Home > Market Research > Mobile Networks > Europe Market Perspective / Vol. 8, Issue 11, April Edition

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Market Briefing
Published: April 2008
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Research from: Pyramid Research
Sector: Mobile Networks

The theory of comparative advantage and the case for a structured network sourcing model.

In today’s highly complex and increasingly global operating environment, network operators and enterprise organizations alike often struggle with the most efficient way to manage assets and resources for optimal performance. As a result, in 2008 and throughout the next decade, Pyramid Research believes that organizations of all types will continue to wrestle with questions about how best to source the design, implementation, maintenance, monitoring and management of their various networks, including those that provide subscriber-based mobile broadband services as well as enterprise-wide IP-based networks.
The answer to the “most efficient way” question is that it will depend on a variety of factors, including economic, technological, regulatory and organizational culture issues. The level of technology standardization, most appropriate security layers, internal culture regarding outsourcing and financial position will also continue to influence strategic sourcing decisions.
It is Pyramid Research’s belief that organizations addressing this issue with a structured network sourcing model are typically more advantageously positioned to compete effectively when capital and resources have been efficiently allocated. This Perspective offers Pyramid Research’s view on why organizations that rely so heavily on their network’s performance will increasingly consider the services of third-party vendors to lower operating costs and to optimize business models.

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