Infrastructure sharing to save companies $60 bln by 2014

ABI Research finds that the worldwide combined OPEX and CAPEX savings from active infrastructure sharing could amount to as much as $60 bln over the next five year period. The study finds that operators could enjoy at least 40% cost savings in addition to those available from passive site sharing.

Worldwide IT Spending by Vertical Markets in 2009

Industry and spending, mln. $ IT Spending 2009 IT Spending 2008 Growth, YTY
Utilities 131,812 128,146 2.9
Healthcare 88,012 86,080 2.2
Government 428,289 419,533 2.1
Communications 371,515 368,341 0.9
Education 59,961 59,341 1.0
Agriculture, Mining and Construction 29,658 29,386 0.9
Services 192,622 190,304 1.2
Retail Trade 153,755 153,331 0.3
Transportation 105,806 105,985 -0.2
Financial Services 554,388 558,496 -0.7
Wholesale Trade 81,446 81,158 0.4
Manufacturing 479,586 482,723 -0.6
Total 2,676,850 2,662,825 0.5
Source: Gartner

International phone calls up 12% in 2008

Cross-border telephone traffic grew 14% in 2007 and is estimated to have grown 12% in 2008, to 384 billion minutes. Due to declining call prices, however, revenues have largely been flat. While international telephone traffic is increasing at a modest pace, Skype’s international traffic has soared: TeleGeography estimates that Skype’s cross-border traffic grew approximately 41% in 2008, to 33 billion minutes, equivalent to 8% of combined international telephone traffic, TeleGeography says.

Top Technology Priorities in 2009

Top 10 Business Priorities Ranking Top 10 Technology Priorities Ranking
Business process improvement 1 Business intelligence 1
Reducing enterprise costs 2 Enterprise applications (ERP, CRM and others) 2
Improving enterprise workforce effectiveness 3 Servers and storage technologies (virtualization) 3
Attracting and retaining new customers 4 Legacy application modernization 4
Increasing the use of information/analytics 5 Collaboration technologies 5
Creating new products or services (innovation) 6 Networking, voice and data communications 6
Targeting customers and markets more effectively 7 Technical infrastructure 7
Managing change initiatives 8 Security technologies 8
Expanding current customer relationships 9 Service-oriented applications and architecture 9
Expanding into new markets and geographies 10 Document management 10
Source: Gartner

LCD TV panel sales to grow 20.5% in 2009

The Information Network forecasts array processing equipment to decrease 41% in 2009 following an increase of 30% in 2008. Large-size TFT-LCD panel growth in 2009 will be buoyed by LCD TV and notebook sales. For 2009, 113.3 mln panels will be sold for LCD TVs, up 20.5% from 94.0 mln in 2008. Panels for notebooks will grow slightly faster, up 26.6% to 177.0 mln panels. Panels for monitors will decrease 17.0% in 2009 to 144.9 mln units.

US consumer electronics shipments to generate $171 bln in 2009

The consumer electronics industry is projected to generate $171 bln in US shipment revenues in 2009, according to Consumer Electronics Association. CEA’s estimate of final shipment revenues for 2008 showed the industry reached a new high of $172 bln, an increase of 5.4% over 2007. In 2009, overall, CEA projects that domestic shipment revenues will essentially remain flat at $171 bln, a decrease of 0.6% over 2008. The primary revenue driver for the industry continues to be digital TV displays, representing 15% of total industry shipment dollars. As the transition to digital television nears, unit shipments of DTVs will approach 35 mln in 2009, an increase of nearly 6% over 2008 shipments. LCD displays remain the top choice among consumers, representing 77% of total DTV units. Blu-ray players are expected to see major growth in 2009. With more content, new products and lower prices, Blu-Ray revenues are projected to surpass $1.2 bln.

Spending by largest ad categories in Q1-Q3 2008

Product Category Q1-Q3 2007 Q1-Q3 2008 Growth
Automotive
(Factory & Dealer Assoc.)
8,505.2 7,857.5 -8%
Pharmaceutical 3,855.3 3,682.1 -4%
Auto Dealerships – Local 3,422.9 3,327.1 -3%
Quick Service Restaurant 2,929.6 3,258.1 11%
Motion Picture 2,665.8 2,683.2 1%
Wireless Telephone Services 2,663.7 2,675.8 0%
Department Store 2,432.4 2,615.7 8%
Direct Response Product 1,657.6 2,110.4 27%
Restaurant 1,225.1 1,334.6 9%
Furniture Stores 1,189.2 1,186.7 0%
Top 10 Product Categories 30,546.9 30,731.3 1%
Source: Nielsen

LCD TV revenues to fall 16% in 2009

DisplaySearch forecast LCD television revenues would fall 16% YTY to $64 bln in 2009, with total TV revenues expected to decline 18% to $88 bln. For 2009, DisplaySearch predicts the LCD TV market will grow 17% to 119.9 mln units, 11.5 mln units less than previously forecast.

