More than one fifth of service providers will achieve full ultra-broadband deployment by the end of next year, according to new research conducted by Telecoms.com in partnership with Heavy Reading. That differentiation could propel them to new ownership of new opportunities in customer offerings and operational efficiencies.
Most operators view high-speed broadband as critical or important: Delivering speeds of at least 100Mbps to residential and business customers will be a clear differentiator, according to the "Telecoms.com Annual Industry Survey 2017." In fact, 36% of the 700 service providers polled worldwide said ultra-broadband was critical and another 47% cited ultra-broadband as important; a mere 5% claimed it was of no importance to their company.
Currently, 21% of those queried believe themselves to be leaders in high-speed broadband deployment, compared with 40% that think they're in a good spot with work to do and 21% that recognize they are falling behind despite recognizing the importance of high-speed broadband, the report found.
But spending will not increase exponentially. Although 55% predict their ultra-broadband budgets will grow next year, only 26% said they will increase more than 10%. Forty percent expect spending to be flat in 2018 compared with 2017 expenditures.
This is surprising, given the benefits operators credit high-speed broadband with delivering. From advantages that reach internally and externally, such as network performance and reliability, to new revenue opportunities including 4K-video, smart homes and security, ultra-broadband is the foundation service providers must pour.
As a result, clear-cut leaders should emerge. Those providers delivering high-speed broadband will demonstrate an obvious advantage to prospective customers over those with slower speeds. However, those in regions without competition could suffer, as incumbents have little incentive to invest in ultra-broadband technologies unless municipalities, cooperatives, utilities or others spur action.
Read the full report, including more information on ultra-broadband, here.
On Jan. 23, Broadband World News hosts a Calix-sponsored webinar that explores several ways CSPs can enhance customer experience and find new business opportunities to avoid devolving into a speed race where nobody wins, not even the customer.
As the pool of savvy, fiber-rich operators across the US rural and regional landscape wanes, the financial community will grow even more interested in acquiring or investing in them, a CoBank report says.
It wasn't long ago that TV was ranked by subscribers as the most important service in the bundle provided by their communications service provider (CSP). Recent research indicates that for nearly three quarters of subscribers, broadband is now the most important service. Broadcast TV is the most important service to only 15% of North American consumers, replaced by OTT video streaming platforms like Netflix, Amazon Prime and Disney+. In addition, many different competitors are moving aggressively to stake a claim in consumers' homes.
In 2020, CSPs need to fight back by transforming their business models, which are becoming more reliant on a single source of revenue: fixed broadband services.
This webinar will focus on helping CSPs transform their business models by placing a firm focus on delivering a sensational subscriber experience and by offering compelling new services that generate value for subscribers. These actions will reinforce the CSP's strategic position in the home network and position themselves for growth in the next decade.
Key topics include:
Being the first to market with WiFi 6 technology, in response to consumer purchases of new devices over the holidays;
Having the insights needed to proactively resolve issues, often before your subscribers even know that there are issues;
Providing help desk agents with the visibility they need to resolve common subscriber issues more quickly;
Delivering a mobile app, in response to consumer demands for the ability to do some things themselves, rather than having to call technical support; and
Addressing consumer concerns around device security, privacy and control with enhanced security and parental controls.
In this insightful Light Reading radio show, Kurt Raaflaub, Head of Strategic Solutions Marketing, will outline the key service provider challenges, deployment considerations, next-gen Gigabit technologies, and service models to win market share in the rapidly growing MDU market.