Word: wireless
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...Wall Street Journal reports that the iPhone is so feature rich that "the resulting growth in downloading and Web browsing will strain AT&T's network." AT&T is not alone. Sprint (S) and Verizon Wireless (VZ)(VOD) are up against the same problems...
...Canada is a reflection of a fundamental power shift taking place globally. Once untouchable telcos and their suppliers, including Nippon Telegraph & Telephone Corp., Deutsche Telekom and France Telecom, have become mastodons stuck in a tar pit. They are surrounded by a host of new technologies and hungry cable companies, wireless operators and handset providers with low-cost solutions and must-have apps. These competitors and their supply chains are smarter, faster, more aggressive. And they're gobbling up business in the $1.7 trillion global market for telecom services, including traditional fixed lines, at a ferocious rate...
...ability to attract subscribers to a discounted triple-play bundle that combines voice, cable and high-speed Internet. "We're prepared to fight for new business," says Robert Depatie, president and CEO of Videotron, a division of multinational media company Quebecor Inc. Videotron plans to roll out a wireless network covering Quebec and parts of Ontario...
Nortel, a former member of the BCE family, was able to use an earlier power shift that made long-distance competition possible to become a global leader, but it failed to repeat that with cable phone and wireless broadband. Nortel continues to make money on CDMA networks, a wireless protocol still used by many providers worldwide. But in 2007 it sold its GSM division, the 3G standard for the most advanced mobile communication, to rival Alcatel-Lucent...
Skype's popularity underscores the fact that even wireless providers who consider themselves leading edge are increasingly viewed as utilities that provide a basic service like water or power. What matters most to users is the latest iPhone or BlackBerry with the sleekest applications. These added pressures to the customer base and bottom line may turn out to be for the telecom industry what the automobile was to the horse. Skype co-founder Niklas Zennstrom predicts that in less than a decade, telcos and cablecos will be on the bottom of the telecom food chain, faceless operators of low-value...