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PRESS RELEASE

26 JUN 2003

Parks Associates Puts Portability in Perspective

ContactPRESSROOM | PRESS RELEASE ARCHIVE  2006 | 2005 | 2004 | 2003 | 2002 | 2001 | 2000 | 1999 | 1998

Parks Associates Puts Portability in Perspective

Parks Associates challenges predictions that local number portability will lead to an industry meltdown in the U.S. mobile market.

Parks Associates released data today to challenge recent speculations that local number portability (LNP) will trigger a mass exodus of subscribers in the U.S. mobile market. The data, drawn from its forthcoming report U.S. Mobile Market Intelligence, indicate that LNP, which allows consumers to switch providers while retaining their original phone number, will lead to only a moderate number of defections.

“Over the last week, there have been claims that 25-30% of subscribers will switch operators as soon as number portability is implemented,” said John Barrett, research analyst with Parks Associates. “That is simply not realistic once you look at markets where LNP has already been introduced, such as Australia, Hong Kong, and the United Kingdom.”

“In these markets, the number of people porting their number decreases with overall penetration rates,” John Barrett said. “In Hong Kong, where there are 94 mobile phones for every 100 people, 23% ported their number within the first year. In Australia and the U.K., where penetration is 64% and 68%, respectively, only 4% and 6% have ported their number. The U.S. has a relatively low penetration rate (50%), suggesting that at most, 2-3% of subscribers will take their number to another operator within the first year, nowhere near the 30% figure being thrown out by some in the industry.”

U.S. Mobile Market Intelligence, an indispensable guide to the mobile phone market, contains consumer survey results revealing who uses mobile phones, what new services they want, and how much they are willing to pay; operator level forecasts of subscribers by technology, handset purchases, and segmented revenues; competitive intelligence and comparisons of the top player’s operating and financial performance; and analysis of the latest market trends in services, equipment, and consumer demand.

For additional information about Parks Associates’ U.S. Mobile Market Intelligence or local number portability please contact sales@parksassociates.com or call 972-490-1113.

About Parks Associates: Parks Associates is an internationally recognized market research and consulting company specializing in emerging consumer technology products and services. Founded in 1986, Parks Associates creates research capital for companies ranging from Fortune 500 to small start-ups through market reports, primary studies, consumer research, custom research, workshops, executive conferences, and annual service subscriptions.

The company's expertise includes new media, digital entertainment and gaming, home networks, Internet and television services, digital health, mobile applications and services, consumer electronics, and home control systems and security.

Each year, Parks Associates hosts executive thought leadership conferences CONNECTIONS™, in partnership with the Consumer Electronics Association (CEA®), and CONNECTIONS™ Europe. In addition, Parks Associates produces the online publication Industry Insights in conjunction with the CONNECTIONS™ Conference series.

http://www.parksassociates.com | http://www.connectionsconference.com | http://www.connectionseurope.com | http://www.connectionsindustryinsights.com

 

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