Mark Xie, Director of Huawei Global Sales Support, discusses with Heavy Reading Senior Analyst Jim Hodges the future of managed services, and how Huawei is transforming its managed services portfolio and capabilities to bring customers more value.
The economic slowdown will have a positive impact on managed services, because in such times, management will put more emphasis on cost reduction. Outsourcing is the No. 1 viable option for operators seeking to reduce costs, but Xie also points out what non-traditional value operators are expecting from managed services, as is seen with Huawei's latest managed source contract with XL in Indonesia, where Huawei will share in the operator’s revenue growth.
Another trend worth noting is that operators are expanding their outsourcing scope, to include not only the network, but also IT elements, such as the BSS and CRM, which can leverage the vendor’s economies of scale. Another noticeable trend is ICT convergence, which will impact managed services. For this, Huawei’s offers an end-to-end managed service portfolio to assist operators in meeting the challenges of convergence.
