Recent Press Releases
06/02/2003

IDC Releases Broadband and IP Services 2003 Survey Results

NORTH SYDNEY, JUNE 2 – 2003 – In a recent survey, IDC has measured over 200 Australian companies current and future broadband and Internet Protocol (IP) services usage, spending patterns, intentions, methods of bandwidth access, loyalty to service providers and satisfaction levels.

Based on our findings from this study, Australian companies are seeing long-term value in increasing investments in IP services and infrastructure. Key findings included:

*Over half of Australian companies expect to increase their spending on both broadband and IP services during 2003;

*Interviewed Communications managers listed first class network, quality of service and customer service capabilities as key criteria when evaluating broadband and IP services infrastructure investments;

*Survey results show that overall level of satisfaction with broadband or IP service providers is increasing for Australian businesses, which is a strong sign of a maturing market, with higher quality of network and service and increasing xDSL coverage, and;

*VoIP and IP VPN are the biggest opportunities for service providers to add value to corporate and public services beyond broadband access.

*DSL current deployment almost doubled to 49.5% of the over 200 respondents in 2003; up from 25% in 2002. The highest adoption is coming from the small business segment, said Landry Fevre, Senior Research Analyst IDC Telecommunications Research. Telstra has the highest market share in broadband business services with 50%, followed by Optus with 8.2%, and third AAPT with 7.1%. iPrimus follows with 1.5% market share and the rest of IP services providers share 23% of the remaining market, added Mr. Fevre.

IDC predicts service providers can expect a surge of interests in VoIP, as interest levels in trialing this technology has steadily increased over last years survey. Given the opportunity for disillusionment, carriers and integrators must carefully manage customer expectations for risk and reward an integrated communications strategy can provide.

IDC suggests service providers and integrators must be geared with pragmatic tools such as best practice procedures, case studies, ROI, TCO and network assessment tools to measure companies' VoIP readiness. A lot of education and partnering will need to be done in this department by service providers and enterprises in order to maximize their full return on this paradigm shift. As voice-based services are mission critical to companies, broadband and IP services providers need to position their offerings accordingly.

Upcoming research from IDC will focus on the Australian broadband market, IP VPN services, and deployment of IP telephony solutions in Australia.

Click here to go to the press release: http://www.idc.com.au/resources/press/telecom/20030602_Telco%20Survey.htm

About IDC:

IDC is the foremost global market intelligence and advisory firm helping clients gain insight into technology and eBusiness trends to develop sound business strategies. Using a combination of rigorous primary research, in-depth analysis, and client interaction, IDC forecasts local and worldwide markets and trends to deliver dependable service and client advice. More than 700 analysts in 43 countries provide global research with local content. IDC's customers comprise the world's leading IT suppliers, IT organisations, eBusiness companies and the financial community.

Additional information can be found at www.idc.com.au

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