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The Western European market for billing and OSS vendors is set to grow to nearly GBP1.4 billion by 2010, says Analysys
Billing and OSS vendors in Western Europe should view the future with more confidence as the market is set to grow at an average annual rate of 6% over the five year period to 2010, according to newly-released forecast data from Analysys, the global advisers on telecoms, IT and media.
The billing and OSS market in Western Europe is set to grow on average by 6% per year to nearly EUR1.4 billion by 2010. However, growth in some market sub-sectors will be stronger than in others.
Author of the forecasts Emma Buckland noted, “As their fortunes are closely tied with those of their customers, billing and OSS vendors will benefit from new areas of operator revenue growth such as 3G services or triple-play, that will result in spend on capex. Since operators will need to bill for these new services, they will require more complex systems. These are often difficult to develop internally; operators will externalise more not less of their billing and OSS expenditure and rely more on vendors who can offer customisable products and the services that go with them.”
Inventory management systems are set to show the strongest growth: major operators emerging from the current wave of takeovers and mergers will need to quickly and effectively assess and optimise what is in their network. More generally, as competition intensifies, all companies will need to use their physical and logical network resources in the most efficient manner; inventory systems will address both requirements. Service provisioning, activation and assurance systems will be the other major area of growth for billing and OSS vendors. Here, the demand will be fostered by the need for operators to control all parts of the service delivery process in a centralised way in order to minimise failures or delays.
Fixed operators have already started investing in systems and processes to support fixed-mobile convergence and have also taken the opportunity presented by network infrastructure changes to upgrade OSSs. But, as recent contract announcements indicate, mobile operators are becoming increasingly important to billing vendors, for instance as they invest in systems to support convergence of pre and postpaid billing; Analysys estimates that the mobile sector will become the main source of revenue for billing and OSS vendors from 2008.
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