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Contents
Orange Business Services Brings Out Unified Communications with Microsoft
KPN Advances All-IP Strategy with Multi-service Carrier Ethernet Product
Standard Multi-Service Networks OSS Platforms Boost With Cisco-NSN Alliance
Verizon Business Strengthens European Security Play with Cybertrust Acquisition
   
 High-Impact Events in the Industry

Orange Business Services Brings Out Unified Communications with Microsoft

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

On May 21st Orange Business Services announced ‘Business Together with Microsoft’ offering multinationals a unified communications (UC) suite via mobile devices or fixed PCs. The product gives secured access to mailboxes, and enables reading voice messages as e-mails, reading faxes, VoIP calls, and access to contacts and calendar.

Recommended Competitor Actions

Several European carriers have strong potential capabilities in the FMC, UC and collaboration space, such as T-Systems, Belgacom, KPN and Telefonica. Such operators should highlight their strong IP convergence roadmaps, systems integration skills, and ownership of both fixed and wireless networks and operations, for a compelling message to multinationals.

BT Global Services can consider bundling Corporate Fusion with various unified communications and collaboration applications. For example, the WiFi/GSM handset offer could be packaged with Microsoft and Lotus platforms for e-mail (Exchange, Domino), instant messaging (Live Communications Server, Sametime) and collaborative workspaces (SharePoint, QuickPlace).

Sales and marketing teams need to be able to pitch pre-defined solutions from a product list in order to proactively target accounts, rather than be reactive to customer bids.

Vodafone should point out that its Vodafone Application Services allows end-users to access their applications whilst being mobile and it is the first European operator to implement this at an enterprise level, that too with a host of device platforms including BlackBerry, Microsoft as well as Symbian devices.

Established systems integrators, such as IBM, HP and Avaya, should be playing the card of having established UC clients, proven implementations, and the skills and capabilities required to integrate multiple applications across a host of collaboration systems with online tools. The other angle could be encouraging clients to source their overall solutions from several vendors in order to have a more flexible supplier model. Additional features include: instant messaging; and audio, video, and web-conferencing. Managing and sharing of documents and calendars are also supported.

 Gain An Edge
Client Access - Full Intelligence Report
Related Company Advisors
Enterprise Communications
Microsoft
Business Telecom Services - Europe
Orange Busines Services (Pan-European)
BT Global Services
Related Market Advisors
FMC - Business Telecom Services - Europe
Unified Communications Platforms - Enterprise Communications
-


Competitive Intelligence Highlight

KPN Advances All-IP Strategy with Multi-service Carrier Ethernet Product

On May 7th KPN introduced a new carrier Ethernet product based on the Juniper M320 multi-service switching platform. It is geared to support both Layer 2 and Layer 3-based services across a single platform. The solution is available across the Benelux region, France, Germany and UK. Access speeds range from 10 Mbps to 1 Gbps, and it supports classes of service (CoS).

Analytical Summary

Current Perspective: Positive on KPN’s launch of its integrated carrier Ethernet product as KPN can now offer a migration-friendly, multi-service platform supporting both Layer-2 (L2) and Layer-3 (L3) Ethernet services. This means that customers no longer have to deploy separate networks and provides more flexibility for KPN to build hybrid solutions across both architectures.

Vendor Importance: High to KPN as it needed to offer L2 and L3 Ethernet capabilities across a multi-service platform in order to offer customers cost-savings (i.e., they no longer require separate networks) and flexibility to deploy innovative solutions. The new carrier Ethernet offer was also important for advancing KPN’s All-IP vision by collapsing networks and offering a single platform to support all services. While customers benefit from cost-savings and flexibility, KPN can generate new revenue streams for differentiated services.

Market Impact: High on the Dutch business market as KPN’s business proposition is to support primarily the international requirements of its core domestic customers. On the one hand, COLT and Interoute are perhaps the strongest competitors for carrier Ethernet services. On the other, KPN has the customer relationships, large installed base, and a high demand for Ethernet services. The move will force competitors to reconsider their strategy for Ethernet services and respond accordingly.

Read Recommended Actions

Read more: European Competitive Intelligence Highlight

 Gain An Edge
Client Access - Business Telecom Services - Europe
Related Company Advisors
Business Telecom Services - Europe
KPN (BeNeLux)
COLT Telecom (BeNeLux)
BT Global Services
Orange Busines Services
Related Market Advisor
Ethernet Services - Business Telecom Services - Europe
-

 

Standard Multi-Service Networks OSS Platforms Boost With Cisco-NSN Alliance

Current Perspective:
Very Positive
Vendor Importance:
Moderate
Market Impact:
High

On May 21st Cisco and Nokia Siemens Networks agreed to develop a standards-based telecommunications network management platform to manage the increasingly complex carrier networks and speed time to market of new services. The jointly developed Operations Support Systems (OSS) platform will help the entire service provider community better align network capabilities and costs with business demands, and facilitate faster service deployment.

