Sunday, February 20, 2011

The Advancement of Technology

In the developing world, the advancement of technology provides the best ever platform on which to meet the demands of growing business needs that enhance investment opportunities. Previously, a number of internet service providers had been licensed in Kenya but due to the advancement of technology, less ISPs are operational and more are logging out of once a lucrative business. Most of the affected ISPs are those that are unable to create value addition on their products. Some of the developing nations have forced unviable business models on ISPs and with the absence of an extensive and elaborate telecoms infrastructure with the known erstwhile state company monopoly, ISPs are essentially established as corporate customer gateways to the internet.
 Growth in the average internet traffic by the adoption of mobile phones with features like 3G mobile networks has further complicated the survival of ISPs. The advancement of technology in the telecommunication sector, has seen cell phones continue to dominate and compete in the internet sector with expected revenue reduction in the voice market. Several WIMaX operators continue to be absorbed by giant mobile service providers.
Most analysts even say that in order to survive in the competitive markets, ISPs should consider from just being infrastructure and connectivity providers to content provision and intermediaries. And with continued advancement of technology, there will be more focus on end user customers rather than corporate customers.
The pressure is even more by the fact that mobile providers are now trying to lure individual internet users to corporate internet customers away from the traditional ISPs. However one of limitation experienced by mobile providers is the quality of the services with possibilities of congestion. On the other hand, traditional internet providers have a wired internet that is able to guarantee consumers better quality.
With the advancement of technology, telecommunication firms are expected to partner with satellite TV content providers to sell multi play, high quality television, telephone and internet services to the end users and possibly grow into online content providers.   
Just like technology continues to advance, end users continue to get educated on the available services. In fact a large section of rural residents in the developing world can now access internet services via their cell phones. The advancement of technology will help in the introduction of innovations especially from the mobile phone service providers. 

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