Healthcare Vertical Market Currently Represents More Than 15% of Total Revenues
CHICAGO, Feb. 11 /PRNewswire/ -- Global Capacity (parent: Capital Growth Systems, Inc. (OTC Bulletin Board: CGSY)), the world's leading telecommunications information management and logistics company, today announced that its 2009 sales strategy will include a special focus on the healthcare sector. Global Capacity's healthcare vertical market, which represents more than 15% of the Company's revenues today, has gained particular momentum over the last few months specifically through the Company's Strategic Sourcing solutions.
Current estimates put U.S. healthcare spending at approximately 15.2% of GDP (gross domestic product). The healthcare share of GDP is expected to continue its historical upward trend, reaching 19.5% by 2017. Within this share, the U.S. healthcare industry is targeted to spend $55 billion on telecommunications solutions over the next five years, according to a study done by Insight Research Corporation. According to their study, spending by the U.S. healthcare industry on these solutions will grow at a compounded rate of 8.4% over the forecast period, increasing from $7.5 billion in 2008 to $11.3 billion in 2013.
"Healthcare Enterprises are looking for partners that can help build private networks that conform to the strict HIPAA compliance requirements while remaining cost efficient," said Patrick Shutt, Global Capacity Chief Executive Officer. "Global Capacity has been building and monitoring private networks since 2001 for an elite set of Fortune 1000 clients, including healthcare clients. As part of Global Capacity's longer-term strategy to diversify its revenue stream, it is important that we focus our attention on stronger vertical markets based on the effects of today's economy and the proposed implications of President Obama's stimulus plan. We have proven to our current healthcare partners that we can assist them in saving money while also building the private networks they require and we will pursue additional partners in this market segment."
About Global Capacity
Global Capacity (CGSY) is a telecom logistics company providing a fully-integrated telecommunications supply chain management system that streamlines and accelerates the process of designing, pricing, building, and managing customized communications networks. It offers a comprehensive suite of services to enterprises, systems integrators, and carrier customers worldwide. Global Capacity is headquartered in Chicago, IL, with operational centers in Waltham, MA; and Manchester, England; and offices in Houston, TX; Glastonbury, CT; New York, NY; Austin, TX; London, England; and Lisbon, Portugal. For more information, please visit www.globalcapacity.com or contact the Company at 312-673-2400.
Certain information discussed in this press release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and Federal securities laws. Although the Company believes that the expectations reflected in such forward-looking statements are based upon reasonable assumptions at the time made, it can give no assurance that its expectations will be achieved. Readers are cautioned not to place undue reliance on these forward-looking statements.
Forward-looking statements are inherently subject to unpredictable and unanticipated risks, trends, and uncertainties such as: the Company's inability to accurately forecast its operating results; uncertainty as to the volume of business or level of profitability of network optimization contracts; the Company's potential ability to achieve profitability or generate positive cash flow; the availability of financing; the risks associated with procuring a listing of its securities on one or more public stock markets; and other risks associated with the Company's business. For further information on factors which could impact the Company and its subsidiaries and the statements contained herein, reference should be made to the Company's filings with the Securities and Exchange Commission, including annual reports on Form 10-KSB, quarterly reports on Form 10-Q, and current reports on Form 8-K. The Company assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events.
SOURCE Global Capacity