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NEW DELHI: India's telecom equipment market is expected to grow at a Compound Annual Growth Rate (CAGR) of close to 10 per cent for 2005-2007. According to a report by research firm In-Stat, the Indian market would be the fastest growing market in the APAC region.
The APAC telecom equipment market will continue to grow robustly, from $43 billion in 2005 to $47 billion in 2007, reports In-Stat. The growth drivers for the regional equipment market include expansion of all types of networks in China and India, the accelerating deployment of high-speed Internet access networks in Japan, South Korea and other developed country markets, as well as the implementation and extension of 3G wireless networks throughout Asia/Pacific.
"As competition will intensify in the marketplace, equipment vendors will have to differentiate themselves to win projects by excelling in a focused product area or providing comprehensive choices and end-to-end solutions. Market consolidation is expected to happen among service providers in weaker positions," said In-Stat analyst Victor Liu.
The research also found that in 2005, telecom service providers in APAC collectively spent 12.9 per cent of their service provisioning revenue on purchasing new equipment. In 2005, Ericsson was the top wireless equipment vendor, Cisco won the war for data networks, Alcatel sold the most Internet access equipment, while Huawei kept its leading position on transport systems.
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