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Top operators fight over $1tn business sales
11 July 2012
The market to provide telecoms services to the world’s largest companies is hugely fragmented, an exclusive survey for GTB shows
The world’s market for IP business services is remarkably fragmented, with few telecoms providers dominating even in their home markets. And most large users spread their custom around many providers — with eight to 10 suppliers sharing only one third of business and the rest divided among dozens more.
The survey is based on IP data from UK-based network and service analysis company BackChannel, gathered exclusively for Global Telecoms Business.
The study shows that some companies are not as international as they appear. Nearly 60% of the IP services that AT&T delivers worldwide go to US-based customers. Of the world’s large operators it is one of the most focused on its home market — only one percentage point above China Telecom’s focus on China for the IP services it delivers.
By contrast NTT Communications provides slightly more services in the US than it does in its own home market of Japan. And AT&T’s great rival in the US corporate business market, Verizon, provides a relatively modest 35% of its IP services to the US, 65% in the rest of the world.
In two of the world’s biggest markets, the US and the UK, no one provider has more than a 10% share of IP services. In the UK, 12 companies share 48% of the services, with many more competing for the other 52%. In the US, there are 13 companies — from AT&T with 9.3% in the lead to AboveNet with 2.7% — that share 63% of the business. GTB
To read more of this survey, follow this link to the Global Telecoms Business site