Industry Analysis & Industry Trends
Companies in the Internet Service Providers industry offer retail internet services and include firms that own or lease the telecommunications infrastructure. Revenue is derived from the provision of internet services to consumers, businesses and governments. Internet service providers (ISPs) have historically been one of the fastest growing industries in the technology sector. However, market saturation for fixed broadband has caused revenue growth to slow over the past five years. Growth is beginning to pick up pace again as technologies are upgraded. Revenue is forecast to grow by an annualised 6.6% in the five years through 2014-15, to reach $4.9 billion.
The industry is forecast to continue its recovery in 2014-15, with revenue growth of 7.4%... purchase to read more
Industry Report - Industry Investment Chapter
The industry is characterised as having high levels of capital intensity. Major players like Optus and iiNet have followed the path of investing in their own networks. For every dollar spent on capital, an estimated $1.08 is allocated for labour. This is classed as a very high level of capital intensity. The ratio of labour to capital is used to determine the amount of labour used for every unit of capital within the industry. Wage costs are used as a proxy for labour while depreciation is used as a proxy for capital. Capital equipment in the industry comprises various servers, multiplexers, routers, underground cables and a range of various computing equipment... purchase to read more