Mobile World Congress 2009

NSN Assures Operator Services with New Managed Offering

| Feb 17, 2009 | Telecom Infrastructure Services | Show Update

| Analyst: John Marcus

Current Perspective: Positive Vendor Importance: Moderate Market Impact: Low/Moderate

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Event Summary

February 16, 2009 – Nokia Siemens Networks launched its new “Managed Service Operations and Assurance”, aimed at helping service providers address three key challenges: the efficient management of service operations, assurance of service quality, and profitability of end user services. The new service enables CSPs to monitor, report and analyze service performance and user experience, provide structured problem solving and troubleshooting, and offer a proactive performance optimization service.

Analytical Summary

• Current Perspective: Positive on Nokia Siemens Networks’ (NSN) launch of its new Managed Service Operations and Assurance offering, which brings managed services from the network operations layer to the services layer of its mobile service provider customers. The new offering leverages aspects of the vendor’s expertise from both its Managed Services business and well as its Service Management and Charging group. By delivering custom service level agreements based on negotiated key performance indicators (KPIs), NSN is positioned to help operators achieve goals in service quality and customer retention, through a vendor managed solution.

• Vendor Importance: Moderate to NSN’s services business, because new service offerings with a defined, productized scope, are rare in managed (and professional) services. The new offering also represents a reasonable upsell opportunity that targets existing customers and will result, if successful, in its participation in a potentially much higher value operations activity.

• Market Impact: Low to moderate on the managed services segment of the telecom infrastructure services market, because NSN’s new Managed Service Operations and Assurance offering could help the vendor increase its responsibility in existing managed services accounts resulting in a greater customer wallet share. Since this is mainly targeted at its installed base, the new service does not have much impact on competitors (although the offering does resemble, somewhat, key rival Alcatel-Lucent’s End to End Service Operations initiative). The impact on the market is also limited by the lack of any reference customer for service, indicating a lack of initial traction.

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Current Perspective

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