Internet ad spending by top companies for Q1-Q3 2008

Parent Company Q1-Q3 2007 Q1-Q3 2008 Growth
Procter & Gamble Co. 2,526.0 2,342.3 -7%
General Motors Corp. 1,730.4 1,659.6 -4%
AT&T Inc. 1,351.1 1,317.6 -2%
Verizon Communications Inc. 1,018.8 1,125.6 10%
Toyota Motor Corp. 1,246.8 1,194.1 -4%
Ford Motor Co. 1,452.0 1,112.9 -23%
Johnson & Johnson 1,005.2 1,059.1 5%
Time Warner Inc. 983.9 878.2 -11%
General Electric Co. 680.3 807.9 19%
PepsiCo Inc. 749.5 730.5 -3%
Total Top 10 12,743.8 12,227.8 -4%
Source: Nielsen

Worldwide IT spending will grow 2.6% in 2009

Worldwide IT spending will grow 2.6% YTY in 2009, down from IDC’s pre-crisis forecast of 5.9% growth. In the United States, IT spending growth is expected to be 0.9% in 2009, according to IDC. IDC expects IT spending to make a full recovery by the end of the forecast period with growth rates approaching 6.0% in 2012. IDC estimates that more than $300 bln in industry revenues will have been lost due to slower spending over the next four years. IDC lowered the forecast for worldwide GDP growth in 2009 to 0.3%, which is 1.5% lower than the current forecast and worse than any year since World War II. This produced a forecast of 0.1% growth in worldwide IT spending in 2009 with negative growth in the United States, Western Europe, and Japan.

Where consumers spend their money online – video games grew 60% in one year

Product Category Growth, YTY
Total Retail Category (Excludes Travel) 6%
Video Games, Consoles & Accessories 60%
Furniture, Appliances & Equipment 52%
Sport & Fitness 40%
Event Tickets 18%
Flowers, Greetings & Misc. Gifts 14%
Home & Garden 6%
Consumer Electronics (excluding PC Peripherals) 1%
Computers, Peripherals & PDAs 0%
Apparel & Accessories -2%
Toys & Hobbies -3%
Jewelry & Watches -11%
Music, Movies & Videos -29%
Source: comScore

65% of Americans would prefer cash to gifts for 2008 holidays

65% of Americans would prefer to receive $100 in cash, instead of a specific present or a gift card of the same value. This result is up nine points from Western Union’s first survey, fielded in mid-September 2008. 53% of those who would prefer cash would use that money on basic living expenses such as gas, groceries and bills. Only 14% would spend it on a treat for themselves. 79% of Americans believe cash is a good gift because people can use it to get what they really want. There has been a dramatic drop in the number of respondents who plan to give gift cards for services such as a manicure or a pre-paid phone card. Two months ago that figure was 40%, but now the number is 30%.

62% of those with household incomes of less than $50,000 are likely to give cash. 53% of those with more than $50,000 in household income are likely to give cash. 65% of Americans said they often end up spending more on gifts than they had planned to spend.

IT spending in Bulgaria reached $944 mln in 2007

IT spending in Bulgaria exceeded $944 mln in 2007, with YTY growth of 32.3%. Measured in local currency, the market expanded 20.5% YTY, according to IDC. The largest vertical market in terms of IT spending in Bulgaria in 2007 was the communications sector, which invested almost $210 mln in IT, representing 22.2% of total IT expenditure in the country. The manufacturing sector placed second with 14.5% market share, followed by the financial sector with 13.2%. IDC expects demand for hardware, software, and IT services in Bulgaria to continue growing at an average annual rate of around 25% over the next five years to reach almost $2.4 bln in 2012.

Airline ticket sales by airline Web site

Supplier Sites Q2 2007 Q2 2008 Point Change
American Airlines 12.8% 10.7% -2.1
AirTran 4.9% 4.9% 0.0
Continental Airlines 11.5% 12.3% 0.8
Delta Airlines 14.2% 13.3% -0.9
JetBlue 5.9% 7.1% 1.2
Northwest Airlines 6.8% 4.3% -2.5
Southwest Airlines 28.1% 32.8% 4.8
United Airlines 7.5% 5.3% -2.2
US Airways 8.3% 9.1% 0.9
Total 100.0% 100.0% 0.0
Source: comScore

IT spending to grow 2.6% in 2009

Worldwide spending on IT will slow significantly in 2009 as a direct result of the global financial crisis that began in September 2008. IT spending will grow 2.6% YTY in 2009. In the United States, IT spending is expected to decline to 0.9% in 2009, much lower than the 4.2% growth forecast in August. On a regional basis, spending growth in Japan, Western Europe, and the United States will hover around 1% in 2009. Looking beyond 2009, IDC expects IT spending to make a full recovery by the end of the forecast period with growth rates approaching 6.0% in 2012. Despite these gains, IDC estimates that more than $300 bln in industry revenues will have been lost due to slower spending over the next four years.

Attitudes towards paying for extra airline amenities

Question: If airlines had additional fees for each of the following services, how likely would you be to pay the additional fee for each service?

Services Extremely Likely or
Somewhat Likely
Not At All Likely or
Somewhat Unlikely
Oversized Bags 24.2 53.3
Internet Access 20.2 65.1
Second Checked Bag 18.4 60.6
More Leg Room 16.9 65.6
Changing Flights 16.7 63.8
Curb Side Check- In 14.7 71.8
First Checked Bag 13.9 73.1
Non-alcoholic Drinks 11.9 75.4
Window Seat 8.9 79.3
Aisle Seat 8.4 77.3
Booking by Phone 8.3 79.9
Pillow or Blanket 8.3 81.5
Source: comScore