Managed Services Forecasts, 2012 - 2017

7/29/2019 Managed Services Forecasts, 2012 - 2017

1/436

Global managed services forecasts, 2012-17

CONTENTS

Total addressable market

Managed services revenues by sector

Managed services revenues by region

Network-led managed services revenues

Data and applications managed services revenues

Managed OSS/BSS services

Managed service provider market share forecast

Notes and methodology

Informa UK Limited 2012. All rights reserved.

The contents of this product are protected by international copyright laws, database rights and other

intellectual property rights. The owner of these rights is Informa UK Limited, our affiliates or other third party

licensors. All product and company names and logos contained within or appearing on this product are the

trade marks, service marks or trading names of their respective owners, including Informa UK Limited. This

product may not be copied, reproduced, distributed or transmitted in any form or by any means without the

prior permission of Informa UK Limited.

Whilst reasonable efforts have been made to ensure that the information and content of this product was

correct as at the date of first publication, neither Informa UK Limited nor any person engaged or employed by

Informa UK Limited accepts any liability for any errors, omissions or other inaccuracies. Readers should

independently verify any facts and figures as no liability can be accepted in this regard - readers assume full

responsibility and risk accordingly for their use of such information and content.

Any views and/or opinions expressed in this product by individual authors or contributors are their personal

views and/or opinions and do not necessarily reflect the views and/or opinions of Informa UK Limited.


2/436

INTELLIGENCE CENTRE
http://ic.informatm.com/http://ic.informatm.com/


3/436

Segment Region Units 2012 2013

Internal services Global US$ bil. 175.0 185.0

Professional services Global US$ bil. 70.0 75.0

Managed services* Global US$ bil. 23.2 24.7

Total Global US$ bil. 268.2 284.7

*Managed services forecasts above are a subset of professional services

Total addressable operator services market


4/436


5/436


6/436


7/436


8/436


9/436


10/436


11/436


12/436


13/436


14/436


15/436


16/436


17/436


18/436


19/436

2014 2015 2016 2017 CAGR (%)

195.0 200.0 210.0 220.0 4.7

80.0 88.0 93.0 100.0 7.4

26.4 28.4 30.7 33.3 7.5

301.4 316.4 333.7 353.3 5.7

CONTENTS PAGE


20/436


21/436


22/436


23/436


24/436


25/436


26/436


27/436


28/436


29/436


30/436


31/436


32/436


33/436


34/436


35/436


36/436

Service revenues (US$

Segment Region Units 2012

Network services Global US$ mil. 12,695.5

Data & Applications services Global US$ mil. 5,371.2

Managed OSS/BSS services Global US$ mil. 5,131.4

Total Global US$ mil. 23,198.1

Total managed services revenues by sector


37/436


38/436


39/436


40/436


41/436


42/436


43/436


44/436


45/436


46/436


47/436


48/436


49/436


50/436


51/436


52/436

mil.)

2013 2014 2015 2016 2017

13,514.7 14,399.5 15,472.2 16,681.3 17,986.2

5,708.2 6,103.2 6,556.7 7,100.0 7,688.6

5,491.7 5,887.4 6,344.5 6,933.5 7,577.5

24,714.5 26,390.0 28,373.4 30,714.8 33,252.3

CONTENTS PAGE


53/436


54/436


55/436


56/436


57/436


58/436


59/436


60/436


61/436


62/436


63/436


64/436


65/436


66/436


67/436


68/436

CAGR (%)

