Service providers can attain greater average revenue per user (ARPU) growth by enhancing existing voice, data and video services, and through bundling services and expanding the overall broadband customer base, reports In-Stat. The excitement around IP Multimedia Subsystem (IMS) is based on the premise that an intelligent, converged network will open up market opportunities for many new services and applications, the high-tech market research firm says. Home networking plays a fundamental role in these emerging markets.
"Service providers need to acknowledge that Internet content is permanently changing consumers' views on content value and pricing," says Keith Nissen, In-Stat analyst."With regard to converged applications, providers need to understandthat consumers will not pay twice for the same content, or duplicativeservices. Consumers will not necessarily pay extra for convergence hat does not offer greater convenience and value."
Recent research by In-Stat found the following:
- Home networks will be a hybrid of wireless, Ethernet, telephone and coax cabling.
- Home networking-related services in the US will generate up to $1.4 billion for service providers in 2007, growing to $3.5 billion in 2011.
- By 2011, home-networking services will add only $4 to monthly ARPU.
The research, "Consumer Converged Services: Opportunities for Service Providers", examines the development of the home networking market and assesses the revenue opportunities available to network service providers. For more information on this research or to purchase it online, please visit: http://email.in-stat.com/cgi-bin4/DM/y/e7Eb0HWMdu0K560FEYM0An