Wires crossed: The industry struggles to remain relevant against competing technologies

The Wired Telecommunications Carriers industry faced significant challenges over the past five years, with external competitors such as the Wireless Telecommunications Carriers industry siphoning its revenue. In addition, industry operators have suffered because of growing demand for fiber-optic broadband internet access. Over the five years to 2022, major telecommunications players are expected to continue focusing on and expanding more in-demand services, such as high-speed internet. However, industry revenue is anticipated to continue to decline as demand for voice services continues to fall, with a greater percentage of households only using wireless phones...purchase to read more.

Industry Statistics & Market Size
Annual Growth 12-17
Forecast Growth 17-22
Market Share of Companies

Industry Threats & Opportunities

  • Demand for voice services continues to decline, as more households use wireless phones only
  • Businesses and government organizations have been slower to cut the cords to their landlines
  • Decreasing demand for wired voice telephony will outweigh increasing demand for internet access
  • Industry Report - Industry Locations Chapter

    The number of US households with only a fixed telephone connection has been steadily decreasing, although the percentage of wireless-only households varies by states and regions. For example, according to data published by the National Center for Health Statistics, in 2011, about 34.0% of US households had only wireless telephones; in 2015 (latest available data), this figure had grown to 48.3% of US households.Previous regulations have had a significant impact on the geographic spread of the industry. For example, following AT&T's divestiture, the divested Regional Bell Operating Companies (RBOC) were precluded from offering toll services that crossed the boundaries of their local access and transport areas (LATAs), thereby limiting the geographic footprint of their operations. Mor...purchase to read more.

    Additional Insights for the Wired Telecommunications Carriers Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Wired Telecommunications Carriers Industry are

  • Development of a symbiotic relationship with another industry
  • Provision of a related range of goods/services
  • Accessibility to consumers
  • IBISWorld analysts also discuss how external factors such as Number of broadband connections and Number of mobile internet connections in the Wired Telecommunications Carriers industry impact industry performance..

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    What's in this report

    What is the Wired Telecommunications Carriers Industry?

    This industry provides local and long distance voice communication services using the public switched telephone network. Industry operators also generate revenue by providing private network services and by wholesaling access to their networks for voice communication. This industry excludes operators that provide wired internet or video services and those that solely resell telecommunications services (IBISWorld report 51791a).

    Industry Products
  • Fixed local telephony
  • Wholesale network access
  • Fixed long-distance telephony
  • Subscriber line charges
  • Private network services
  • Industry Activities
  • Providing local voice communication services
  • Providing long-distance and international voice communication services
  • Wholesaling network access
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Number of broadband connections
  • Number of mobile internet connections
  • Number of businesses
  • Per capita disposable income

  • Current Performance
  • Abandoning the wire
  • Businesses slower to change
  • Technology substitution
  • Chart: Revenue Growth

  • Industry Outlook
  • Dismal future
  • Table: Wired Telecommunications Carriers Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Wired Telecommunications Carriers Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • VoIP
  • Telecommunications Resellers
  • Internet Service Providers
  • Consumers

  • Key Selling Industries
  • Telecommunication Networking Equipment Manufacturing
  • Transmission Line Construction

  • Products & Services
  • Fixed local telephony
  • Private network services
  • Wholesale network access
  • Fixed long-distance telephony
  • Subscriber line charges
  • Other
  • Chart: Wired Telecommunications Carriers Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Residential
  • Business, government and non-profit organizations
  • Chart: Major Market Segmentation for the Wired Telecommunications Carriers Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesWagesDepreciation, marketing, rent and utilities
  • Chart: Cost Structure Benchmarking – Sector vs Wired Telecommunications Carriers

  • Basis of Competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Wired Telecommunications Carriers Industry

  • Industry Globalization
    AT&T Inc., CenturyLink Inc.,
  • Table: AT&T Inc. - financial performance
  • Table: CenturyLink Inc. - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Wired Telecommunications Carriers Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Wired Telecommunications Carriers Industry
  • Industry Revenue (2008-2022)
  • Industry Gross Product (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Wages (2008-2022)
  • Number of mobile internet connections (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Table: Industry Financial Ratios
    Access Line
  • A wire (or series of wires) that forms a direct connection between a customer and the local telephone exchange.
  • Competitive Local Exchange Carrier (Clec)
  • A telecommunications carrier that competes with the already established incumbent local exchange carriers (ILECs).
  • Core Network
  • The central part of a telecommunications network that encompasses the principal transfer routes of information to and from subnetworks.
  • Incumbent Local Exchange Carrier (Ilec)
  • The original, monopoly local exchange carrier in a given area; ILECs receive different regulatory treatment than the newer CLECs.
  • Integrated Services Digital Network
  • A set of communications standards that allows for the simultaneous transmission of data, voice and video services over the public switched telephone network.
  • Local Access And Transport Area (Lata)
  • A region that differentiates between local and long distance calls. Intra-LATA calls are handled by local exchange carriers, while calls between LATAs are handled by long-distance carriers.
  • Public Switched Telephone Network
  • The network of the world's public circuit-switched telephone networks, consisting of a variety of transmission technologies all interconnected by switching centers.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s industry research report on Wired Telecommunications Carriers can be used to help you understand the industry’s market size, growth potential and major companies. Five-year forecasts provide insight into the industry’s prospects, so you can make decisions with confidence. This information is perfectly suited to informing your business plans, pitch books, benchmarking and SWOT analysis.

    IBISWorld industry market research reports enable you to:
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    This report on Wired Telecommunications Carriers:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Wired Telecommunications Carriers market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Wired Telecommunications Carriers, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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