News | April 5, 2006

New Research From Apertio Shows US Leads The Way Towards IMS

Las Vegas -- CTIA Wireless -- Apertio launched independent research that states that US global telecommunications operators overwhelmingly place greater emphasis on deploying IP Multimedia Subsystem (IMS), in comparison with European operators. The research found 86 percent of US operators classify it as a key business priority, verses 66 percent of their European cousins. Nearly one in five US operators also expect return on investment (ROI) in less than two years - more ambitious than those in Europe, where only one in five expect it in the same timeframe.

The research, 'IP Independence', also found key drivers towards IMS are the cost of new service provision on conventional architecture, and the need to offer attractive service bundles to subscribers to prevent churn and increase data usage. Vitally, IMS is also seen as a way for operators to meet ambitious OPEX and CAPEX reduction targets of 10 and 5 percent respectively.

While confirming the growing enthusiasm for IMS, the report also uncovers barriers in its deployment; with business and technical change recognized as the major challenges for today's operators. Interestingly, US operators place equal importance on these two challenges whereas in Europe, business change is more of a barrier than the technical issues.

Key findings from the research are:

-- 93% of respondents believe that IMS will have a positive impact on operational cost reduction, with 40% considering that impact to be 'significant'

-- 85% of respondents also see the removal of legacy infrastructure as a critical aspect of reducing operational cost

-- 79% of carriers are using a disparate combination of tactics to deliver IMS, highlighting a lack of best practice

"With the rapid rise of mobile virtual network operators (MVNOs) in the US, the need to quickly deploy a cost-effective, scalable infrastructure is paramount," said Stuart Jones, vice president and general manager, Americas, Apertio. "Network operators are realizing the potential of IMS as the high costs of legacy systems is unsustainable if they want to deliver new generation services at an attractive cost to consumers. Carriers need to plan their IMS strategy carefully to ensure they deliver on time and within budget. Only by placing the subscriber at the center of the network can they expect to achieve this."

IP Independence surveyed 57 global operators and was commissioned by core network infrastructure specialist, Apertio, conducted by independent consultancy, Loudhouse Research.

SOURCE: Apertio