We survey formal methods as they are applied to the development of communication services. We report on industrial and academic projects, consider different communication architectures and work related to the feature interaction problem. Based on our survey and on extensive discussions with the industry, we investigate important industrial concerns and criticisms about about the use of FMs for the development of communication services. We report on a collaborative project between the Swiss Federal Institute of TEchnology in Lausanne, Swisscom, Alcatel and Thomson in which these industrial concerns have bee taken into account from the very beginning. The results of this project are currently being integrated into and industrial software development platform.