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Technology Stocks : General Instrument Corp.'98 (GIC) -- Ignore unavailable to you. Want to Upgrade?

To: John F Beule who wrote (402)	8/7/1998 12:48:00 PM
From: John F Beule	Respond to of 615

Something else to chew on: 160 Billion Global Broadband Market in 2003 WASHINGTON, Aug. 7 /PRNewswire/ -- Broadband services will become a $160 billion worldwide business in five years as long as effective competition emerges in global telecom markets. The global Internet explosion plus businesses' rapidly growing data communications needs are fueling broadband demand. But competition to incumbent telephone companies drives development and deployment of broadband networks, and without competitive providers, broadband needs are not likely to be met. According to The Strategis Group's latest study, Global Broadband Markets: 1998, the number of businesses using broadband services will more than triple in the next five years, and the number of households with broadband service will increase nine-fold. In 2003, the average business using broadband services will spend about $800 per month for broadband access, while the average broadband household subscriber will spend $35 a month mostly for high- speed Internet access. Business and Residential Global Broadband Service Revenues 1998 - 2003 Year 1998 1999 2000 2001 2002 2003 Business 65,755.9 76,249.8 89,505.5 104,379.5 122,370.5 143,117.3 Residential 1,449.4 2,901.0 5,133.1 8,035.1 12,219.4 18,056.4 Revenue (US$ Millions) Source: The Strategis Group, Inc. "Now is the time for manufacturers to take advantage of broadband end-user equipment opportunities," says Jonathan R. Tarlin, Senior Vice President of International Telecommunications at The Strategis Group. The study forecasts a $20 billion broadband end-user equipment market over the next five years consisting mostly of DSL modems and cable modems. Global Equipment Sales Revenue (millions US$), Annual and Cumulative 1998 - 2003 Year 1998 1999 2000 2001 2002 2003 Annual 528 1486 2432 3447 5142 8106 Cumulative 528 2015 4446 7893 13035 21141 Source: The Strategis Group, Inc. The U.S. will continue to lead the world in adopting broadband services and technologies. The Strategis Group's broadband forecasting model, detailed in Global Broadband Markets: 1998, suggests that North America will have 45% of global broadband service revenues in 2003, while Europe captures over one- quarter of global broadband service revenues, and the Asia-Pacific region generates another quarter. Share Of World Broadband Service Revenues By Region World data represents top 39 broadband markets. Latin America Asia-Pacific Europe North America 4% 24% 27% 45% Source: The Strategis Group, Inc. Businesses Dominate Broadband Service Revenues For operators and carriers, business markets are the primary revenue generators. The Strategis Group expects business sectors to generate nearly 90% of worldwide broadband service revenue. For equipment manufacturers, however, residential broadband markets represent a huge market potential because more than twice as many households as business firms will be using broadband services. The vast majority of residential broadband equipment sales will be in the form of high-speed modems. The Strategis Group, an edr company -- with offices in Washington, D.C., London, and Singapore -- publishes in-depth market research reports and provides customized consulting services to the cable TV, satellite, Internet, broadband, and wireless communications industries. The Strategis Group's market studies, valuations, and strategic planning projects provide crucial information to communications industry leaders throughout the world. Please contact Elizabeth Harr-Bricksin at 202/530-7500 (voice), 202/530-7550 (fax), ebricksin@strategisgroup.com or Jonathan Tarlin at 202/530/7541 (voice), jtarlin@strategisgroup.com or www.strategisgroup.com for more information. SOURCE The Strategis Group CO: The Strategis Group ST: District of Columbia IN: TLS SU: ECO 08/07/98 11:59 EDT prnewswire.com