WHEATON, Md.—Sales in the telecommunications industry will begin to rise in the first quarter of 2002, a new Shosteck Group study optimistically predicts.
“However, this does not mean that things will go back to the way they were prior to the slowdown,” warns Jane Zweig, chief executive officer of The Shosteck Group. “Companies who were at the top prior to this slowdown may no longer be there. After the recovery, this opens opportunities for innovative companies who will fill many of the gaps left by the majors. Additionally, the rules which governed the market prior to the slowdown may no longer apply.”
The Shosteck Group predicts that continuing increases in subscribers and use will force network operators to resume construction, resulting in increasing revenues for telecom equipment vendors. The study also concludes that vendors will need to find a way to support R&D projects, out of sheer demand, perhaps making room for start-ups.