Feeds

SME broadband demand may slow: Analysys

Telcos must focus on managed services

Remote control for virtualized desktops

European telecommunications firms must up their game to keep hold of their smaller business customers, according to market analysts.

A new report issued by Analysys on Friday has urged broadband providers in particular to focus on managed services in order to sustain interest from small and medium sized enterprises (SMEs) in western Europe. Managed services are "value-added" extras which a broadband operator may offer in a bundle alongside its core product, such as managed email accounts, or business network security features.

The study assessed 184 SMEs across France, Germany and Britain. It shows that while expenditure by these companies is expected to peak in 2009, the market for managed services in this field will continue to grow beyond this point. SME spend on broadband managed services is forecasted to increase by more than €4bn in western Europe by the end of 2011.

"From 2010 onwards, downward pricing pressure is expected to outweigh take-up of new broadband access connections by SMEs in western Europe," said report author Simon Sherrington. "This will push the value of the Western European SME market for broadband access into a slow decline. In order to sustain revenue growth, providers targeting the SME sector must introduce complementary services, and provision of broadband managed services is a key area for exploitation."

The report suggests that broadband managed services are already in demand with €5.7bn spent on these services by SMEs in western Europe in 2006.

Analysys provides management consultancy and information services and has over 160 staff worldwide. The company is part of the Analysys Mason Group which has offices in Dublin, Cambridge, Edinburgh, London, Madrid, Manchester, Milan, Paris, Singapore and Washington DC.

Copyright © 2007, ENN

Intelligent flash storage arrays

Whitepapers

Go beyond APM with real-time IT operations analytics
How IT operations teams can harness the wealth of wire data already flowing through their environment for real-time operational intelligence.
10 threats to successful enterprise endpoint backup
10 threats to a successful backup including issues with BYOD, slow backups and ineffective security.
Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Website security in corporate America
Find out how you rank among other IT managers testing your website's vulnerabilities.