Abstract
This IDC study sheds light on the state of the enterprise market for
telecommunications products and services in 2006. IDC asked telecommunications
decision makers across different size companies that compete in virtually every
major industry for their input regarding issues including budget trends and
managed service adoption. The information contained in this study can help
guide the marketing initiatives and investment priorities for hardware software
and service providers. This survey provides valuable insight by answering some
of the most pressing questions about enterprise end-user demand including:
- Are enterprise telecommunications budgets increasing?
- What are the factors driving telecommunications spend?
- Are spending trends different across company size or industry vertical?
- Are enterprises rapidly adopting emerging technologies?
- How fast is the demand for legacy technologies, such as frame and ATM, declining?
- What technologies will companies migrate to in the future?
- What are the business drivers igniting the demand for ever more bandwidth?
- Are companies willing to spend a premium on value-added services such as WAN optimization and application acceleration?
- Are managed services offerings poised for explosive growth in 2006?
- Are companies that view the network as a competitive differentiator less apt to employ managed services?
- What industry verticals are poised for strong managed services growth?
- Are small and medium-sized business finally adopting managed services?
"Maintaining operations of existing platforms will consume the largest portion
of the WAN budget in 2006. But respondents also indicated that they will
appropriate a considerable portion of their budgets to investing in new
technology platforms including VoIP and IP VPN - an encouraging data point for
service providers and equipment vendors alike." - Sean Hackett, research
manager, Business Network Services
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