Metromedia - Competitors

Metromedia Competition

Now Viewing Metromedia's competition in: Telecommunication Services

Recent Developments

Demand for Rich Media Content Increasing - The combination of greater third-generation service (3G) adoption and a marked increase in rich media, made-for-mobile content will drive mobile entertainment revenues to $47.5 billion by 2010, according to Juniper Research, benefiting telecom service providers due to rising demand for content provided over wireless connections. Usage patterns are changing rapidly with the increasing availability of more sophisticated and attractive content designed for the mobile environment, according to Jupiter Research.

Telecom Providers Turn to Alternative Energy Sources - Telecom companies providing cell phone service in remote areas are turning to green energy to power infrastructure due to the rising cost of traditional fuels. Diesel generators that power base stations far from electrical grids are being replaced with wind, solar, or biofuel equipment. Industry experts say that fuel can account for as much as two-thirds of base-station operating costs.

Demand for High-End Cell Phones may be Decreasing - Texas Instruments, a major provider of computer chips to telecom equipment manufacturers, will trim financial forecasts amid weakening demand for high-end 3G cell phones. Many industry experts say that the announcement signals weakness in the high-end cell services market in developed countries due to economic weakness. Nokia, the world's largest cell phone maker, predicts overall wireless device industry unit growth to be about 10 percent in 2008.

Competitive Landscape

Demand is driven by technological innovation and by growth in business activity. The profitability of individual companies depends on efficient operations and good marketing. Large companies have big economies of scale in providing a highly automated service to large numbers of customers, and have the financial resources required to build and maintain a large network. Smaller companies can compete effectively only in small markets or by providing specialty services. Because of the large degree of automation, average revenue per employee is a high $300,000.

Full Industry Overview For Telecommunication Services

Telecommunication Services Industry Forecast

from Hoover's/D&B subsidiary First Research

The output of US telecommunications is forecast to increase at an annual compounded rate of 5.7 percent between 2007 and 2012.

Telecommunications Growth Steadies

First Research forecasts are based on INFORUM forecasts that are licensed from the Interindustry Economic Research Fund, Inc. (IERF) in College Park, MD. INFORUM's "interindustry-macro" approach to modeling the economy captures the links between industries and the aggregate economy.