This is the 268th report in a series of market research reports that provide forecasts in communications, telecommunications, the internet, computer, software, and telephone equipment. The project leaders take direct responsibility for writing and preparing each report.
Next generation networks (NGNs) are implementations of softswitch and media gateway technology. The softswitch in the network offers an IP-based open network, which integrates PSTN with the IP network, a fixed network with a mobile network, voice services with data and multimedia services.
NGN enables the packet-switched network to inherit existing PSTN services and functions. It arms the packet switched network with great flexibility and potential in view of the fast deployment and combined marketing of value-added services, which is presently beyond the PSTN's capability.
Lower maintenance cost is achieved by converting an existing office into an NGN end office. Metrics include integrity, occupied space, and power consumption of the NGN equipment. These have proved to be superior to those of the original TDM switch. After rebuilding, the occupied space can be reduced by 40%, and power consumption by 63%.
Service providers are engaged in figuring out how to offer revenue generating media services. Price erosion in legacy voice services is accelerating as VoIP services become free or very inexpensive. The equipment vendors and system integrators are looking at new services that would drive their business with the service providers.
Users are looking at services and solutions that would make them function efficiently in a globalized and competitive business environment. Transformation to NGNs is an evolution.
Service providers are cautious over technical obstacles associated with NGNs. A rapid evolution of the industry is anticipated to follow a range of trials in various aspects of the business.
Internet Protocol IP trunking focuses on reduction of the total cost of ownership through network simplification. It improves network efficiency. Traffic overflow is routed over a flat IP infrastructure. No trunk ports are needed for the transit extension.
The significantly reduced number of E1/T1 equivalent connections to be managed leads to economic benefits in traffic engineering, provisioning, monitoring, maintenance, inventory and design. Inherent IP backbone self-routing capabilities relieve service providers of the expense of constantly planning and load balancing a trunking network.
Processes can be optimized with end-to-end fully integrated management, reducing operational, administration and maintenance costs. Direct capital expenditures for network infrastructure go towards an IP-based next generation network architecture. Revenue streams with IP applications need to be developed quickly to address the almost immediate precipitous decline in voice revenue.
Report Methodology
This is the 268th report in a series of market research reports that provide forecasts in communications, telecommunications, the internet, computer, software, and telephone equipment. The project leaders take direct responsibility for writing and preparing each report. They have significant experience preparing industry studies. Forecasts are based on primary research and proprietary data bases. Forecasts reflect analysis of the market trends in the segment and related segments. Unit and dollar shipments are analyzed through consideration of dollar volume of each market participation in the segment. Market share analysis includes conversations with key customers of products, industry segment leaders, marketing directors, distributors, leading market participants, and companies seeking to develop measurable market share. Over 200 in-depth interviews are conducted for each report with a broad range of key participants and opinion leaders in the market segment.
This is the 268th report in a series of market research reports that provide forecasts in communications, telecommunications, the internet, computer, software, and telephone equipment. The project leaders take direct responsibility for writing and preparing each report. 