Triple play infrastructure momentum

Triple play infrastructure momentum

While reporting that quadruple play is gaining momentum and could be the next mid- term step for operators, some analysts are predicting rosy days for the triple play infrastructure market. A new study from Infonetics reports that service providers are expecting to generate about 45% of their revenues from triple-play services in the 2005-2007 period, and increase broadband ARPU. If right, the game is worth playing, and they already spent 40% of their global 2005 capex on triple-play network infrastructure. Infonetics, in addition, expects that their spending on IPTV, aggregation, VOIP and broadband CPE equipment should continue growing.

A sample of the success of triple play services is in the US cable TV industry. After investing huge sums of money (perhaps $100bn) to upgrade their networks for triple play over years, the cable industry is experiencing strong subscriber additions, double-digit revenues growth driven by broadband internet growth and digital video demand.

The trend is there: consumers like bundles, and the first-to-market are the winners.