Tuesday, April 19, 2011

Broadband service providers around the world redefining business models with value-added services

Operators turning to health services, home security, energy monitoring, entertainment services, and support services for future revenues and growth

Value-added services are the lifeline for future growth and revenues for global broadband providers, who must find ways to stay competitive as broadband services reach saturation levels, according to international research firm Parks Associates.

The firm’s Broadband Services: Global Outlook (Second Edition) reports broadband penetration in South Korea exceeds 90% and many countries in Northern Europe, including Finland, Denmark, the Netherlands, Sweden, and Norway, surpass 75%. In the U.S., 66% of American adults had a high-speed connection at home as of 2010.

“Many operators in North America and Western Europe see the squeeze coming,” said Brett Sappington, Senior Analyst, Parks Associates. “Initiatives by global ISPs include remote health services, home security, energy monitoring, and entertainment services. Premium technical support is also an opportunity for growth, but the appetite for fee-based services varies among different cultures. While consumers in North America are more widely accepting of premium support services, Asian consumers are sensitive to fee-based support, believing it is part of the basic service."

In the U.S., 52% of broadband consumers are interested in premium technical support services from their broadband provider; 43% are interested in home monitoring and security services.

Worldwide Broadband Households - Forecast

Verizon is conducting trials of a home automation and control service unveiled at CES 2011. Home security offerings include IP-based cameras that stream video to an iPhone and fully monitored security systems that notify security guards when an alarm is tripped. AT&T, Comcast, Orange, J:Com, and SK Telecom have announced or currently offer automation or home security services.

Many of the world's largest ISPs, including Bell Canada, British Telecom, Ziggo, Korea Telecom, and Telstra, have launched premium technical support, ranging from antivirus protection to in-home networking services.

Broadband Services: Global Outlook (Second Edition) analyzes the current and future market for consumer broadband services around the world and the emerging value-added services that will emerge in the near future. For information, visit http://www.parksassociates.com or contact 972-490-1113, sales@parksassociates.com.

About Parks Associates: Parks Associates, a woman-owned and woman-led internationally recognized market research and consulting company, specializes in emerging technology solutions serving the consumer and small to medium business (SMB) markets. Celebrating its 35th year in 2021, Parks Associates is a partner to companies navigating the changing consumer technology landscapes through data-driven market insights, extensive consumer and industry intelligence, custom marketing services, and executive networking experiences and conferences.

The company's expertise includes home automation, control systems and security, digital media and platforms, entertainment and gaming, home networks, internet and video services, connected health and independent living solutions, mobile applications and services, support services, consumer electronics, and energy management solutions.

Each year, Parks Associates hosts industry webcasts, the CONNECTIONS™ Conference Series, Connected Health Summit, Smart Energy Summit: Engaging the Consumer, and Future of Video: OTT, Pay TV, and Digital Media. http://www.parksassociates.com

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