Reportbuyer: Wireless Data Drives High Growth in U.S. Telecommunications Industry, says New Report
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[March 20, 2008]

Reportbuyer: Wireless Data Drives High Growth in U.S. Telecommunications Industry, says New Report

(M2 PressWIRE Via Thomson Dialog NewsEdge)
RDATE:20032008

Report Buyer, the online destination for business intelligence for
major industry sectors, has added a new report showing that during
2007, total revenue for the U.S. telecommunications industry grew by
around 8% to reach over $1 trillion.

"2008 USA - Telecoms, Wireless and Broadband", which is available at
http://www.reportbuyer.com/go/BUD00248, reports that telecom service
revenues reached $458 billion, of which wireless service revenue
accounted for approximately 31%.

The study shows that the number of traditional fixed line customers
continued to drop sharply during 2007, with Verizon and AT&T both
reporting declines of around 10% in residential wireline accounts. The
growth in VoIP was a major contributor to this decline, in particular
cable VoIP, with subscriber growth rates around 75%.

Thus the Regional Bell Operating Companies (RBOCs) continued to focus
on their fibre deployments in response to increasing competition from
the Multi System Operators' (MSOs') VoIP and triple play offerings.

State-by-state video franchising reform continued apace, thus
facilitating the deployment by the RBOCs of Internet Protocol TV (IPTV)
on their expanding fibre networks. By late 2007 FttH deployments in the
US were growing at over 110% per annum.

Authors of the report say total broadband subscribers continued to grow
solidly, although in terms of broadband penetration, the US continued
to edge towards the bottom half of the OECD tables.

They further note that broadband DSL subscriber growth continued to
outpace cable subscriber growth, though cable still leads in terms of
market share. However, with the telcos aggressively deploying fibre
networks, the telcos will soon overtake the cable companies in terms of
broadband market share.

The analysis shows that whilst WiFi was becoming increasingly
commonplace in the USA during 2007, with a burgeoning hotspot network,
laptops being automatically equipped with WiFi cards and WiFi moving
beyond the laptop, nevertheless doubts were being raised over the
viability of municipal WiFi programs following the difficulties
experienced in cities such as San Francisco, Chicago and Philadelphia.

The authors note that wireless data revenues continued to enjoy strong
growth in 2007, underpinned by robust wireless data revenue growth.
Thus while overall voice Average Revenue Per User (ARPU) decreased
during the third quarter of 2007, data ARPU sustained a steady incline.
By late 2007 data service revenues accounted for approximately 18% of
total wireless service revenues, up from around 4% in 2004.

Significantly, the majority of wireless data revenues were being
generated by non-messaging applications and services such as music
downloads, mobile TV, video blogs and Internet-accessed entertainment
services.

"2008 USA - Telecoms, Wireless and Broadband" is available from Report
Buyer. For more information go to:
http://www.reportbuyer.com/telecoms/country_overviews_telecommunications
/2008_usa_telecoms_wireless_broadband.html

Report Buyer product ID: BUD00248

About Report Buyer.

Report Buyer is a UK-based independent online store supplying business
information. The website now carries over 50,000 business information
products, including market reports, studies, books and events.
Subscribers receive a free monthly newsletter and email alerts on new
titles in their areas of interest. A regularly updated blog provides
information on the latest market trends.

CONTACT: Report Buyer
e-mail: press@reportbuyer.com

((M2 Communications Ltd disclaims all liability for information
provided within M2 PressWIRE. Data supplied by named party/parties.
Further information on M2 PressWIRE can be obtained at
http://www.presswire.net on the world wide web. Inquiries to
info@m2.com)).

Copyright ? 2008 M2 Communications Ltd.

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