Communications Crossroads - Fall 2008 - (Page 9)

TELCO/IPTV HOUSEHOLDS NOW 14 MILLION WORLDWIDE Worldwide households with telco/IPTV services grew from 4.7 million in 2006 to more than 14 million in 2007, according to a new white paper by Parks Associates. Europe experienced a growth rate of 250 percent between 2006 and 2007 for telco/IPTV services, deﬁned as landlinebased multichannel and on-demand video services provided by a telephone operator. Parks notes, though, that IPTV is part of a crowded market, and competition will be intense. (See chart at right.) Home Networking Growth: Millions of Households: 2006-2008 70 Households with a Data Network(#M) 60 50 40 30 20 10 0 North America (#M) Europe (#M) Asia-Pacific (#M) 2006 2007 2008 Source: Europe: Home Network Update © 2008 Parks Associates REDUCE CHURN BY TARGETING CONSUMERS WHO ARE MOVING A new Verizon program is helping the company combat customer churn by targeting homeowners before they move. According to USPS.com research, people planning to move will use the ﬁrst provider they hear from—regardless of how satisﬁed they may be with their current provider. Verizon is sending homeowners a ‘PreMovers Savings Guide’ 30-60 days before they move, which showcases the company’s services but also includes a moving checklist and discounts for other businesses like Home Depot and Sherwin Williams. IDR/ Quattro Direct, who developed the guide for Verizon, says that two-thirds of homeowners made 75 percent or more of their major purchasing decisions before they moved in, so getting in before they move is vital. SURVEY SHOWS MIXED PREDICTIONS ON ‘END OF THE INTERNET’ In a survey taken by Tellabs at NXTcomm08, half of respondents said bandwidth demands would eventually ‘break the Internet,’ and the other half said it wouldn’t. Even more dramatically, of the 51 percent who see trouble ahead, a quarter thought the problems would come within two years. Other results: • Network operators are more concerned about being green, with 69 percent saying energy consumption is more important than circuit costs; • Nearly half believe video makes up almost a third of overall Internet trafﬁc, and 40 percent expect that to increase to up to 75 percent in ﬁve years; • Respondents were split on how to handle Internet congestion, with a third suggesting prioritizing trafﬁc with packet inspection and a quarter recommending charging more for excess bandwidth use. (www.tellabs.com) Fall 2008 COMMUNICATIONS CROSSROADS 9 http://USPS.com http://www.tellabs.com

Table of Contents Feed for the Digital Edition of Communications Crossroads - Fall 2008

Communications Crossroads - Fall 2008 Up Front Contents TeleBites The Urge to Merge The 700 MHZ Auction: Results and Speculation Industry Calendar Advertisers DotCom Index to Advertisers People Straight Talk

Communications Crossroads - Fall 2008

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