section 9

In general the analysts of the telecommunications industry say that there are some sectors of it that are presinting signs og being declining but the its market as a whole seems to be very stable. The wired telecommunications sector is now giving more attention to the broadband services, since the demand for the land lines  is falling as the volume of calls reduces due to alternative technologies. Many users are now moving to the wireless sector since its prices are relatively rational and because of the internet utilities they have. Todd Rosenbluth, an Integrated Telecom Services Analyst, says, “With the proliferation of the Internet, data traffic is quickly becoming the voice of the future.” According to CTIA-The Wireless Association,  the number of wireless suscribers in United States, is now almost four times what it was ten years ago, rising from 86 million in December 1999 to 285.6 in December 2009.

During the recession of 2008 many companies within the industry experienced a downfall in their trend but as it ended in mid 2009 they started stabilizing. According to Standard & Poor’s, during 2009 “the industry experienced growing competition, lower prices, increased service availability, technological innovation, and a widening variety of product offerings.” Reports from the CTIA show that the average monthly bill of wireless carries drecreased from 50.07 in 2008 to 48.16 in 2010.

According to Casey Thormahlen, the wired telecom sector’s trend is going to decrease in the next five years. His prediction in based on the actual decreases in call volumes that the industry is facing do to services such as voice over ip and wireless technologies that are many times cheaper. He says that this sector’s life cycle “is all downhill from here”. In the other hand the wireless sector is predicted to expand rapidly. IBISWorld’s analysts, in the other hand, predict that the wireless sector is going to expand in a rapid way; since the new technologies that have been developed such as 3G and 4G data services, are creating a increasing demand for this sector of the industry.