STRATEGY ANALYTICS: France Telecom Downplays the Need for Speed
Posted on: Wednesday, 1 February 2006, 12:00 CST
Following France Telecom's recent announcement of an expected 2005 revenue shortfall, Strategy Analytics today published, "France Telecom Targets FMC and Downplays Need for Speed as VoIP and LLU Threaten Growth," highlighting the wider implications for the telecom industry.
The key reasons for the expected France Telecom revenue shortfall are rapid growth in competitors' unbundling local loops and VoIP subscriber numbers. The company is now downplaying the importance of investing in next generation FTTH and VDSL2 technologies, which are so heavily promoted by telecom vendors such as Alcatel, Ericsson, and Siemens.
"France Telecom's caution over high-speed Internet suggests that telecom vendors will struggle to meet sales targets with some incumbents," says Senior Analyst Martin Olausson. "If other markets develop similar competitive profiles to the advanced French market, telecom operators, such as BT and Deutsche Telekom, may come under similar pressure to re-state their previously announced Next Generation Network plans."
About Strategy Analytics
Strategy Analytics, Inc. - a global research and consulting firm - provides timely insights and strategic business solutions to companies operating at the convergence of information, communications and entertainment technologies. With worldwide headquarters in Boston, MA. and principal offices in England, France and Germany, Strategy Analytics focuses on market opportunities and challenges in the areas of Automotive Electronics & Multimedia, Digital Consumer, Wireless Strategies and Enabling Technologies. For more information, see www.strategyanalytics.com
Source: Business Wire
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