CCS Insight expects 3 to buy O2, Twitter to buy Snapchat and Yahoo to purchase Flipboard and Pinterest next year

Analyst predictions for 2014 and beyond

Analyst CCS Insight has predicted the purchase of several major companies in 2014 and the involvement of the European Commission to stop ‘anticompetitive’ bundling tactics in 2015.

Citing 2013 as a year of “massive shake ups” in the telecoms sector, with Microsoft’s purchasing of Nokia and BlackBerry’s withdrawal from a buyout particularly prominent, CEO and founder of CCS Insight Shaun Collins stated that the analyst “expects the trend to continue” in 2014.

As part of “yet more consolidation in the telecoms and technology industry”, the mobile network 3 is predicted to purchase fellow network O2 from its parent company Telefonica in 2014, as Telefonica attempts to reduce its debts.

CCS expects many other major sales to take place over the course of 2014, with Yahoo complementing its purchase of social blogging site Tumblr in 2013 by acquiring Flipboard and Pinterest to “increase engagement and drive revenues by capitalising on mobile advertising”.

Micro-blogging giant Twitter is set to continue growing too, with CCS forecasting that the money raised by the firm’s recent IPO will be used to buy the self-destructing picture messaging service Snapchat.

For retailers, it may be 2015 that brings industry-changing action. CCS suggests that the European Commission may launch an investigation into the bundling of hardware, software and services, such as those adopted by Amazon’s tightly-knit Kindle platform and Apple’s integrated hardware and software packages.

CCS believes that such an investigation would result in the unbundling of the combinations, in order to stop the companies from selling hardware at little-to-no profit before using exclusive software and services to make money.

The “anticompetitive” behaviour would be culled by the EC’s ruling, and may open up the market for smaller retailers and software providers.

Other predictions made by the analyst include the merging of European mobile networks France Telecom and Deutsche Telekom in 2015, the focus of wearable tech on internet consumption and healthcare by 2016, the peak and subsequent decline of public Wi-Fi in 2015, driven by the uptake of 4G mobile internet, and the mainstream adoption of speech-based user interfaces – such as Apple’s Siri – by 2016.

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