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To: max power who wrote (338)	7/24/2000 1:38:04 PM
From: Scrapps	Respond to of 2404

DSL Gaining Marketshare as Reach Expands DSL Providers Go Full Throttle in the Race To the Customer, The Strategis Group Reports WASHINGTON, July 24 /PRNewswire/ -- DSL is poised to capture an increasing amount of the residential high-speed market over the next few years, according to a recent report by The Strategis Group. Based on the study of facilities deployment trends, regulatory action, and technological advancements, The Strategis Group's report U.S. Residential DSL: The Voice and Data Markets finds that these factors, combined with a large pent-up demand on the part of consumers, will lead to significant increases in DSL's share of the residential high-speed market. Net Additional Residential DSL Subscribers, 1999-2004 1999 540,000 2000 790,000 2001 1,090,000 2002 1,590,000 2003 2,870,000 2004 4,280,000 Source: The Strategis Group, Inc. Residential High-Speed Households by Technology, 1998-2004 (in millions) Cable DSL Wireless Other 1998 .37 .03 .00 .04 1999 1.25 .58 .01 .04 2000 2.43 1.37 .06 .06 2001 3.85 2.46 .19 .10 2002 5.82 4.05 .95 .15 2003 8.46 6.92 1.96 .30 2004 11.65 11.20 3.04 .50 Source: The Strategis Group, Inc. ``The biggest problem facing carriers right now is rolling out service fast enough to serve all of the customers who want DSL,'' says Jason Marcheck, analyst with The Strategis Group and primary author of the study. ``Expect DSL to match cable's share of the residential market over the next few years.'' The Strategis Group predicts that residential DSL subscriber growth will reach 61% by 2004, and that DSL will be nearly even with cable modems in terms of market penetration rates. Prior to the implementation of line-sharing, many CLECs found it impossible to serve the residential market without losing money. In addition, developments such as standards for lower wavelength symmetrical DSL service are in the works, which will make DSL more accessible than ever. ``The FCC's line-sharing decision was a significant development in the attempt to level the playing field for CLECs. The opportunity now exists for most carriers to serve residential customers at competitive prices,'' says Marcheck. ``And with technologies such as G.shdsl and the bonding of copper pairs into the customer premise now available, DSL is able to extend its reach nearly twice as far as it was capable of only a year ago.'' A conference call discussing the findings of the report will be held on Thursday, July 27, 2000 at 2:00 p.m. (EDT). To participate in the conference call, please contact Tara Gatling at 202-530-7556 or tgatling@StrategisGroup.com. The Strategis Group -- with offices in Washington, D.C., London and Singapore -- publishes in-depth industry research reports, provides customized consulting services and supplies continuous information solutions to the cable TV, satellite, Internet, competitive telephony, broadband and wireless communications industries. U.S. Residential DSL: The Voice and Data Markets is available in electronic and print formats. Please contact an account executive at 202-530-7500 (voice), 202-293-7933 (fax) or sales@StrategisGroup.com (email) for more sales information. SOURCE: The Strategis Group, Inc.