US Wireline Market in Decline: Research and Markets
Traditional wireline service revenues in the US remains on an overall negative trend, said market research firm Research and Markets. Revenue shrinkage is primarily due to reduced consumer voice service spending. Business voice services also show negative growth, but not as much as consumer voice services. Long-distance revenues are decreasing at a much faster pace than local-service revenues, as many users rely on their wireless service for long-distance calls. Growth in broadband wireline revenues remain robust, particularly in the DSL and cable modem arenas, but are not sufficient enough to offset the overall negative trend, said the firm.
According to Research and Markets, the dynamics of wireline service are changing, which also contributes to increasing pressure on revenue streams. These changes in the market dynamics also create new revenue opportunities for service providers, including managed services, IP telephony, as well as QoS and SLA offerings. To take advantage of these opportunities, service providers will need to either acquire resources to provide a wide range of services in order to avoid reliance upon shrinking individual service silos, or develop strategic relationships and partnerships, the firm said.