The rapid pace of technology is already having a profound effect on the market for services in the telecommunications, broadcasting and IT sectors. 

The transition towards digitisation in all sectors and the explosive growth of the Internet have probably had the greatest impact on the market. The opportunities to compete in these new and challenging markets have been greatly influenced by the UK's policy of creating a stable regulatory environment that supports and underpins competition in both the network and service sectors.

New Products and Markets
There are huge opportunities for companies in the UK to develop new products and services. The countries who can gain a lead in this area, and bring their businesses and citizens with them, will be the ones who will gain most from the 'next wave' of new technology.   

The DTI launched the Next Wave Technologies and Markets Programme on 19 March 2001 (Available from Related External Sites). At the heart of this is a 'virtual' Interdisciplinary Research Centre or 'vIRC', which will take on research, development, demonstration and dissemination for the programme. For details visit the Next Wave Technologies and Markets website.

Recent Trends
A number of significant changes have taken place in the last couple of years, and are already beginning to shape market developments. These include

• The huge growth in mobile phones: mobile is already overtaking fixed telephone lines in some countries
  
• The growth in 'non-voice' services: the use of telecommunications to supply data will soon outstrip ordinary telephone calls.
  
• The massive and continued growth of Internet
  
• The limited success so far of using the Internet for voice telephone services
  
• The recognition by the telecommunications sector of the key role of the internet. 
  
• The erosion of national telecommunication boundaries.
  
• Much greater competition in networks, for example cable and satellite
  
• The introduction of digital TV via terrestrial cable and satellite which includes internet access
  
• The stimulation of broadband service delivery through regulatory changes such as unbundling the 'local loop'

Internet Protocol (IP) Convergence and Future Markets
The move towards more standardised networks for access to the internet for all forms of digital communications will result in more competition, and a blurring of market boundaries for services and content in the future. This will open up new opportunities for companies to expand into other markets.

Information and advice on markets is available at the DTI's UK Online for Business website available from Related DTI Sites.