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Telecommunications industry

Industry Leaders Collaborate to Expand DSL Broadband Technology

Strategic Insights

— 1 min read

Co-marketing agreement between GTE, Linksys, and buy.com aims to simplify DSL service signup process and encourage adoption of broadband networking solutions. The partnership develops an online solution for consumers, allowing them to easily purchase network hardware and tap into the benefits of DSL broadband technology. This collaboration is expected to fuel growth in the home network market, with the Yankee Group predicting 7 million DSL users by 2004 and the home network market expanding from 650,000 to over 10 million by 2003.

Key Takeaways:

  • GTE, Linksys, and buy.com have formed a co-marketing agreement to expand the benefits of DSL broadband technology through easy networking of PCs in homes and small offices.
  • The Broadband Online Center (BOC) is an online solution that simplifies the DSL service signup process, identifies network hardware needed, and allows for easy online purchasing of that hardware.
  • The BOC site provides consumers with easy-to-understand information about DSL, networking terminology, and the benefits of a DSL network, enabling them to make informed purchasing decisions.
  • GTE expects to have over 200,000 DSL subscribers by the end of 2000, and the Yankee Group anticipates 7 million DSL users by 2004.
  • The home network market is expected to grow from 650,000 to over 10 million by 2003, driven by the increasing adoption of broadband access and DSL technology.
  • Linksys has selected buy.com as its exclusive sales agent to fulfill orders coming in from GTE, leveraging their expertise in retail sales and customer service.
  • The partnership aims to provide consumers with value-priced networking products that are easy to install, reliable, and compatible with a wide range of devices.

Statistics:

  • GTE expects to have over 200,000 DSL subscribers by the end of 2000.
  • The YMCA predicts 7 million DSL users by 2004.
  • The home network market is expected to grow from 650,000 to over 10 million by 2003.
  • Linksys has a market share of around 30% in the retail channel.
  • Linksys provides a range of networking solutions, including Network Starter Kits, Phoneline networking solutions, and Routers.

Sources:

  • GTE (NYSE: GTE)
  • Linksys (http://www.linksys.com)
  • Buy.com (Nasdaq: BUYX, http://www.buy.com)
  • Yankee Group (http://www.yankees.com)

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