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The
global market for operations support systems (OSS)—the IT infrastructure
that performs engineering, provisioning, and management functions in
telecommunications networks—will exceed $40 billion this year and
continue growing even if capital expenditures continue to decline, claims
a new report by Insight Research. The
market research study concludes that even as they postpone new capital
equipment purchases, network operators are continuing to invest in new IT
infrastructure, bringing greater efficiencies to current operations.
According
to Operations Support Systems
2002-2007, network operators are expected to increase their
investment in OSSes at a compounded rate of nearly 12 percent over the
next five years, despite the current lockdown in the worldwide
telecommunications industry. These
investments will be made because the new OSSes used to acquire, serve, and
bill customers operate more efficiently, requiring fewer personnel than
older systems. In a
hyper-competitive marketplace, investment in OSSes will help to maintain
carriers’ margins, even as bandwidth prices dwindle and new network
hardware capital expenditures are delayed.
“Amidst
the current crisis in telecommunications industry worldwide, operators
will only spend if they can recognize an ‘Instant ROI’—a return on
investment that hits to bottom line in six months or less,” says
INSIGHT president Robert Rosenberg. “Bring the network operator a platform that can reduce the
current operational expenses associated with any aspect of their on-going
operations—billing, provisioning, network management, workforce
management, planning or engineering—and you’ll get a fair hearing,
even if that carrier has announced another round of capital expenditure
reductions,” concluded Rosenberg.
Operations
Support Systems 2002-2007 forecasts
global IT infrastructure spending for billing, customer care,
planning/engineering, provisioning/inventory, trouble repair, network
management, business management, and workforce management systems as well
as professional services expenditures to implement those systems by
geographical region and by type of carrier.
A
free report excerpt, table of contents, and ordering information is online
at www.insight-corp.com/oss2002.asp.
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Wireless
Operations Support Systems 2002-2007
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Telecom
Market
Research,
