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DESPITE SLUMP, MOST TELECOM METRICS CONTINUE GROWING, SAYS INSIGHT RESEARCH
PARSIPPANY, NJ. June 3, 2002: While the telecommunications industry is mired in its worst downturn ever, metrics for many telecommunications services-including local, long distance, Internet, and wireless services-continue to show growth, says a new report from INSIGHT RESEARCH. According to the research study, falling carrier revenue is forcing industry-wide consolidation. Nevertheless, the excess capacity that drove down prices will eventually be consumed, setting up the preconditions for investment in the industry to resume.
According to The Telecommunications Industry & Profitability: A Survival Guide 2002-2007", increasing usage patterns combined with declining revenue are classic signs of over investment, but not of a maturing industry. As has been the case in other industries, the overabundance of network capacity created during the telecommunications boom of the late 1990s will gradually be absorbed, and prices will eventually stabilize.
The number of local broadband subscribers is increasing, wireless companies are still adding new customers, and ISP revenue is growing. If there is a weak spot, it is in the long distance segment," says INSIGHT president Robert Rosenberg. These patterns-growing usage and market price instability-can be found in a growth industry. INSIGHT foresees a return to more rational, if conservative, growth over the forecast period," concluded Rosenberg.
The Telecommunications Industry & Profitability: A Survival Guide 2002-2007" analyzes current industry conditions, while providing helpful strategies to increase profitability. This market analysis study provides background information on fundamental issues, detailed five-year forecasts, and practical strategic advice.
A free report excerpt, table of contents, and ordering information is online at http://www.insight-corp.com/survival.html. This 43-page report is available immediately for $800 (hard copy). Adobe Acrobat (PDF) report licenses are also offered; visit the Web page above or call (973) 605-1400 for details.
For more information, please contact:
Chris G. Delloiacono, Director of Marketing
The Insight Research Corporation
email: chrisd@insight-corp.com
phone: (973) 605-1400, fax: (973) 605-1440
Parsippany, NJ 07054 USA
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