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Home > Regional > Europe & Middle East
Europe & Middle East
May 24, 2004 - Telecoms firms across Europe, already battling high debt levels, are facing a new threat to their already fragile revenues - the growing success of companies offering phone calls through the Internet. AFP reported that several Internet providers are now offering "Internet voice" services at very low charges as part of all-inclusive packages that analysts believe will force the telecom giants to adopt new tactics to preserve their fixed-line income. "The aim is to bundle services, stop consumers comparing prices and make clients more loyal. But fundamentally, Internet voice is a disruptive technology, just like low-cost airlines," said Cesar Zeitouni, an analyst at IT Asset Management. Some services using VoIP may only allow calls to other people using the same service but others enable calls with anyone who has a phone number. To stop their clients from deserting and to prevent the extinction of fixed-line telephony, traditional telecom firms are going to have to adapt to the challenge posed by the new technology -- and fast, the AFP report said. More information on: http://www.telecomasia.net/telecomasia/article/articleDetail.jsp?id=96215 |
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