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European xDSL Markets
Frost & Sullivan, July 2000
Infant Market Poised for Explosive Growth
Look for massive expansion in the European Digital Subscriber Line (xDSL) market over the next six years thanks to increases in the number of Internet users. The main driver for the xDSL market comes from the increased demand for data networking and the unbundling of the local loop, coupled with deregulation in the telecom industry. xDSL has emerged as one of the most promising data delivery solutions available for the local access loop. xDSL has the potential to offer cost effective, high-speed networking capabilities, not only to large corporate users, but also to small business and residential users. This Frost & Sullivan report analyses the European xDSL markets and its major segments: symmetrical DSL (SDSL), asymmetrical DSL (ADSL) and other xDSL solutions. It divides Europe into seven different regions and studies the restraints and drivers for each region. It is the perfect resource for companies who want to take advantage of key market opportunities.
Concentrated Equipment Market to Expand with Mass Deployment
More xDSL equipment manufacturers are expected to enter the European market as it moves towards full-scale deployment. Since large-scale deployment did not occur in 1999, the market is very much in its infancy.
'The European xDSL equipment market is highly concentrated, with a small number of equipment manufacturers accounting for the majority of equipment produced,' states the author of this report. 'The number of equipment manufacturers entering the European market is expected to increase as large-scale deployment occurs.'
Increased Competition from Other Broadband Technologies
Cable modems and wireless loop technology are the major competition facing xDSL manufacturers. In order to be successful, market participants need to educate the end user about the benefits of using xDSL technology. Successful participants will also need to research and develop products that can be sold in retail outlets.
'Making xDSL modems a retail product is the quickest way for them to become a mass-market product,' state the author. 'Manufacturers need to convince consumers of the need for xDSL technologies.' A thorough understanding of the latest factors shaping the European xDSL industry is crucial to market success. This report is indispensable to companies that want to take advantage of the markets opportunities for growth.
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