Friday, July 2, 2010

Should Fixed-Line Providers Go "Over the Top"?

Now that residential voice and Internet services are no longer tied to a physical household, fixed-line operators can (and should) customize services for individual members of a household and compete on a nationwide basis versus a specific fixed territory,” says Diane Myers, Infonetics Research directing analyst.

The decline of traditional fixed-line voice service and the rise of broadband access, video, and mobile data is speeding up, and PC-based mobile broadband subscribers will surpass all other types of Internet access subscribers by 2013. Under such conditions, where some companies compete without regard to geography, firms that remain location-bound will be at a disadvantage, Myers seems to conclude.

In 2009, 70 percent of all North American voice subscribers were mobile; by 2014, that number will grow as an increasing number of consumers go mobile-only.

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