The Information and Communications Technology (ICT) sector once again stands on the cusp of a new era in technological development: fully Internet Protocol (IP)-enabled Next-Generation Networking (NGN). A next-generation network is a managed high-speed network that allows integrated data, voice and video services through the use of IP. Traditional fixed-line operators have begun to invest in and deploy IPbased networks, usually as overlays on their existing networks, which continue to carry traditional services. IP-based networking, however, will ultimately replace the traditional Public Switched Telephone Network (PSTN). Due to the efficiency and flexi bility of IP technology, most new networks being established are IP-based (see Box 2.1). The International Telecommunication Union (ITU) predicts that by 2008, at least 50 per cent of all international minutes will be carried on IP networks. In 2005, the Organization for Economic Co-operation and Development (OECD) predicted that between 2002 and 2006, the market for NGN equipment would grow by 23 per cent annually, with the optical switch market growing at 84 per cent.