Telecommunications Services

Telecommunications Services

Brief Excerpt from Industry Overview Chapter:

Companies in this industry operate or provide access to facilities for voice, data, text, sound, and video transmission through wired, wireless, or satellite networks. Major companies include US-based AT&T, Verizon, and Xfinity, as well as China Mobile (China), Deutsche Telekom (Germany), NTT (Japan), Telefónica (Spain), and Vodafone (UK).

COMPETITIVE LANDSCAPE

Telecommunications services providers operate in a highly competitive market that includes wireless companies, traditional telephone companies, cable companies, internet service providers, and software and application providers. Market saturation has led to a slowdown in wireless subscriber growth in certain developed regions, driving major carriers to lower their prices to compete. Because voice services may increasingly be considered a commodity, providers may attempt to compete by offering superior customer service or heavily investing in marketing.

PRODUCTS, OPERATIONS & TECHNOLOGY

Major sources of revenue are wireless voice telephone services (about 20% of industry revenue), followed by internet access services (about 10%), wireless data services (about 10%), and video and audio programming packages (about 10%).