Skip to main content

Transitioning to the Next-Generation Services

Legacy telecom services -- like frame relay, leased line, and ATM -- over the wide area network (WAN) continue to provide the U.S. professional services, finance and insurance, government, and healthcare vertical segments with a reliable, manageable communications infrastructure.

However, it is evident that these sectors see the benefit to transitioning to next-generation (NGN) services, according to the latest market study by In-Stat. NGN services are defined as IP/MPLS and Ethernet services, the high-tech market research firm says.

"Although these vertical industries are seeking similar goals, the individual motivations and concerns over migration vary by priority and importance," says Steve Hansen, In-Stat analyst.

"From the perspective of the service provider, understanding the migration profiles of each specific vertical can provide insight into how services should be packaged and marketed to that specific sector."

The In-Stat research covers the U.S. market for NGN services in four vertical market sectors: professional services, finance and insurance, government, and healthcare.

It provides analysis of an In-Stat survey of U.S. businesses regarding NGN services conducted in March 2008. It includes profiles of each market sector, outlining their motivations for migrating to NGN services and their concerns regarding migration.

In-Stat's market study found the following:

- According to an In-Stat survey, legacy services are still in use in over half of the U.S. organizations within the four vertical segments analyzed (professional services, finance/insurance, healthcare, and government).

- Over 50 percent of these current legacy services users are migrating, or plan to migrate, some/all of these services to other services, such as IP/MPLS and Ethernet.

- NGN connectivity has to be provided in a manner that protects corporate data, reduces overall cost, can service a remote/mobile workforce, and can be recovered after a disaster.

Popular posts from this blog

Trillion-Dollar Smart Power Grid Transformation

The global energy landscape is undergoing a significant transformation. Renewable energy sources like solar and wind are rapidly gaining ground as we transition towards net-zero emissions. However, this transition hinges on a crucial but often overlooked factor: the modernization and expansion of our aging power grids across the globe. For decades the backbone of our electricity delivery system has been largely static. The influx of variable renewable energy sources like solar and wind presents a new challenge. Smart Power Grid Market Development Integrating these resources effectively requires a Smarter, more Responsive grid that can handle fluctuating power generation and efficiently distribute it across vast distances. This is where a new trillion-dollar energy market growth opportunity emerges. According to a recent worldwide market study by ABI Research, global investments in public grid digitalization and transmission network expansion must exceed $4 trillion by 2030 to meet our