The impact of coronavirus on the international travel industry could result in network operators losing over USD 25 billion in revenues over the next 9 months, according to a report from Juniper Research. Under the more likely high impact scenario, over 650 million passenger trips will be cancelled due to the pandemic before the end of the year, affecting over half of all roaming revenue for the period.
The report also highlighted the months of June, July and August as of particular significance in view of the high demand for international travel. It forecast that operators could lose up to USD 12 billion in roaming revenues in those 3 months alone.
Although global roaming revenue only accounts for around 6 percent of total operator-billed revenue per year, Juniper said there are no strategies available to operators to mitigate the loss. Services such as virtual conferencing that offer businesses an alternative to international travel offer no benefit to operators, meaning lost roaming revenue is unlikely to be recovered.
