SOURCE: Infonetics Research

Infonetics Research

June 09, 2010 14:05 ET

Infonetics Research: Convergent charging market a $2.6 billion opportunity in 2014

CAMPBELL, CA--(Marketwire - June 9, 2010) -  Market research firm Infonetics Research (http://twitter.com/infonetics) released the industry's most comprehensive report on the emerging convergent charging market, Convergent Charging Software and Services.

The report provides vendor market share, market size, forecasts, and analysis for convergent charging services (consulting, integration, hosted/managed services) and convergent charging software that can handle multiple payment methods, such as prepaid, postpaid and hybrid prepay/postpaid models, as well as multiple service types (voice, video, data), multiple network types (wireline, wireless), and multiple regions.

ANALYST NOTE

"The economy may be improving and operators may be investing again, but very few will be doing the full-scale billing transformation projects that we saw in the past. Yet it has become clear that their existing billing systems -- both prepaid and postpaid -- are increasingly falling short, lacking the flexibility, speed and/or real-time capabilities required to support new convergent business models. Convergent charging allows operators to address that challenge without the high cost associated with a large-scale billing replacement and, even more important, without introducing additional vertically-integrated silos into their operational environments. They can quickly and efficiently roll out truly bundled services, up-sell and cross-promote services, and improve the customer experience at the same time," notes Shira Levine, directing analyst for next gen OSS and policy at Infonetics Research.

CONVERGENT CHARGING MARKET HIGHLIGHTS

  • Infonetics Research forecasts the convergent charging market, including software and services, to grow to $2.6 billion in 2014

  • Comverse and Ericsson are neck and neck in the race for first place in worldwide convergent charging revenue market share, with Comverse holding a slight edge

  • Convergent charging deployments currently are concentrated in emerging markets in regions such as Southeast Asia, India, and Eastern Europe, which tend to have a large prepaid customer base, high customer churn rates, and low ARPU, driving the need for more innovative services and loyalty programs

  • There will be increasing demand for integrated policy and charging solutions that enable operators to offer more flexible pricing models, such as variable pricing based on time of day or the subscriber's location

    • This trend will drive continued merger and acquisition activity between the vendors in these two spaces

  • As operators begin offering content from third-party sources, the real-time nature of convergent charging becomes much more important, because errors can result in operators being forced to make payouts to partners that they are unable to recover from subscribers

  • A sizable portion of the convergent charging market is made up of smaller software vendors, including Comptel, Volubill, and Orga Systems, that have gained traction in emerging markets and greenfield opportunities

REPORT SYNOPSIS

Infonetics' biannual Convergent Charging report provides worldwide market share and worldwide and regional market size, analysis, and forecasts through 2014 for convergent charging software and services.

Vendors tracked include Accenture, Acision, Alcatel-Lucent, Amdocs, Atos Origin, CapGemini, Cerillion, Copmtel, Comverse, Convergys, Datatronics, Ericsson, Formula Telecom Solutions, Hewlett-Packard, Huawei, IBM, Intec, Kabira, Logica CMG, Nokia Siemens, Openet, Oracle, Orga, Redknee, SAP, Tata, Tech Mahindra, Telcordia, TietoEnator, Volubill, ZTE, and others.

The report includes customer wins and service provider/vendor announcements made by Alcatel Lucent, Bell Mobility, Smart Communications, Vodacom Tanzania, Loop Mobile, and Comptel.

RELATED RESEARCH

UPCOMING RESEARCH
See NEXT GEN OSS AND POLICY on Infonetics' portal (http://www.infonetics.com/login):

SALES

Infonetics Research is an international market research and consulting firm serving the communications industry since 1990. A leader in defining and tracking emerging and established technologies in all world regions, Infonetics helps clients plan, strategize, and compete more effectively.

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