Telecoms 'to gain from downturn'

The telecoms industry is not only in a good position to survive the global economic downturn but may actually gain from it, according to an analyst.

Sharifah Amirah, from Frost & Sullivan, explained that businesses will want to "minimise risk and improve operational efficiency" as pessimism over the economy continues.

She said that telecoms businesses' mid-term focus should be on value-added services and new distribution strategies, which "will be key to growth".

"While focus will be very much on surviving the next couple of years, sights on further horizons should still be retained," she added.

However, Ms Amirah said that for telecoms firms to succeed in the long run, three "key themes" should be looked at - "mobility, content and bandwidth".

She concluded by pointing out that the government has announced it will invest in digital infrastructure to help the economy - which should provide an excellent opportunity for the telecoms industry.