Network Managed Services Shares Stabilizing as the Top Three Vendors, Firmly Led by Ericsson, Capture 81% Market Share

11 Nov 2013

ABI Research finds that the overall 2013 Network Managed Services market is turning into a rather flat year for the major mobile telecom infrastructure vendors. Based on the first three quarters, ABI Research projects 2013 will end with Ericsson maintaining its market share while Huawei continues its ascent into the second place position. Nokia Solutions and Networks and Alcatel-Lucent report declines that are a result of rationalizing their portfolio of contracts with continuing competitive pressures on this market that already has razor-slim margins, though Q4 revenues could revert positions.

ABI Research projects that the Mobile Networks Managed Services delivered by the leading infrastructure vendors will show little growth for 2013, at just under $11B revenue. “Ericsson is under no threat to its commanding market share even though revenues have not grown as in previous years,” says Joe Hoffman, research director. “If Huawei continues its upward momentum in Q4, we will see it land in 2nd position.”

The Mobile Networks Managed Services market delivered by infrastructure vendors shows signs of nearing an equilibrium in market share, as the top three vendors account for 81% of revenues, aligning with The Rule of Three and Four. As this is an industry where scale and execution are everything, we expect that the financial headwinds will continue for the smaller service providers.

“Managed Services as a means to bring competitive advantage and revenue enhancement to operators is a growing trend worth noting, as the days of simply outsourcing to reduce costs are fading,” adds Hoffman. “Operators are looking to seize any opportunity to maximize margins, and the long term competitive advantages will accrue to vendors who maintain scale and execute.” Even so, dark clouds are on the horizon, as the advent of SDN/NFV and moves to the datacenter may provide an opening for IT managed service vendors.

These findings are part of ABI Research’s CEM & Managed Services Research Service. As part of the Telco Software, Optimization & Monetization Research Practice, ABI Research provides unique market and strategic insight for operators, vendors, and other clients throughout the world.

ABI Research provides in-depth analysis and quantitative forecasting of trends in global connectivity and other emerging technologies. From offices in North America, Europe and Asia, ABI Research’s worldwide team of experts advises thousands of decision makers through 70+ research and advisory services. Est. 1990. For more information visit, or call +1.516.624.2500.

About ABI Research

ABI Research is a global technology intelligence firm uniquely positioned at the intersection of technology solution providers and end-market companies. We serve as the bridge that seamlessly connects these two segments by providing exclusive research and expert guidance to drive successful technology implementations and deliver strategies proven to attract and retain customers.

ABI Research 是一家全球性的技术情报公司,拥有得天独厚的优势,充当终端市场公司和技术解决方案提供商之间的桥梁,通过提供独家研究和专业性指导,推动成功的技术实施和提供经证明可吸引和留住客户的战略,无缝连接这两大主体。

For more information about ABI Research’s services, contact us at +1.516.624.2500 in the Americas, +44.203.326.0140 in Europe, +65.6592.0290 in Asia-Pacific, or visit

Contact ABI Research

Media Contacts

Americas: +1.516.624.2542
Europe: +44.(0).203.326.0142
Asia: +65 6950.5670

Related Service