Communications service providers (CSPs) are traditionally conservative, more focused on internal product innovation, targets mass-market services rather than niche-oriented. But CSPs now have a strategic business challenge; they are not growing fast enough. Subscriber numbers are still growing at a high rate in the emerging markets, but this rate is much smaller in developed markets. Here in the Nordics, we see huge competition with brutal price wars and hopeless fight for growing market shares. Meanwhile, competition worldwide has increased tremendously and ARPU (avrg revenue per user) is not keeping pace with the additional network costs associated with modern time, high-bandwidth services like mobile TV, HD video and the likes.
Graph 1- Operators with a commercial web services offering, worldwide
IT - Telecom Business 