Communication Articles - Is telecom innovation at risk?


by SUNIL NAIR - Date: 2010-07-21 - Word Count: 273 Share This!

Telecom systems vendors' R&D spending remains in the range of 13-14% of their revenues (on average), but venture capital funding of telecom start-ups has fallen steadily in recent quarters. Telecom-related patent filings are still rising at a strong rate, but there's a growing consensus that telecom vendors' differentiation must come from software, applications, and services. We agree, but believe current VC and vendor R&D trends threaten innovation. ( http://www.bharatbook.com/detail.asp?id=144827&rt=Is-telecom-innovation-at-risk.html )

Key chapters of the report :

Executive summary In a nutshell Ovum view Innovation is threatened by fewer VC commitments and big vendors' cost pressures What is the cost of lower levels of investment? How can vendors use their increasingly scarce resources? How can vendors get VCs interested and engaged in telecom again? What role do the Chinese vendors have to play? What does the power shift to the mobile world imply for innovation? What does the shift in growth to emerging markets imply for innovation? Tight budgets for telecom vendors, big and small, create challenges and opportunities VC support of telecom dropped starkly after the 1999-2001 bubble and weakened further in 2008-9 Industry increasingly relies on the big vendors for advances in technology US still leads in telecom innovation and patent filings across industries Will tight budgets and the rise of Chinese vendors push along the process of hardware commoditization? Software versus hardware is wrong focus: need for innovation-driven specialist vendors will remain

For more information kindly visit : http://www.bharatbook.com/detail.asp?id=144827&rt=Is-telecom-innovation-at-risk.html

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