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Telecom Rising?

September 15th, 2005 · No Comments

Om Malik writes:

The telecom industry’s long-awaited turnaround may be under way. For the first time since the bust of 2000, companies are taking risks and making investments, broadband prices are beginning to stabilize after years of freefall, and, most important, demand for high-bandwidth data services is starting to rise.

Driven by the growing popularity of Internet-based services — including voice-over-Internet-protocol phone services from companies such as Vonage and Skype, newly launched services like Google Talk and Google Video, peer-to-file-sharing, and digital-music services from Apple (AAPL), Microsoft (MSFT), and Yahoo (YHOO) — bandwidth is in high demand. That, along with the growing number of consumers connecting to the Internet with DSL and cable modems, means good news for telecoms such as Level 3 Communications and WilTel that have endured years of losses.

Tags: Telecom

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