Thursday, April 06, 2006

Telecommunications Trends

Convergence Turning Telecom Upside-Down

Telecommunications Trends

Analysts say that growth in broadband data networking revenues is strong in the U.S.; however, it is not robust enough to overcome losses in voice revenues. Both wireless and VoIP are pressuring traditional wireline revenues, and long-distance calling is becoming "irrelevant" because of "any distance" calling plans, according to In-Stat. Gartner says that shifting use of telecommunications, the growth of the Internet and other changes roiling the network landscape collectively spell bad times for telecommunications carriers; companies with flexible business models and the will to innovate pose a big threat to stodgy companies that essentially are "dumb" conduits of data. The regional Bell operating companies will fight the good fight in the short term but the tide against them will become overwhelming in a couple of years when VoIP becomes virtually universally available.

http://ct.itbusinessedge.com/t?ctl=DAD0E1:3C3C204

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