Telecoms OSS worth USD67bn in 2016
TELECOMS| March 13, 2012, 11:07 a.m.
The global market for operations support systems (OSS) — the computing and software IT infrastructure that performs engineering, provisioning, and management functions in telecommunications networks — will exceed USD67 billion in 2016, according to a new report by Insight Research.
Telecommunications industry spending for OSS is expected to mirror the forecasted growth in service revenue over the next five years, indicating that the industry is expecting sustainable growth in the years ahead.
According to the report,"Operations Support Systems, 2011-2016”, telecommunications network operators worldwide are expected to increase their investment in OSS at a compounded rate of 5.9% over the next five years.
North American investment in the computing and software systems used to acquire, serve, and bill customers will lag worldwide investment, growing at a compounded rate of 4.6 percent over the same period, while OSS expenditures made by carriers in the Asia, Europe, and Latin America regions will grow at 6.3%.
The report found that telecommunications service providers are investing most heavily in those OSS needed to support wireless 3G and 4G services. Over the forecast period, annual OSS spending to support broadband wireless will increase from USD3 billion today to USD22 billion in 2016.
"Telecommunications providers will continue to invest in systems that streamline their operations – particularly in growth areas such as customer care and network engineering for wireless services," says Insight director Fran Caulfield. "Our research confirms continued strong growth for both wireless services and the operations systems that support the proliferation of smartphones, tablets, and mobility applications," concluded Caulfield.
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