Recommended Competitor Actions

Both HP and Ericsson are standard leaders in their respective fields, but lack similar partnerships. Ericsson arguably leads the NGN IMS standards space, and HP is pushing its HP OV and OSS solutions to broadband service providers. They should consider a similar alliance to ensure that they can launch a competitive standard OSS solution.

Alcatel-Lucent should also embrace open standards in its NGN relationships with carriers and seek to expand its OSS-BSS capabilities in preparation for tighter links between network based services and CPE solutions. Future combinations of enterprise softswitches and carrier service delivery platforms are key enablers for integrated service delivery.

The many small innovators in this industry must now find their place in the ‘food chain’ and join whatever eco-system is most appropriate. Eco-systems of relevance include vendors, SIs, ISVs and outsourcers. The Cisco-NSN announcement underscores the importance of standards based solutions, and opens up new opportunities for small innovators that are able to adhere to these ‘open standards.’

 Gain An Edge
Client Access - Full Intelligence Report
Related Company Advisors
Carrier Infrastructure
Cisco
Nokia Siemens Networks
Alcatel-Lucent
Ericsson
-


Verizon Business Strengthens European Security Play with Cybertrust Acquisition

Current Perspective:
Positive
Vendor Importance:
High
Market Impact:
Very High

On May 14th Verizon Business announced that it would acquire Cybertrust, which provides information security services. The move will boost Verizon Business’ position in the managed information security services sector and help it better cater to large business and government customers. In addition to helping Verizon Business’ global security services, Cybertrust brings with it a solid identity management suite, security operation centres (SOCs) in EMEA and Asia-Pac and ICSA Labs, an independent division of Cybertrust that provides security product certification.

Recommended Competitor Actions

Competitors in general will need to take steps to review the depth of their European security service and determine their preparedness to compete with Cybertrust’s LAN and data centre security services. With the recent wave of mergers (BT/Counterpane, IBM/ISS and now Verizon Business/Cybertrust), the barriers to entry are growing for those hoping to compete globally.

Orange is thrust into a difficult position, having worked with Cybertrust for some of its managed security services via its partnership. It will need to assess quickly whether it continues in this partnership arrangement, needs a new partner, or makes an acquisition. One such possible acquisition target is Getronics, which has security expertise on the large corporate LAN and data centre side to rival Cybertrust.

IBM can point out that Verizon is obviously reacting to its own acquisition of ISS, which it completed in 2006. It can also note that not only did it get an extensive global managed security service in the deal; it also got a security hardware business that blends well with IBM’s professional approach for global enterprises.

AT&T will need to evaluate its own position for global security. It has done a terrific job taking its higher end services (such as its Internet Protect) and offering variations on its services that appeal down-market. However, its European professional services staff resources remain limited. While it has been no slouch in the global market (see “ITU Telecom World Hong Kong: AT&T Debuts Disaster Recovery Efforts,” December 5, 2006), it must evaluate its security profile to meet worldwide demand.

Recommended End User / Customer Actions

European MNC customers gain added global security resources to help their company’s protection. Going forward, customers can expect fast improvement in global carriers’ integration of data centre, LAN and WAN security services. Cybertrust’s European customers gain the additional advantage of a strong global WAN owner with deep pockets and the demonstrated will to increase service transparency and integration.

Prospects should approach this merger with caution initially, as the combination of assets and organization arrangements could be disruptive in the short term until there is a comfortable strategy coalesced post-merger. Longer term, the global reach of Cybertrust along with the backing and other resources that Verizon brings to the table will provide a worthy consideration for MNCs.

Customers using a pure-play MSSP should seriously consider the new combined global carrier-MSSP approach being spearheaded by BT, IBM and now Verizon. On the one hand, these service providers become even further entrenched in their accounts; on the other hand, they provide more transparency and easier management, combined with standards adherence to allow for migration back from an outsourced model to an in-house or co-sourcing model.

 Gain An Edge
Client Access - Full Intelligence Report
Related Company Advisors
Business Telecom Services - Europe
Verizon Buisness (Pan-European)
AT&T (Pan-European)
BT Global Services (Pan-European)
Orange Busines Services (Pan-European)
Related Market Advisor
Managed Security - Business Telecom Services - Europe
Related Product Advisora
Managed Security - Business Telecom Services - Europe
-


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