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Insight Research Predicts Healthy Growth for Global Telecom Industry


27/11/2006

Annual service revenues of the global telecommunications industry will reach US$1.3 trillion by the end of next year, according to a report from Insight Research, which predicts continued runaway growth for broadband and wireless.

The research report, entitled “The 2007 Industry Review, an Anthology of Market Facts and Forecasts,” states that wireless revenues will increase by a compounded rate of nearly 10% annually, with various forms of wireless broadband leading the way.

Wireline revenues, meanwhile will grow at a much more modest annual rate of around 2%, as narrowband fixed-line services continue their gradual decline, and broadband phone and internet offerings steadily increase in popularity.

Overall, “the telecommunications industry has fully recovered from the malaise of the past few years and is again in a growth mode as it ramps up to build the broadband networks that will provide new service types,” according to Robert Rosenberg, the president of Insight Research. “But even with the build-outs going full steam ahead, the overall revenue contribution from these new IP services is expected to be modest. Voice still rules, and will for some time to come.”

By the year 2011, Insight predicts global telecom revenues of around US$1.56 trillion, representing a compounded annual growth rate of 5.9%, when compared with 2005 numbers.



 

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