VoIP set to drive consumer telecoms expenditure

Burgeoning demand for consumer telecommunication solutions such as VoIP and broadband will help the industry to grow by an average of 5.7 per cent for the next five years, according a new report.

Research from In-Stat shows that the sector will generate worldwide revenues of $2 trillion by 2012.

This expansion will be driven by VoIP traffic doubling in the next four years, while take up of broadband services is also set to accelerate.

However, In-Stat analyst Keith Nissen, who produced the report, warned that poorer nations face being left behind during the digital revolution.

He said: "The digital divide will continue to grow. By 2012 broadband penetration in developed countries will exceed 85 per cent, while developing countries languish at less than ten per cent."

Mr Nissen also added that 3G products will prove increasingly attractive to consumers in the near future, with consumer mobile services set to account for 60 per cent of the industry's total revenue.