Outsourcing: Telecoms Give Their Networks the Boot

Telecom operators worldwide are increasingly considering outsourcing the management of their networks to companies like Nokia, Alcatel-Lucent and Ericsson in order to lower costs, increase capabilities and/or focus on other strategic imperatives. In fact, network services contracts accounted for half of all the megadeals (contracts with values of $1 billion-plus) signed in the first half of this year. Network services outsourcing has taken off among wireless providers in Europe and Asia, where all providers operate using common GSM technology.