The transition to fast communications opens up new markets and saves old ones.The internet crash of the late 90s was especially hard for
Level 3 . A Colorado provider has laid 20,000 miles of optical fiber in anticipation of an Internet boom. Instead, the network bubble burst. Faced with the loss of units and a 6.2 billion debt, executive director James Crow led his company through numerous staff reductions, the use of clever financial schemes, and the purchase of even weaker competitors. Last year, revenue began to grow again and traffic in Level 3 channels grew by 75%. Light appeared at the end of the fiber-optic tunnel.
Broadband has become ubiquitous. Consumer demand for heavy files fills the wide Level 3 channels with a raging petabyte stream. The total number of Internet connections (at a speed of 256 Kbps and faster) grew by 33% last year, with consumer growth reaching 264 million households. In some countries, for example, in South Korea and Hong Kong, Iceland and Monaco - more than three-quarters of the population have broadband Internet. In the US, this number is close to 50%.
Among the innumerable number of web services, only a few can boast of displaying a serious thirst for wide channels. The first ones are YouTube, a division of Google that digests more than 100 million videos daily and MySpace, News Corp., a social network that allows people to stream songs and videos to 90 million of their best friends. High-speed communications also open the doors to Apple's music download service iTunes, and Mac users
(all over the world and the closest outer space, approx. Per
.) Are now looking at the next-generation network resource eaters: iPhone will work with both iTunes and the Internet. Apple TV connects network video and traditional television, originally combined by TiVo and Microsoft Media Center, even more. But high-speed access to the network is necessary not only for fun with music and video. Skype acquired by eBay in 2005 allows every owner of a high-grade connection to organize video conferences with friends absolutely free.
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Residents of the network are increasingly experiencing broadband thirst, Internet providers rush to please them. Comcast's market leader has provided 11.5 million families with Internet communications services with speeds up to 16 Mbps. Attracting high performance, Verizon delivers 30 Mbit / s channels to 700,000 families with a market of 4.8 million, with the introduction of 50 Mbit / s services recently announced. In the meantime, companies serving Internet communications systems, in large quantities, are buying hardware from manufacturers such as Cisco, in turn, enjoying the best financial performance over the decades.
Despite the fact that broadband boom companies are located mainly in the US, the high-speed future seems to come first in the more advanced markets of Asia and Europe. In South Korea, where 20 Mbit / s channels are common, computer toy players are stars and
90 percent of 20-year-old Internet users spud their web site on the
Cyworld social network. This broadband culture not only provides Samsung with a local market for next-generation devices, such as the M8000 mobile phone that runs on Wimax networks, but also places the world's first broadband field for experimentation right in the backyard garden.
The Korean example demonstrates the basic modern network principle: broadband Internet is inevitable and vital. More data narrow narrow channels means wilting online environment. So expand the channels and get comfortable - watch the network flourish.
Kevin Kelleher, Wired 04/15/07