For Immediate Release
Contact: Christian Hamaker, 703-351-2092, [email protected]
Arlington, Va. (August 14, 2014)—Rural telecom companies are responding to broadband and local phone competition in their markets by increasingly offering bundled services, TV service and fiber to the home among other options, according to the newly released “2014 Competitive Services and CLEC Operations Report” from NTCA–The Rural Broadband Association.
Asked about 14 specific responses to competition, rural-telco survey respondents indicated that 12 of 14 choices are more widely used now than they were three years ago, when NTCA last surveyed telcos on competitive services. Service bundles, the most widely embraced response to competition, were used by 94% of respondents—up from 81% of respondents in NTCA’s “2011 Competitive Services and CLEC Operations Report.”
Yet in an era where Internet and other broadband services generate the most headlines, voice services remain immensely popular with rural telcos. Ninety-four percent of survey respondents offer long-distance plans to their customers, and the percentage of those selling hosted VoIP has more than doubled, from 30% in 2011 to 63% in 2014.
The survey also found that data services are increasingly popular, with the exception of dial-up Internet, which is now offered by 46% of respondents—down from 79% of respondents in 2011. Video service remains strong, with nearly nine in 10 (87%) respondents offering either cable TV, IPTV or satellite TV, and 66% of respondents reporting that their video offerings are meeting or exceeding expectations.
“Competition doesn’t go away,” said NTCA Publications Manager Christian Hamaker, who authored the report. “It evolves and grows stronger, requiring independent telcos to adjust and adapt to an always evolving competitive landscape for telecom services. The industry has done just that. The survey results show a wide embrace of data services and the abiding strength of voice services.”
Previous survey reports on competitive services and CLEC operations were published in 2011 and 2008. Comparative data for both years is offered where applicable in the 2014 report.
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NTCA–The Rural Broadband Association is the premier association representing nearly 900 independent, community-based telecommunications companies that are leading innovation in rural and small-town America. NTCA advocates on behalf of its members in the legislative and regulatory arenas, and it provides training and development; publications and industry events; and an array of employee benefit programs. In an era of exploding technology, deregulation and marketplace competition, NTCA’s members are leading the IP evolution for rural consumers, delivering technologies that make rural communities vibrant places in which to live and do business. Because of their efforts, rural America is fertile ground for innovation in economic development and commerce, education, health care, government services, security and smart energy use. Visit us at www.ntca.org.