Big New Drivers in the Asian Telecom Market Include Broadband and IP Services, as...

Sun Dec 9, 2007 10:00pm EST
 
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Big New Drivers in the Asian Telecom Market Include Broadband and IP Services, as Well as Ongoing Growth in the Mobile Sector

DUBLIN, Ireland--(Business Wire)--Research and Markets
(http://www.researchandmarkets.com/reports/c76779) has announced the
addition of 2007 Asia Telecom Statistics and Market Overview Reports
to their offering.

   The 2007 Asia Telecom Statistics and Market Overview Reports,
contains over 680 pages of research and analysis on the telecoms
sector in Asia. Consisting of 4 volumes this research covers 35 Asian
countries, grouped by geographic regions (Central, North, South and
South East) and includes -

   - National and International Infrastructure Issues;

   - Fixed-line forecasts in selected countries;

   - Telecom Investment and Revenue Statistics;

   - Regulatory issues and government policies regarding
infrastructure;

   - Fixed-Line, VSAT, Wireless Local Loop Services;

   - Brief overview of major telecommunications carriers and service
providers.

   - Infrastructure Issues

   - Mobile networks, including Value Added and Next Generation
Services, where relevant

   - Development of Internet services and the growth of broadband
access

   - Leased Lines, ISDN, Frame Relay, ATM

   Through 2006 and into 2007, we have continued to see a generally
strong run of economic growth throughout the Asian region. There
continues to be some anxiety in region, however, with the uncertainty
surrounding oil prices and the likely impact of high oil prices on the
global economy. On a positive note, the giant growth engine that is
China has continued to provide a sustained lift to the economies of
its neighbours. However, if China's economy starts showing signs of
stalling, the impact will certainly be felt right across Asia.

   The region's telecommunications sector was clearly benefiting from
the healthy economic environment. Asia's mobile market has continued
to grow strongly, having passed the one billion subscriber milestone
in late 2006, the market expanded at an annual rate of almost 30% in
2007. 3G mobile services are being rolled out in the major markets,
with the developed markets taking a strong lead. The region's choice
of Internet access continues to rapidly move from dial-up to
broadband;

   The developed economies of Asia are leading the way in the drive
to build out powerful NGNs in the region. In looking at the Asian
telecom market, it is impossible to avoid the impact of China. With
its huge population and strongly developing economy, it is a real
presence in the region. Having become the biggest mobile market in the
world, China was continuing to expand its mobile subscriber base at a
rate of almost 20% per annum. As a consequence, it could claim over
470 million mobile subscribers by April 2007.

   In the meantime, while China has been grabbing the headlines, a
long-time global and regional telecommunications leader in the shape
of Japan has been keenly maintaining its reputation for innovation by
regularly adding value to the telecom market. Its industry leadership
has embraced the application of wireless Internet access, with over 85
million mobile subscribers using either NTT DoCoMo's i-mode (with 48
million) or one of the other proprietary products by mid-2007.

   Asia claims the world's largest regional Internet market. With an
estimated 437 million Internet users (a user penetration of 12%) by
mid-2007, Asia was maintaining its lead over Europe (322 million) and
North America (233 million). Not surprisingly, Internet application in
Asia continued to be led by the developed economies of the region -
Japan, Hong Kong, South Korea, Singapore and Taiwan. This group has
been joined by China. With a user penetration of 10.5%, China had a
massive 137 million Internet users by the start of 2007. (China's
CNNIC reported 162 million users as at June 2007.)

   South Korea was continuing to dominate the area of broadband
Internet access, leading the world and the region with its 84% of
households having a broadband connection by end-2006. The two major
technologies supporting broadband in Asia were DSL and cable modem.
DSL was dominating by a factor of 2 to 1. By March 2007, there were
almost 75 million DSL subscribers and around 39 million cable modem
subscribers across the region.

   Across Asia, as the local economies improve and national
regulators restructure their markets, operators have been facing
increasingly competitive markets. Price cutting continues to be
widespread, the offering of value added services has been expanding
and innovative product promotion and packaging is popular. Working in
such highly competitive markets, the ARPU across the product range has
experienced strong downward pressure, but some equilibrium has been
achieved. In the meantime, with the introduction of 3G services and
other value-added service platforms, some operators have already
seized the opportunity to grow ARPU again. Nevertheless, profit
margins have been falling and operators need to be flexible in a
quickly changing market.

   For the last decade, the investment strategies adopted by telcos
throughout the region have remained relatively cautious. While
obviously still keen to find new markets, operators, often with the
support of equipment suppliers, have been building fresh business
plans to suit the changing market. A case in point was the oversupply
of undersea cable capacity that became apparent three or four years
ago. This had a particularly severe impact on investment plans (and on
the financial viability of companies). As the submarine cable market
rebounds and is once again needing an injection of capital, the
players are expected to adopt a more circumspect approach this time.
At the same time, after a period of sluggish growth, the satellite
segment has also seen a series of new launches and there are signs
that this will continue.

   The Asian region has a wide spectrum of telecommunications and IT
development. Countries can be found at both ends of this development
spectrum. While some of the world's leading developers and
implementers of technology are to be found in Asia, many countries in
the region are still in the early stages of their information
technology and telecommunications adoption. There is, nevertheless, a
consistently strong awareness of the importance of telecommunications
and information being demonstrated right across the region. The
commercial significance of telecommunications is well recognised and,
at the same time, the potential contribution to the social and
cultural wellbeing of nations is also well appreciated. As a
consequence, the growth potential in the Asian market remains
extremely high.

   In 2007, the Asian telecom market was estimated to be worth around
US$350 billion. The big new drivers in the market are broadband and IP
services, as well as ongoing growth in the mobile sector, particularly
as more and more value-added services come into play. NGNs are also
being rolled out by the regional heavyweights, with the inevitable
strong move into triple play services on the back of the NGNs.

   Compilation of the 4 Telecom Statistics and Market Overview
reports for each region Central, North, South and South East:

   Central Asian Telecom Statistics and Market Overview

   North Asian Telecom Statistics and Market Overview

   South Asian Telecom Statistics and Market Overview

   South East Asian Telecom Statistics and Market Overview

   For more information visit
here

Research and Markets
Laura Wood
Senior Manager
Fax: +353 1 4100 980
press@researchandmarkets.com

Copyright Business Wire 2007

 

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