Blog: John Myers: Telecom Cash Cow

« Riding the Wave part 2 | Main | And the hits just keep coming.... »

Telecom Cash Cow

While traditional retail telecom services like landline and wireless voice services are heading toward a level of commoditization; there is that "quiet" cash cow that this working just fine thank you very much... interconnect or backbone traffic.

In fact, according to an article by Stephen McClelland, this backbone traffic is seeing increases quite unlike the rest of the telecom industry. While it not all rosy, this article shows the continued overall importance of the network ( ... no matter how much retail telecom that i blog about... ).

However, I do like how VoIP traffic is THE growth area. It shows that the importance of the network is in its ability to carry all traffic and not just a particular transport medium. Just as data services could make the handset and content king in wireless, VoIP is showing how much power a lower "TCO" transport model is powering the interconnect/backbone market. Remember it isn't the network per se. It is how you can make revenue off the network and remain competitive against other transport providers.

Technorati Tags: Telecommunications, Telecom, Stephen McClelland, VoIP, backbone traffic, telecom network