The Key Components to Success in the Teleport Business

by Robert Bell

Executive Director,  World Teleport Association

Specialization in one or two services brings benefits to teleport operators, including in-depth knowledge of customer needs, the ability to invest in technology appropriate to those needs, and a high degree of expertise. But specialization also carries the risk of having too many financial eggs in one basket. When asked to identify service from which their companies generated at least 25% of revenues, respondents put enterprise networking at the top of the list, followed by broadcast video, civilian government applications, Internet backbone and VoIP and military government applications. By diversifying into multiple markets, operators hedge against the major dynamics that continue to transform the markets they serve.