[January 05, 2006] Level 3 Consumer Research Study Finds VoIP Awareness on the Rise Tweet Study Shows New Promotions Help Speed Demand For VoIP LAS VEGAS, January 4, 2006 ¾ At the pulvermediaTM Consumer VoIP Summit co-located at the 2006 International Consumer Electronics Show, Level 3 Communications (Nasdaq:LVLT) announced the results from its second Voice over Internet Protocol (VoIP) consumer research study. Following the early 2005 completion of a consumer VoIP awareness study which found that VoIP awareness continued to grow, the company has completed phase two of the research focused on identifying what could accelerate consumer adoption of VoIP. “While our research confirmed that VoIP awareness increased from 40 percent in 2004 to 66 percent in 2005, it did uncover that less than half of the respondents consider themselves familiar with VoIP,” said Cynthia Carpenter, vice president of marketing for Level 3. “This highlights that the industry may be creating confusion among consumers, and we need to deliver clear messages about the benefits of VoIP, plus more compelling promotional offers to accelerate adoption.” Level 3’s research found that with new promotions aimed at strongly motivating consumers, VoIP providers could increase interest in switching by 39 percent. Level 3 tested 39 promotional offers and found that only five offers, none of which are currently available in the market, increased interest in switching among survey respondents. The offers that increased purchase interest contained three common elements: first they had a perceived value to consumers of at least $100; second, they included satisfaction guarantees; third, they contained an element to motivate longer-term loyalty. According to Carpenter, “The VoIP market needs to entice consumers who are content with their current service to try something new. To encourage them to switch, far more progressive and innovative promotional offerings – which go beyond discounted prices – are required.” For highlights from the research study, please visit www.level3.com. About Level 3 Communications Level 3 (Nasdaq:LVLT) is an international communications and information services company. The company operates one of the largest Internet backbones in the world, is one of the largest providers of wholesale dial-up service to ISPs in North America and is the primary provider of Internet connectivity for millions of broadband subscribers, through its cable and DSL partners. The company offers a wide range of communications services over its 23,000-mile broadband fiber optic network including Internet Protocol (IP) services, broadband transport and infrastructure services, colocation services, and patented softswitch managed modem and voice services. Level 3 is an industry leader in IP and VoIP services, which it provides to cable operators, ISPs, carriers and others. Level 3’s E-911 service offering includes both fixed location and nomadic VoIP E-911 capabilities, supporting an FCC-compliant E-911 solution for interconnected VoIP providers. The company offers information services through its subsidiary, Software Spectrum, and fiber-optic and satellite video delivery solutions through its subsidiary, Vyvx. For additional information, visit their respective Web sites at www.softwarespectrum.com and www.vyvx.com. The Level 3 logo is a registered service mark of Level 3 Communications, Inc. in the United States and/or other countries. Level 3 services are provided by a wholly owned subsidiary of Level 3 Communications, Inc. Forward-Looking Statement Some of the statements made by Level 3 in this press release are forward-looking in nature. Actual results may differ materially from those projected in forward-looking statements. Level 3 believes that its primary risk factors include, but are not limited to: developing new products and services that meet customer demands and generate acceptable margins; increasing the volume of traffic on Level 3's network; overcoming the softness in the economy given its disproportionate effect on the telecommunications industry; integrating strategic acquisitions; attracting and retaining qualified management and other personnel; successfully completing commercial testing of new technology and information systems to support new products and services, including voice transmission services; ability to meet all of the terms and conditions of our debt obligations; overcoming Software Spectrum's reliance on financial incentives, volume discounts and marketing funds from software publishers; reducing downward pressure of Software Spectrum's margins as a result of the use of volume licensing and maintenance agreements; and reducing rate of price compression on certain of the Company’s existing transport and IP services. Additional information concerning these and other important factors can be found within Level 3’s filings with the Securities and Exchange Commission. Statements in this release should be evaluated in light of these important factors. -30- [ Back To TMCnet.com's Homepage ]