As more and more users across the world drop their fixed phone lines for mobile-only services, the worldwide market for cordless phones will undergo a decline over the coming years.
According to the latest research from ABI, cordless phones – those which include portable handsets linked by radio to a fixed-line base unit, will slowly, but steadily decline over the next five years.
Specifically, the total cordless phone market size in 2014 will be about 17 percent, the research firm predicts. This is nearly $1 billion smaller than it is today.
Practice director Jason Blackwell said that this decline is actually part of a larger story where wireless substitution is spreading worldwide.
“In developed nations,” Blackwell said, “a growing number of people are dropping their fixed phone lines altogether in favor of mobile-only services.”
Also, according to Blackwell, “in many developing regions, telcos and users are jumping straight to mobile networks without ever deploying fixed-line infrastructure.”
To help slow the decline, new digital models offering broadband capabilities are being introduced along with special discounted offers on home phone systems from service providers.
“The phones included in these deals are frequently quite high-end, offering color displays and advanced features tied to broadband connectivity and the home network,” Blackwell said. “These DECT (News - Alert) and CAT-iq handsets offer a bright spot to cordless phone makers weary of competing mainly on price.”
These new models are also key for operators and ISPs who can use the phones to add data revenue streams beyond just voice.
Thursday, January 7, 2010
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