Fixed-mobile Substitution is Accelerating, says Analysys.LONDON -- As mobile voice services become increasingly affordable, they are rapidly substituting for fixed voice services across Western Europe Western Europe The countries of western Europe, especially those that are allied with the United States and Canada in the North Atlantic Treaty Organization (established 1949 and usually known as NATO). , according to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. a new report, Fixed-Mobile Substitution in Western Europe: causes and effects, by Analysys, the global advisers on telecoms, IT and media (http://research.analysys.com). This report comes as the industry is gearing up for 3GSM (Global System for Mobile Communications) A digital cellular phone technology based on TDMA that is the predominant system in Europe, but also used worldwide. Developed in the 1980s, GSM was first deployed in seven European countries in 1992. in Barcelona, 12-15 February. "Users are increasingly opting for the convenience and personalisation of mobile phones, even when a cheaper fixed phone is available," says Dr Alastair Brydon, co-author of the report. "Despite falling fixed and mobile prices, overall spend on voice services is holding up well, as mobile users choose to make more expensive mobile calls instead of fixed calls." Key findings include: * Fixed-mobile substitution (FMS FMS - Flexible Manufacturing System (factory automation). ) is accelerating and could result in more than half of all voice traffic in Western Europe originating on mobile phones by the end of 2008. Mobile voice usage already far exceeds that level in Austria, Finland and Portugal. * The extent of FMS varies widely between countries. The percentage of households that are mobile-only in Finland is five times greater than in Sweden. In early 2006 the proportion of total voice minutes that originated on mobile networks ranged from 18% to 70% across Western Europe. * The growing use of mobile phones has helped to increase overall voice traffic and maintain the level of spend on voice services in Western Europe. "Our analysis shows that the affordability of mobile voice calls is the key factor in the level of FMS in a particular country," explains co-author Dr Mark Heath. "Once mobile pricing becomes affordable, there is little that fixed operators can do to halt traffic migration. However, some mobile operators have damaged their revenue by cutting prices too much." Purchase the report at http://research.analysys.com/store, priced at GBP GBP In currencies, this is the abbreviation for the British Pound. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. 1700 (EUR EUR In currencies, this is the abbreviation for the Euro. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. 2450) plus VAT or email research@analysys.com. Analysys will be at 3GSM where it will also be releasing key findings of a new report entitled en·ti·tle tr.v. en·ti·tled, en·ti·tling, en·ti·tles 1. To give a name or title to. 2. To furnish with a right or claim to something: Strategies for MVNOs. About Analysys (www.analysys.com) Analysys provides strategy and management consultancy, information services See Information Systems. and start-up support throughout the telecommunications, IT and media sector. The company has over 160 staff worldwide, and, as part of the Analysys Mason Group, has offices in Cambridge, Dublin, Edinburgh, London, Madrid, Manchester, Milan, Paris, Singapore and Washington DC. |
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