Wednesday January 21, 12:00 pm Eastern Time
Company Press Release
SOURCE: Communications Industry Researchers, Inc.
Voice-over-ATM to be Fastest Growing Application for Cell
Relay Services Says New Report
CHARLOTTESVILLE, Va., Jan. 21 /PRNewswire/ -- Service providers who offer ATM/cell relay
services expect voice to be the fastest growing application for ATM services, according to a survey
of leading service providers conducted by Communications Industry Researchers, Inc., (CIR) a
research and consulting company based here. This fact along with other important research
findings are contained in a new CIR study, ATM Markets: A SECOND LOOK -- THE PUBLIC
SERVICE PROVIDER ENVIRONMENT, that has just been published.
Rising Voice
According to respondents to the CIR survey, voice will grow from 7 percent of cell relay service
revenues at the present time to 17 percent of service revenues by the year 2000, making it the
fastest growing segment of the cell relay services market. (See table below) This growth will be
fueled by the need of corporate users to run all their traffic over a single platform. However, the
respondents to the CIR survey generally believed that it will be more than five years before the
public service providers begin to convert their voice networks over to ATM, trunking for both
economic and regulatory reasons. Although voice is on the rise, the most popular use of ATM
services is still LAN interconnection.
A Second Look
ATM MARKETS: A SECOND LOOK -- THE PUBLIC SERVICE PROVIDER ENVIRONMENT
provides a lot more than just an analysis of the new role that voice will play in driving the market
for cell relay market. Basing its conclusions on both primary and secondary research , this new
CIR study offers insights into a large number of factors that are shaping commercial deployment
of ATM in the public service provider networks. Vital topics covered in this study include:
video-over-ATM, wireless and satellite ATM, ATM vs. routers, ATM vs. frame relay, MPOA,
ATM's role in xDSL deployment, the impact on ATM of packet-over- SONET, network
management trends, billing for ATM services, etc. The report also contains detailed ten-year
forecasts of ATM deployment in the public service provider environment, including forecasts of
ATM edge switches, ATM core switches, and other ATM boxes such as service muxes, as well as
of cell relay services. Equipment forecasts are in terms of both volume and value. In addition to
the coverage of the U.S., the report contains forecasts for ATM deployment in the Pacific Rim and
Western Europe countries.
ATM MARKETS: A SECOND LOOK -- THE PUBLIC SERVICE PROVIDER ENVIRONMENT
is part of a two volume set. The other volume: ATM MARKETS: A SECOND LOOK -- THE
ENTERPRISE NETWORKING ENVIRONMENT was published in December 1997. The Table of
Contents and Executive Summary for ATM MARKETS: A SECOND LOOK -- THE PUBLIC
SERVICE PROVIDER ENVIRONMENT are available at CIR's Web site
(http://www.cir-inc.com). It is priced at $5,000 and is also available in HTML and PDF formats at
an additional charge. Both volumes of ATM MARKETS: A SECOND LOOK may be purchased
for a combined price of $9,000. Further details of this study can be obtained from Robert Nolan at
617-923-7611 or rob@cir-inc.com.
Communications Industry Researchers, Inc., has been in business since 1979. The company
publishes market studies and newsletters, and carries out demanding custom market research
assignments on the commercial aspects of new communications technologies.
U.S. Cell Relay Services:
Percentage of Revenues by Application
1997 2000
LAN Internetworking 52.5 40
Internet Access 17.5 22.5
Business Video 17.5 14.8
Voice 7 17
CAD/CAM 1.5 1
Channel Extension 4 2
Residential 0 1.2
Other 0 1.5
SOURCE: Communications Industry Researchers, Inc.
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