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Alcatel sees Asia Pacific
embracing convergent technologies
SYDNEY, Australia --
Increasing demand for broadband technologies in the mobile and
wireless space are encouraging Asia Pacific countries to adopt
convergent technologies that could deliver rich multimedia
content such as IPTV, voice-over-IP, streaming video and audio.
Network infrastructure firm Alcatel is expecting Asian
countries, especially those that have a critical mass of
Internet and mobile users, to be the first to move toward
convergent networks. By doing so, rich content can be delivered
to any device through traditional fixed-line platforms or
through wireless networks.
At a regional conference here, Alcatel Asia Pacific President
Christian Reinaudo said operators across Asia are either
implementing or starting to look into upgrading their networks
to convergent infrastructure as they follow end-user trends
toward rich media content.
“There is a huge appetite for innovative video and audio
experience both for the mobile and fixed line space. For
instance, worldwide demand for IPTV could reach 70 to 100
million users by 2010, up from 2.6 million users this year.
Asia, on the other hand would expect to have 16.5 million IPTV
users by 2010,” Reinaudo said.
Reinaudo also said mobility is one of the key drivers for
convergent networks. Mobile users, in particular, need to get
personalized content straight to their mobile phones or personal
digital assistants while constantly being on the go.
Reinaudo also noted that rich content services have to be priced
according to consumers’ capacity to enable more users to have
access to multimedia services. However, he said competition from
smaller and independent service providers could further push
prices down as carriers and larger service providers try to
compete.
Voice services would continue to drive the overall
telecommunications business in Asia. However, VOIP is seen as a
disruptive technology against incumbent operators but that would
change as demand for VOIP pushes carriers to find new service
delivery models that could still generate significant revenues
for them.
Alcatel Director for Global Market Positioning Dave Hills said
that across Asia revenue from data services is gradually
increasing while revenue from voice is slowing down. In
addition, revenue from mobile phone services is also increasing
and fixed-line service is almost flat in terms of revenue.
“There are new challenges that the incumbent carriers are
facing, one of which is a decrease in demand for voice services,
particularly in the fixed-line space. What many Asia Pacific
carriers now are doing is to come up with new service schemes
that would benefit both their mobile and fixed-line business.
Deploying convergent networks is a key factor,” Hills said.
Hills added that there could be changes in the way independent
service providers are dealing with their larger counterparts and
the carriers when it comes to revenues. By getting higher
bandwidth, more rich multimedia services can be included as part
of a package and carriers would have to ensure that their
networks are fully utilized.
“The business for independent content providers could grow when
carriers start implementing convergent networks. The
opportunities are there especially when end-users demand content
that they don’t get from just a mobile or fixed-line network.
Convergent technologies open new opportunities for the
telecommunications firms and content providers,” Hills said.
By
Alexander Villafania
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