with fixed-line assets, it could offer bundling of services with its traditional mobile service such as
-Discounted packages for fixed broadband and Pay TV services for existing mobile subs
-Single bill for multiple services, and partnerships with OTT service providers to offer music and video streaming services.
By leveraging on convergence, telcos could potentially increase their share of each customer?s spending, reduce churn, save on future subs acquisition costs and gain market share.
Key drivers for FMC are Larger addressable subs base to cross and upsell, lowers churn due to bundling, Sharing of infrastructure (billing, IT, etc.), better positioned to monetize Pay TV contents, fixed-line investments to improve mobile backhaul and WiFi network and Partnership with OTT video providers.
