13 May 2003 San Ramon, CA Lightwave-- In a survey of global wireline and wireless carriers, the Yankee Group found that almost all were dedicated to implementing packet-based architectures in their networks. The study was commissioned by the International Packet Communications Consortium (IPCC) to gain a better understanding of the acceptance and implementation of packet-based network architectures around the world. The Yankee Group surveyed 81 wireless and wireline carriers to determine the rate of next-generation network deployment and the amount of capital expenditures they are dedicating to packet-based technologies.
The study found that 73% of wireline service providers and 31% of wireless operators surveyed had implemented or were testing packet telephony in their networks. The highest percentages of carriers who had either deployed or were testing packet telephony solutions were in Eastern and Western Europe, with 80% and 92% respectively. Other regions also view packet-based architectures as a necessary element of future networks. Asia and Latin America placed the highest importance on migrating to a packet-based architecture over the next 12 to 24 months, findings that were consistent between both wireline and wireless carriers.
"Our research indicates that the deployment of packet-based architectures in all types of service provider networks around the world has begun in earnest and will continue in an irreversible trend," said Christin Flynn, director, Communications Network Infrastructure, Yankee Group.
The study surveyed non-U.S. wireline carriers and all major wireless providers in the U.S. and overseas. The IPCC had previously sponsored a study on U.S.-based wireline service providers.
In addition to detailed questions about deployment and migration plans, the Yankee Group asked these service providers about such topics as, cost savings expectations, protocol issues, preferences for single versus multi-vendor solutions, participation in standards bodies, and target markets.
"Capital expenditure reduction was the chief criterion for selecting a packet-based architecture vendor according to wireline providers, whereas wireless carriers valued feature compatibility and reliability most," said Berge Ayvazian, senior research fellow, Yankee Group. .
The study produced comprehensive data on such topics as capital expenditure planning, endpoint preferences and plans for purchasing legacy TDM architectures. The primary drivers for implementing a packet-based network were cost savings; the promise of an ideal architecture for new, revenue-generating services; and the ability to provide previously unavailable services in an effort to take advantage of regulatory liberalizations or restrictions. In addition, 43% of all wireline service providers surveyed said that they would not purchase a traditional Class 4 or Class 5 switch again.
Full results of the comprehensive survey are available to IPCC members via the consortium's web site. IPCC is an international industry association dedicated to the development of the market for all products, services, applications and solutions that utilize packet-based voice, data and video communications technologies, over the broadest range of transport mediums including wireless, copper, broadband, and fiber optics. The IPCC membership is comprised of a diverse group of wireline and wireless service providers, governmental agencies, standards bodies, equipment and software vendors and enterprises, representing all network elements involved in next generation networks.