VoIP Telephony Grows with Telecommunications Boom

The Voip telephony and the internationalBroadband's faster speeds are behind the
telecommunications market is not only healthy, itincreasing demand for cable modem and DSL
is robust! The market is expected to continue itsproviders. Telephone companies are offering more
double-digit growth and reach over $2 trillion bybundled DSL services and cable operators are
2008.losing subscribers to direct broadcast satellite. The
Spending on telecommunications equipment andgap between the number cable and DSL
services in Canada, Western Europe, Easternsubscribers is narrowing and will continue to
Europe, Latin America and Asia/Pacific will grow atdecrease.
a rate of 10.6% say the experts. What's behindIn addition, there is plenty going on with wireless
this growth in telecommunications? Prosperity!communications. The U.S. wireless market includes
With improving economic conditions throughouttransport services, handsets, capital expenditures
the world there is increasing demand for Voip,and infrastructure equipment including Wi-Fi
mobile devices and wireless telecommunicationequipment plus the emerging market for wireless
services.broadband access. The future of VoIP technology
The number of subscribers to wireless telephoneand wireless VoIP promises to be one of the
services is growing faster than the number ofmost exciting developments in
landlines in all regions. 1.9 billion wireless subscriberstelecommunications.
are expected by 2008 and they will outnumberNot counting PC-to-PC services, the number of
landline subscribers by 69.1%.residential VoIP customers more than tripled to
The accessibility of high-speed broadband will drive4.2 million in 2005. That number is expected to
equipment revenue over the next few years.grow by a compound annual rate of over 43% in
This will give a boost to Internet telephonythe next few years. That will result in about 18
service and that growth will continue asmillion VoIP users.
broadband access revenue triples in future years.Growth in the residential VoIP market is being
As the move to wireless, voice over Internetdriven by a number of factors. First and foremost
protocol (VoIP) and cable telephony continues, theis that VoIP telephony provides consumers with
landline market will increase from $391 billion ininexpensive voice communications. VoIP escapes
2004 to $422 billion in 2008.the burden of the many regulations and taxes
Internationally Europe is expected to be thegovernments have imposed on traditional
largest region in support services spending,telephone services. So far that has allowed the
reaching $354 billion by 2008 as the demand forVoIP service providers to beat the prices charged
equipment increases there will be increasedfor wired telephone services. The burst of growth
demand for services to support that equipment.in broadband subscribership is a good sign for
In the United States the broadband market isVoIP, because it works best over a broadband
expected to reach an estimated 56.9 millionconnection,
subscribers by 2008. That up from 32.5 millionIn the United States and around the world, people
subscribers in 2004. The broadband market hasare talking and they want to do that with speed
had a huge move since 2001, when there wereand economy. VoIP phone services are prepared
only 5.1 million subscribers.to meet that need.