7.2

7.4

8.1

7.5


69/436


70/436


71/436


72/436


73/436


74/436


75/436


76/436


77/436


78/436


79/436


80/436


81/436


82/436


83/436


84/436

Service revenues (US$ mil.)Region Sub Region Units 2012 2013

North America Total US$ mil. 2,455.5 2,610.5

Latin America Total US$ mil. 2,031.5 2,180.4

Asia Pacific Total US$ mil. 6,318.8 6,747.3

Asia Pacific Asia Pacific Developed US$ mil. 1,744.3 1,852.5

Asia Pacific Asia Pacific Developing US$ mil. 4,574.5 4,894.8

Europe Total US$ mil. 9,239.4 9,802.8

Europe Western Europe US$ mil. 6,702.6 7,119.6

Europe Eastern Europe US$ mil. 2,536.8 2,683.2

Middle East Total US$ mil. 1,274.7 1,363.9

Africa Total US$ mil. 1,878.1 2,009.6

Global Total US$ mil. 23,198.1 24,714.5

Total managed services revenues by region


85/436


86/436


87/436


88/436


89/436


90/436


91/436


92/436


93/436


94/436


95/436


96/436


97/436


98/436


99/436


100/436

2014 2015 2016 2017 CAGR (%)

2,774.5 2,976.8 3,213.9 3,470.2 7.2

2,346.7 2,542.2 2,770.1 3,018.6 8.2

7,218.6 7,819.0 8,503.7 9,248.8 7.9

1,963.7 2,101.1 2,261.4 2,434.1 6.9

5,254.9 5,717.9 6,242.2 6,814.8 8.3

10,406.8 11,081.3 11,918.7 12,820.0 6.8

7,562.6 8,050.8 8,669.4 9,336.0 6.9

2,844.2 3,030.5 3,249.3 3,484.0 6.6

1,473.0 1,593.9 1,732.6 1,883.5 8.1

2,170.3 2,360.2 2,575.8 2,811.2 8.4

26,390.0 28,373.4 30,714.8 33,252.3 7.5

CONTENTS PAGE


101/436


102/436


103/436


104/436


105/436


106/436


107/436


108/436


109/436


110/436


111/436


112/436


113/436


114/436


115/436


116/436


117/436


118/436


119/436


120/436


121/436


122/436


123/436


124/436


125/436


126/436


127/436


128/436


129/436


130/436


131/436


132/436


133/436


134/436


135/436


136/436


137/436


138/436


139/436


140/436


141/436


142/436


143/436


144/436


145/436


146/436


147/436


148/436


149/436


150/436


151/436


152/436


153/436


154/436


155/436


156/436


157/436


158/436


159/436


160/436


161/436


162/436


163/436


164/436


165/436


166/436


167/436


168/436


169/436


170/436


171/436


172/436


173/436


174/436


175/436


176/436


177/436


178/436


179/436


180/436


181/436


182/436


183/436


184/436


185/436


186/436


187/436


188/436


189/436


190/436


191/436


192/436


193/436


194/436


195/436


196/436


197/436


198/436


199/436


200/436


201/436


202/436


203/436


204/436


205/436


206/436


207/436


208/436


209/436


210/436


211/436


212/436


213/436


214/436


215/436


216/436


217/436


218/436


219/436


220/436


221/436


222/436


223/436


224/436


225/436


226/436


227/436


228/436


229/436


230/436


231/436


232/436


233/436


234/436


235/436


236/436


237/436


238/436


239/436


240/436


241/436


242/436


243/436


244/436


245/436


246/436


North America Total US$ mil. 884.9 938.0

Latin America Total US$ mil. 765.7 819.3


Asia Pacific Asia Pacific Developed US$ mil. 1,011.3 1,072.0

Asia Pacific Asia Pacific Developing US$ mil. 2,935.1 3,140.5



Europe Eastern Europe US$ mil. 1,390.6 1,474.0

Middle East Total US$ mil. 638.1 682.7

Africa Total US$ mil. 1,403.7 1,502.0


*Consultancy services pertinent to network-led managed services included in total figures

Network managed services revenues by region


247/436


248/436


249/436


250/436


251/436


252/436


253/436


254/436


255/436


256/436


257/436


258/436


259/436


260/436


261/436


262/436

2014 2015 2016 2017 CAGR (%)

