Telecoms pick up strong signals
The study also predicts growth in the mobile and broadband markets, while the declining fixed-line telephony sector will become more competitive.
Stock prices of European telecoms have been on the rise for 1.5 years now, which, according to Juan Gonzalez, vice president and head of Boston Consulting Group's European Technology and Communications Practice, is a "sign of hope." In the fixed-line market, alternative operators are expected to continue to gain market share.
However, few fixed-line operators are growing in value, and the most dynamic are corporate data and broadband services with VoIP (voice over internet protocol) being regarded as a big opportunity for fixed-line business.
With regard to broadband internet access, Gonzalez said: "The market is growing everywhere. In a few years we expect the penetration of broadband in North America, Europe and Asia to reach 80 percent in each region." DSL prices are slowly falling, while bandwith speed is rapidly increasing. In Poland, where only five percent of households have broadband access (25 percent in the old EU 15), the group expects a significant increase in penetration, although a low PC ownership level and low digital services usage could prove a significant barrier to growth.
In mobile telephony the tendency in Western Europe, where penetration is high, is to increase ARPU (average revenue per unit) through value-added services such as 3G technology. In Poland the key focus will be on increasing penetration. In Europe, advanced 3G services did not start to grow until the price of standard voice calls was reduced.
As Gonzalez said: "A phone is a phone." Robert Maciejko, vice president and director of the BCG's Warsaw office, thinks that the development prospects of 3G are less obvious in Poland than in the West. Considering factors such as low usage of digital services and low consumer income, Maciejak said: "Perhaps it would be wiser to wait and see how the implementation of 3G looks in other countries." He even mentioned that it might be better for Poland to wait for cheaper services that are currently being developed.
Stock prices of European telecoms have been on the rise for 1.5 years now, which, according to Juan Gonzalez, vice president and head of Boston Consulting Group's European Technology and Communications Practice, is a "sign of hope." In the fixed-line market, alternative operators are expected to continue to gain market share.
However, few fixed-line operators are growing in value, and the most dynamic are corporate data and broadband services with VoIP (voice over internet protocol) being regarded as a big opportunity for fixed-line business.
With regard to broadband internet access, Gonzalez said: "The market is growing everywhere. In a few years we expect the penetration of broadband in North America, Europe and Asia to reach 80 percent in each region." DSL prices are slowly falling, while bandwith speed is rapidly increasing. In Poland, where only five percent of households have broadband access (25 percent in the old EU 15), the group expects a significant increase in penetration, although a low PC ownership level and low digital services usage could prove a significant barrier to growth.
In mobile telephony the tendency in Western Europe, where penetration is high, is to increase ARPU (average revenue per unit) through value-added services such as 3G technology. In Poland the key focus will be on increasing penetration. In Europe, advanced 3G services did not start to grow until the price of standard voice calls was reduced.
As Gonzalez said: "A phone is a phone." Robert Maciejko, vice president and director of the BCG's Warsaw office, thinks that the development prospects of 3G are less obvious in Poland than in the West. Considering factors such as low usage of digital services and low consumer income, Maciejak said: "Perhaps it would be wiser to wait and see how the implementation of 3G looks in other countries." He even mentioned that it might be better for Poland to wait for cheaper services that are currently being developed.
