IMS: The essential component for increased operator profitability in Western Europe? An IDC study

AMSTERDAM – DECEMBER 6, 2005 – New research from IDC shows that telecoms operators are embracing IP multimedia sub-systems (IMS) as the new network architecture for the deployment of new value-added services across both mobile and fixed domains. In Western Europe alone, revenue from IMS equipment and related professional services will amount to a value of $5.6 billion in 2010.

The IMS standard is increasingly gaining traction within the telecommunications industry as the underpinning of next-generation networks. Equipment vendors are committing to the IMS promise by announcing IMS strategies and product roadmaps.

Nevertheless, IMS is still in its early stages and will require a lot of development effort to fulfill all of its potential. IDC's findings include the following:

– IMS will tear down the walled garden approaches for the deployment and management of services commonly found among operators.

– IMS will become the standard for network and service convergence and will form a solid base for the further development of service provider networks.

– Small and large operators alike will implement IMS, but the implementation will depend on the type of services planned.

The IDC study, Western European IMS 2005-2010 Forecast and Analysis (Doc #34398, November 2005), presents an outline of IMS, its current advantages, disadvantages, and an overview of what selected European infrastructure vendors are doing with this technology. The document also provides some examples of operators' IMS implementations, as well as a five-year forecast for IMS.

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About IDC

IDC is the premier global market intelligence and advisory firm in the information technology and telecommunications industries. We analyze and predict technology trends so that our clients can make strategic, fact-based decisions on IT purchases and business strategy. Over 700 IDC analysts in 50 countries provide local expertise and insights on technology markets. Business executives and IT managers have relied for 40 years on our advice to make decisions that contribute to the success of their organizations.

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