The global service delivery platform market generated USD3.4 billion (EUR2.7 billion) in revenue in 2009 and is forecast to generate USD6.8 billion (EUR5.4 billion) in 2014, growing at a CAGR of 14.8%, according to the latest report from global telecoms, media and IT adviser Analysys Mason, entitled Service delivery platforms: worldwide forecast 2010-2014.
"Spending on service delivery platforms (SDP) has held up reasonably well in 2009, and growth will accelerate as the worldwide economy improves in 2010 and 2011," explains Peter Mottishaw, Principal Analyst at Analysys Mason and author of the report. "In mature markets, the main driver for SDP spending is the need to enable new revenue streams from new services, and to support enhancements of existing services and new business models. These drivers also apply to emerging markets, but here the high underlying growth in subscriber numbers is the more important driver for increased SDP spending. In both cases, prepaid services are a major component of the SDP spending."
As the above report highlights, spending in the service delivery platform market is driven by the service provider's need to drive new services and enhancements to build revenue, profits, and subscribers. "Me too" and legacy services are not enough to allow service providers to differentiate their offering, which prevents them from being able to compete effectively in today's telecommunications market - today it is imperative that service providers show leadership and innovation in the services they offer and how these services are delivered and managed, in order to attract new subscribers and retain their existing base.
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