984.9 1,044.0 1,117.1 1,195.3 6.2

876.6 946.7 1,022.5 1,104.3 7.6

4,496.7 4,878.7 5,293.4 5,743.8 7.8

1,136.4 1,215.9 1,301.0 1,392.1 6.6

3,360.3 3,662.8 3,992.4 4,351.7 8.2

5,681.8 6,038.3 6,461.0 6,913.2 6.5

4,119.3 4,366.4 4,672.1 4,999.1 6.4

1,562.5 1,671.9 1,788.9 1,914.1 6.6

737.3 796.3 860.0 928.8 7.8

1,622.1 1,768.1 1,927.3 2,100.7 8.4

14,399.5 15,472.2 16,681.3 17,986.2 7.2

CONTENTS PAGE


263/436


264/436


265/436


266/436


267/436


268/436


269/436


270/436


271/436


272/436


273/436


274/436


275/436


276/436


277/436


278/436





Asia Pacific Asia Pacific Developed US$ mil. 375.0 397.5

Asia Pacific Asia Pacific Developing US$ mil. 865.3 925.9



Europe Eastern Europe US$ mil. 583.8 613.0


Africa Total US$ mil. 216.3 231.5


*Consultancy services pertinent to data & applications managed services included in total figures

Data & Applications managed services revenues by region


279/436


280/436


281/436


282/436


283/436


284/436


285/436


286/436


287/436


288/436


289/436


290/436


291/436


292/436


293/436


294/436

2014 2015 2016 2017 CAGR (%)

911.5 984.4 1,063.1 1,148.2 7.4

687.5 742.4 809.3 882.1 8.2

1,421.3 1,530.8 1,664.1 1,809.0 7.8

421.4 450.9 486.9 525.9 7

999.9 1,079.9 1,177.1 1,283.1 8.2

2,395.5 2,556.6 2,754.3 2,967.3 6.8

1,745.7 1,867.9 2,017.4 2,178.7 7

649.7 688.7 736.9 788.5 6.2

437.5 472.5 515.0 561.3 8.2

250.0 270.0 294.3 320.8 8.2

6,103.2 6,556.7 7,100.0 7,688.6 7.4

CONTENTS PAGE


295/436


296/436


297/436


298/436


299/436


300/436


301/436


302/436


303/436


304/436


305/436


306/436


307/436


308/436


309/436


310/436

Service revenues (US$ mil.)

Region Sub Region Units 2012 2013




Asia Pacific Asia Pacific Developed US$ mil. 357.9 383.0

Asia Pacific Asia Pacific Developing US$ mil. 774.2 828.4



Europe Eastern Europe US$ mil. 562.4 596.2


Africa Total US$ mil. 258.1 276.1


*Consultancy services pertinent to managed OSS/BSS services included in total figures

Managed OSS/BSS services revenues by region


311/436


312/436


313/436


314/436


315/436


316/436


317/436


318/436


319/436


320/436


321/436


322/436


323/436


324/436


325/436


326/436

2014 2015 2016 2017 CAGR (%)

