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  Press Contact:
Jeff Heynen
Directing Analyst, IPTV & Next Gen OSS/BSS
Infonetics Research
(408) 583-3359
jeff.heynen@infonetics.com


Service delivery platforms "fundamental to telcos' futures"

 

CAMPBELL, CALIFORNIA, June 3, 2008—Communications market research firm Infonetics Research predicts in a new report that worldwide revenue from service delivery platform (SDP) software and integration services will grow at a 23% compound annual growth rate (CAGR) over the 5 years from 2007 to 2011.

The report, Service Delivery Platform Software and Integration Services, confirms that while many SDP vendors are struggling to define and position their SDP products, demand for them by mobile and fixed line service providers is escalating rapidly.


SDPs develop, provision, and deploy new subscriber services across wireline and wireless networks by combining discrete services into compound services, reducing the time it takes operators to integrate new services from 2 or 3 months to about 2 weeks, the report says.


“Service delivery platforms are fundamental to telcos’ futures. Without an upgrade to their service creation and provisioning process, telcos will quickly lose revenue to over-the-top Internet content providers like Google and Yahoo, making their enormous transport and access network upgrades obsolete. The demand for SDPs and outsourced integration efforts by major operators worldwide cannot be overstated,” said Jeff Heynen, directing analyst at Infonetics Research.


Other report highlights:

  • Fixed-line SDP revenue accounted for 16% of total SDP revenue in 2007; mobile SDP revenue accounted for 84%
  • North America’s share of the SDP market will jump from 16% in 2007 to 25% in 2010
  • In the short-term, operators will use SDPs to help streamline the creation and delivery of basic services, including VoIP, ringtones, and steaming video services, and later to create mashups that compete with services offered by "Web 2.0" ICPs
  • Continued consolidation is expected in this space, with larger integrators snapping up smaller software players to round out their SDP offering and make it end-to-end
  • Motorola's acquisition of Leapstone and Oracle's acquisition of BEA have major implications for both the software and systems integration sides of the SDP market


Infonetics’ SDP report provides worldwide and regional market size and revenue forecasts from 2007 to 2011 for SDP software, SDP integration services, and the combined SDP software and integration services market, split by fixed-line vs. mobile. Regions include North America, EMEA, Asia Pacific, and CALA. The report includes analysis of the SDP market, including an overview of SDP solutions, regional market drivers, and pertinent data from service provider research.


Download report highlights from our online portal by logging in above. For sales, contact Larry Howard, vice president, at larry@infonetics.com or +1 (408) 583-3335.


Infonetics Research (www.infonetics.com) is an international communications market research firm. Tracking emerging markets since 1990, Infonetics covers a broad range of service provider, product manufacturer, and enterprise and SMB markets, including network security, enterprise voice, unified communications, broadband networks, IPTV, IP video, mobile TV, optical networks, metro Ethernet, carrier routing and switching, wireless, FMC, VoIP, IMS, policy management, subscriber management, service management, carrier capex and opex, and more. Services include quarterly market share and forecasting, end-user survey research, service provider survey research, service provider capex analysis, and custom research and consulting..

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Principal Analyst, Infonetics Research
Content Security Appliances and Software