Mobile Video To Drive Growth

    June 26, 2007

Mobile video and IPTV will drive growth in the telecom industry over the next year, according to a survey by Tellabs and Telephony magazine.

The survey found that faster than anticipated growth will lead to increased capital spending in the second half of this year, as service providers converge their wireless and wireline networks and launch advanced video services.

Over 54 percent of telecommunications professionals say mobile video is driving growth now or will within one year. Additionally 78 percent say that IPTV will drive growth within three years.

Nearly all respondents (96%) believe service providers will increase infrastructure spending in the second half of 2007. Fifty-one percent see the convergence of wireless and wireline networks taking place within two years.

"The survey confirms that users are driving the release of new video services such as mobile video and IPTV, and service providers will invest to meet that demand," said Steve McCarthy, Tellabs executive vice president, global sales and service.

"Tellabs solutions enable service providers to rapidly gear up for demand and to meet users’ high expectations for video services."

The survey was from 678 telecom professionals and tracked views on emerging market trends, industry outlook and convergence issues.