ATM-based IAD market worth over $1 billion by 2005, according to Allied Business Intelligence Inc.

Business & Technology Editors

OYSTER BAY, N.Y.--(BUSINESS WIRE)--Nov. 10, 2000

The worldwide market for T1/E1 ATM-based integrated access devices (IADs) will grow from $97 million in 1999 to over $1 billion in 2005, showing a compound average annual growth rate of approximately 30%. Although almost 84% of this revenue is from the North American market, this market is experiencing significant growth abroad as well.

This is according to "IADs and CSU/DSUs: Worldwide T1/E1 CPE Market," a new report from Allied Business Intelligence (ABI). The study examines the worldwide market for both ATM-based IADs and for T1/E1 lines, as well as the equipment necessary for each product, and the advantages, disadvantages, uses and users for each. Both markets are forecasted annually through 2005.

ATM-based IADs are a relatively new technology that offer any combination of voice, video or data over a single connection. According to Nancy Szekretar, an analyst at ABI and author of the report, "IADs are extremely cost-efficient solutions for many market segments, including small to medium-sized businesses and home offices.

Because they fit into that niche so well, their growth will be explosive."

T1/E1 lines are still experiencing healthy growth, despite the fact that they are one of the older technologies. According to ABI, the worldwide market value for T1/E1 lines will grow from $794 million in 2000 to nearly $1.8 billion in 2005. "Their unrelenting popularity is mainly due to the unbundling of local loops and the deregulation that is taking place in international markets," comments Szekretar. "T1/E1 lines offer users a significant amount of both bandwidth and reliability, and the growing use of the Internet will simply fuel the growth of T1/E1 lines."

This report closely examines the competitive market for each technology, taking into consideration the manufacturers, pricing and regional factors that affect both. Brief company profiles of the major players involved, as well as a breakdown of the market share for each, are provided. The world market is broken down into regions to provide a closer look at which areas are mostly using these technologies; there are profiles on several European and Asia-Pacific countries in order to closely examine the T1/E1 trends within those specific areas.

Allied Business Intelligence Inc, is an Oyster Bay, NY-based technology research think tank specializing in communications and emerging technology markets. ABI publishes strategic research on the broadband, wireless, electronics, networking and energy industries. Details of these studies can be found at www.alliedworld.com. Or call 516/624-3113 for more info.