Wireless Industry Still Healthy

While some industries are on life support (e.g. the Automotive industry), the wireless industry is still growing and in some sectors, thriving. I blogged yesterday about the fact that even with consumer cutting back on most everything else, they are still going after smart phones like the BlackBerry. Oh sure, there have been inevitable problems hitting the certain players in the wireless industry such as Nortel (filing Chapter 11) and Ericsson with its succession of layoffs. But as a whole, the industry is doing well, with companies like Lightyear Wireless still experiencing growth.

While the Nortel collapse was a big deal in the industry, was it really due to the economy? Nortel had a long history of problems and has long been a company that has had difficulty turning a profit. Companies like that tend to be the first to fall away when things get tough. At any rate, the problems that led to the Nortel collapse did not happen overnight. Other companies are rightsizing their organizations.

But the bottom line is that customers still want and need cell phones and cell phone plans. And the key word in there is ‘need’. When customers feel they need something - whether real or perceived need - there will continue to be a market for that product or service under just about any conditions.