878.1 948.3 1,033.7 1,126.7 8

782.6 853.1 938.4 1,032.2 9

1,300.6 1,409.5 1,546.2 1,696.0 8.4

405.9 434.4 473.5 516.1 7.6

894.7 975.2 1,072.7 1,180.0 8.8

2,329.6 2,486.4 2,703.4 2,939.5 7.5

1,697.7 1,816.5 1,980.0 2,158.2 7.8

632.0 669.9 723.5 781.3 6.8

298.2 325.1 357.6 393.3 8.8

298.2 322.1 354.3 389.7 8.6

5,887.4 6,344.5 6,933.5 7,577.5 8.1

CONTENTS PAGE


327/436


328/436


329/436


330/436


331/436


332/436


333/436


334/436


335/436


336/436


337/436


338/436


339/436


340/436


341/436


342/436

% total operator mana

Service provider Region Units 2012

Ericsson Global % total Mkt 15%

IBM Global % total Mkt 10%

Nokia Siemens Global % total Mkt 8%

Huawei Global % total Mkt 7%

Alcatel-Lucent Global % total Mkt 7%

Others Global % total Mkt 53%

Managed service provider market share forecast


343/436


344/436


345/436


346/436


347/436


348/436


349/436


350/436


351/436


352/436


353/436


354/436


355/436


356/436


357/436

ed services Mkt

2017

14%

10%

7%

9%

6%

54%

CONTENTS PAGE


358/436


359/436


360/436


361/436


362/436


363/436


364/436


365/436


366/436


367/436


368/436


369/436


370/436


371/436


372/436


373/436


374/436


375/436


376/436


377/436


378/436


379/436


380/436


381/436


382/436


383/436


384/436


385/436


386/436


387/436

Definitions

The Informa Telecoms & Media forecasts aim to provide a global view of managed services and their context within

the overall third party telecoms services market. As part of this process, we have initially estimated total services

spending by both the fixed line and mobile telecoms industry and broken it down into internal and external

expenditure. This external expenditure figure is defined as professional services, and includes managed services

which are described in more detail below, as well as a number of additional broad service categories. These cover:

Consultancy and systems integration Education and training Network rollout.Internal spending by communications service providers includes a wide range of categories, but marketing and

business support, network support and OSS/BSS system support are all significant items, with regional variations in

budget allocation.

The 2012 forecasts focus in depth on managed services spending over the period to 2017, and separate the market

into three main segments:

Network serviceso

Network provisioningo Network operation/managemento Network maintenance (support/repair)o Shared delivery solutions (network sharing)o Network optimisation

Data and applications serviceso Value-added consumer serviceso Business applications (eg workforce management, supply chain management)o Data management/deliveryo Cloud-based support

Managed OSS/BSS serviceso billing, customer management, analytics, revenue management, etc

Project-based planning and consulting is included in each of the three segments above as appropriate. However,

strategy consulting and IT integration are excluded.

Methodology

Notes and methodology

CONTENTPAGE


388/436

These managed service forecasts are based on a number of the outputs from a forecasting model built which is

based on a number of critical assumptions:

original research of the public domain

the views of Informa Telecoms & Media analysts

information contained in Informa Telecoms & Media online and published products and services

high-level industry interviews with key players in the industry.

The forecasting model was designed to examine the managed services market from a top -down perspective in

order to estimate an overall market size for 2012, and then to take a bottom-up approach to calculate potential

market growth on a segment by segment and region by region basis.

The 2012 market size estimates were based on data collected from primary interviews with managed services

providers allied to analysis of secondary research sources, including online information and published financial

data. An analysis of publicly announced managed services contracts was carried out, based extensively on

information from Informa Telecoms & Medias Managed Services & Outsourcing Contracts database.

Forecasting the managed services market is complex. There are many inter-related factors that will influence

market development, and attitudes in the telecoms industry towards managed services are changing rapidly.Managed services providers all have different definitions of what constitutes managed services and indeed it is fair

to state that no two managed services contracts are alike. Additionally, estimating the current value of the market

is fraught with difficulties mainly due to the lack of detailed information on the value of existing contracts,

coupled with the fact that many managed services contracts are entwined in much larger infrastructure supply and

deployment contracts


389/436


390/436


391/436


392/436


393/436


394/436


395/436


396/436


397/436


398/436


399/436


400/436


401/436


402/436


403/436


404/436


405/436


406/436


407/436


408/436


409/436


410/436


411/436


412/436


413/436


414/436


415/436


416/436


417/436


418/436


419/436


420/436


421/436


422/436


423/436


424/436


425/436


426/436


427/436


428/436


429/436


430/436


431/436


432/436


433/436


434/436


435/436


436/436

Documents

Managed Services Forecasts, 2012 - 2017