Atlantic-ACM Prepaid Market Study Shows Continued Growth, Segmentation and Consolidation.

Business Editors

BOSTON--(BUSINESS WIRE)--Feb. 7, 2002

ATLANTIC-ACM released its seventh annual study of the U.S. prepaid industry Prepaid Industry Market Sizing and Forecasts 2002-2006, demonstrating growth in different products within the prepaid industry. The continued expansion in the prepaid sector can be attributed to the increasing number of users of prepaid cards, as well as the increase in the various types of prepaid services offered by providers.

"We have seen and will continue to see growth in new products in the prepaid industry, particularly in prepaid wireless services" stated Dr. Judy Reed Smith, CEO of ATLANTIC-ACM. "We've seen the industry develop from primarily prepaid long distance calling cards to a mixture of multiple services including prepaid wireless, prepaid local dial tone and prepaid Internet access," she added. Prepaid wireless revenues are anticipated to increase from just under $3 billion in 2001 to $9 billion by the end of 2006, according to a study by Atlantic-ACM in Boston.

Competition in the prepaid industry is fierce, resulting in providers scrambling to find new and unique ways to attract consumers. Prepaid Internet access, prepaid local dial tone, virtual cards and prepaid wireless offer extended services, where sweepstakes, scratch tickets, give-aways, and private label cards serve as promotions. "As more consumers become aware of, and comfortable with, prepaid services they will accept them as a viable means of communication" stated Imke Louis-Mensah, Prepaid Analyst for ATLANTIC-ACM and recipient of InteleCards Editors' Choice Award for 2001.

Monitoring the patterns and directions of the prepaid industry, Prepaid Industry Market Sizing and Forecasts 2002-2006 provides sizing information and future projections of the entire prepaid industry. The 130+ page report was released this January and is available for $2,495.00(US). For more information visit the ATLANTIC-ACM website at www.atlantic-acm.com, or call direct at [phone].

ATLANTIC-ACM is an international strategy consulting and research firm well known for its exclusive analysis of the competitive telecommunications industry in the United States. The company offers authoritative public reports on the industry, proprietary consulting to companies in converging and networked communications, and merger/acquisition counsel. ATLANTIC-ACM assists clients in evaluating telecommunications opportunities for successful investment, market entry, and long-term business planning.