Saturday, February 17, 2007

Global Capex Up, Video Drives It


Overall, North American telecom companies are projected to spend $70 billion on new infrastructure this year, down from the $110 billion they spent in 2000, up 67 percent from their 2003, says Infonetics Research. Global spending on new telecom gear is expected to rise to $240 billion in 2008, up 19 percent from 2005. Video is part of the reason.

While sending 100,000 emails costs a telecom company around 20 cents, transmitting 100,000 low-resolution videos costs around $15, and sending 100,000 high-definition movies costs around $10,800, says Infonetics Research.

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