To: stockman_scott who wrote (6045 ) 4/20/1999 3:29:00 AM From: Scrapps Read Replies (1) | Respond to of 9236
Internet, DSL and Other High-Speed Data Services Seen Driving 'Triple Digit' Growth to $83 Billion in Total Industry Revenue by 2001 CHICAGO, April 19 /PRNewswire/ -- Advanced data services such as DSL are expected to fuel triple-digit growth of the competitive local telecommunications market, propelling total industry revenue from nearly $10 billion today to more than $83 billion by 2001. With anticipated gains of 500%, the competitive data service segment will become a $40-$50 billion industry that far outstrips traditional business lines such as switched voice and dedicated access, becoming the dominant service of the competitive local exchange carrier (CLEC) industry. These findings and other insights on the CLEC industry highlight the just- released 1999 Annual CLEC Report(TM) published by New Paradigm Resources Group, Inc., the leading market analysis and intelligence firm of the CLEC industry. This year's Report portrays a rapidly growing industry that is driving, and at the same time benefiting from, insatiable demand for data services, including dial-up Internet, DSL and broadband. ''The CLECs have established a new competitive model based on sophisticated data infrastructures that can integrate all forms of communication -- dial tone, access, Internet, Frame Relay, ATM -- as distinct bit streams over high- speed backbones,'' said Terry Barnich, President, New Paradigm Resources Group. ''By leveraging their infrastructure investments to deliver bandwidth, CLECs have positioned themselves to rule the data market. By 2001, CLEC data services will be valued at $44 billion or more -- twice the size of competitive switched voice and representing more than half of the estimated $83 billion total CLEC marketplace.'' The 1999 Annual CLEC Report(TM) this year covers some 160 facilities-based CLECs, providing detailed company-specific analysis, as well as industry overviews and growth forecasts. New Paradigm's Annual CLEC Report is widely regarded as the most thorough and exhaustive study of the CLEC industry. ''This year's Annual CLEC Report(TM) is the largest and most comprehensive ever,'' said Craig Clausen, Senior Vice President, New Paradigm Resources Group. ''We have expanded our coverage to include 50 new companies, reflecting the explosive growth of the industry. Incredibly, even with recent consolidation, the CLEC market has experienced 50% growth in numbers of participants, a doubling of total industry revenue and buildings served, and a tripling of access lines.'' Among this year's highlights: * Industry Consolidation. With WorldCom's acquisition of Brooks Fiber and MCI, and with AT&T's absorption of Teleport and TCI, 1998 was a year of significant consolidation -- which can be expected to continue. * CLEC Expansion. A simultaneous expansion of the CLEC industry is occurring as seasoned executives of acquired companies spin-off to set up new CLECs. * New Models. The CLEC business model continues to evolve as competitive carriers grow more sophisticated and seek to provide service integration. * End of the ISP ''Wannabes.'' The cost and technical difficulties of deploying Class 5 switches have dampened ISPs' enthusiasm for the telecom market. * Electric Utilities -- Low Watt Entry. Utilities have not made as big a foray into competitive telecom as previously anticipated by some analysts. * Death of a Resalesman. The bankruptcy of USN, and exit of e.spire and WinStar from resale, signaled the end of this strategy. Industry Metrics -- from the 1999 Annual CLEC Report(TM): 1997 1998 Facilities-based CLECs 110 160 Total CLEC Telecom Revenue $4.6 billion $9.5 billion Fiber Route Miles 73,600 108,229 Voice Switches Installed 315 579 Voice Switches Planned 218 250 Buildings Served 63,290 104,097 Competitive Access Lines 1,606,794 5,619,479 The 1999 Annual CLEC Report(TM) may be ordered from New Paradigm Resources Group, Inc. by calling 312-980-7848. Individuals copies are $2,950 and for additional copies the cost is $1,450 per unit. New Paradigm Resources Group, Inc., based in Chicago, is the nation's leading research firm focused on the competitive local exchange carrier (CLEC) industry. biz.yahoo.com