Skip to main content

Broadband Value-Added Services Upside

By 2012, close to 33 million U.S. households will have broadband services with speeds of 10 Mbps or higher, capable of streaming high-definition video, according to the latest Parks Associates North American Broadband Market Update.

At year-end 2007, 5.7 million, or 9 percent of U.S. broadband households, had such speeds.

"Until recently, telecom operators' aggressive deployment of deep fiber services and the competitive reaction from cable MSOs fueled the growth of high-bandwidth broadband services," said Yuanzhe (Michael) Cai, Director of Broadband and Gaming, Parks Associates.

"As consumer excitement over pure bandwidth subsides, however, service providers will have to deliver appealing, bandwidth-intensive, value-added services such as HD video streaming and content place-shifting in order to retain customers and increase ARPU."

Investment in new broadband technologies such as FTTx and DOCSIS 3.0 and the growing breadth of broadband entertainment content are key market drivers. However, service providers' missteps in bandwidth management practices, uncertainty around network neutrality, and the contentious relationship between facility-based broadband service providers and over-the-top Internet companies may slow progress.

"If high-bandwidth broadband services fail to reach mass-market consumers, the United States may lose its competitive edge in the next round of technology innovation," Cai said. "Such a scenario would be unpleasant."

North American Broadband Market Update highlights current broadband market conditions, analyzes significant events impacting future development, addresses the outlook for fiber and other alternative access methods, examines the market potential of value-added services, profiles consumer perspectives regarding broadband and value-added services, and forecasts future growth.

Popular posts from this blog

Digital Transformation Investment at $3.4 Trillion

Business technology leadership matters. Across the globe, more leaders have been pursuing bold Digital Transformation (DX) initiatives with the goal of creating new sources of business value through digital products, services, and experiences. As an additional benefit, the COVID-19 pandemic revealed that digital transformation efforts improve an organization's resilience against global market disruptions. Global DX investment is forecast to reach $3.4 trillion in 2026 with a five-year compound annual growth rate (CAGR) of 16.3 percent, according to the latest worldwide market study by International Data Corporation (IDC). Digital Transformation Market Development "Despite strong headwinds from global supply chain constraints, soaring inflation, political uncertainty, and an impending recession, investment in digital transformation is expected to remain robust," said Craig Simpson, senior research manager at IDC . The benefits of investing in DX technology -- including aut

Artificial Intelligence for National Border Security

National border protection agencies are under pressure to provide the highest level of security in the face of growing threats, such as increasing illegal migration and international terrorism. Now, government agencies are embracing advanced border security technologies to aid in effectively and reliably securing national borders. These solutions look to detect and identify potential threats and prevent them from escalating to a point that may jeopardize security. Security Surveillance Market Development Traditional border security patrols and Closed-circuit Television (CCTV) surveillance systems aren't adequate protection, and agencies must increasingly deploy new solutions to stay ahead of criminals and other potential threats to ensure the safety of a country’s borders. According to the latest market study by Juniper Research, the value of the border security technology market will exceed $70 billion globally in 2027 -- that's rising from $48 billion in 2022. Growing by 47 p

How to Apply Sustainability to Drive Value Creation

Global climate change policy initiatives have been an emerging topic for CEOs and their leadership teams, as they look to the future. Many organizations are preparing to play their part and help reduce carbon emissions. Eighty-seven percent of business leaders expect to increase their organization’s investment in sustainability over the next two years, according to the latest worldwide market study by Gartner. Customers are the stakeholder group creating pressure for these organizations to invest or act on sustainability issues -- selected by 80 percent of executives, followed by investors (60 percent) and regulators (55 percent). Sustainability Market Development "Sustainability enables businesses to cope with disruption," said Kristin Moyer, VP analyst at Gartner . "Economic uncertainty, geopolitical conflict and escalating materials and energy costs are forcing businesses to reexamine all forms of expenditure." According to Gartner, this focus on essentialism --