According to Insight Research, the aggregate market for a key group of data services for U.S. businesses will grow two to three times the rate for basic transport services, representing more than a $160 billion opportunity for carriers over the next five years. The research house says high growth areas include business broadband, IP VPNs, Ethernet, IP applications in the cloud, and hosting services.
"The groups of telecommunications services we've identified are fast becoming a growth engine for businesses of all types, and supplying these services to U.S. businesses will give a shot in the arm to telecommunications suppliers," wrote Robert Rosenberg, president of Insight.
"These data applications are strategic in the sense that they are driving exponential traffic growth onto corporate networks and supplying advanced services such as IP applications in the cloud. Ethernet access to these cloud-based applications is the future, and service providers need to make the strategic choice to focus their investments and resources on this growth segment," Rosenberg said.