SOURCE: Infonetics Research

November 19, 2008 15:14 ET

Infonetics Research: Policy server market a bright spot in the hunkering-down telecom sector

CAMPBELL, CA--(Marketwire - November 19, 2008) - Service providers are increasingly seeing policy servers -- software platforms that help determine which customers and applications should get bandwidth priority and when -- as a necessary cost to ensure fair usage in advanced fixed and mobile networks, says market research firm Infonetics Research in a new report.

The report, Policy Servers Worldwide Market Size and Forecasts, shows the number of worldwide mobile and fixed-line policy server licenses is more than doubling in 2008 over 2007, and despite the harsh economic climate, is expected to more than double again in 2009. Policy server vendor revenue will reach an accumulative total of $1.6 billion worldwide over the 5 years from 2007 to 2011, Infonetics predicts.

"Because of policy servers' importance in tying bandwidth and application usage to subscriber accounts, and allowing fixed and mobile networks to more effectively allocate bandwidth to subscribers, devices, and applications, policy servers are fast approaching 'must-have' status. Our discussions with service providers either currently deploying or planning to deploy a policy server indicate that the incremental cost of a policy server platform is well worth the capital outlay, especially in mobile networks, where broadband data usage is soaring among HSPA providers. As a result, the policy server segment won't be affected much by current economic contractions," said Jeff Heynen, directing analyst for Broadband, IPTV, and Next Gen OSS at Infonetics Research.

More highlights from the report:

--  The policy server market has already shown signs of consolidation and
    attrition, with companies such as Tazz Networks going out of business
--  Alcatel-Lucent, Bridgewater Systems, Camiant, Ericsson, Juniper, and
    Nokia Siemens are the major policy server players in the market today
--  By 2011, worldwide vendor revenue from mobile policy servers will more
    than triple fixed-line policy servers
--  Between 2007 and 2011, North America's share of worldwide policy
    server revenue will decrease from 40% to 22%, while Asia Pacific's share
    will increase 30% to 37%

Infonetics' report provides worldwide and regional market size and forecasts through 2011 for fixed-line and mobile policy server software licenses and manufacturer revenue. The report tracks policy servers made by Alcatel-Lucent, ARRIS, Bridgewater Systems, Camiant, Cisco, Ericsson, Juniper, Nokia Siemens, Openet, Operax, Redknee, and Telcordia.

Download report highlights by logging in to Infonetics' online portal from (see Next Gen OSS and Policy area). For sales, contact Larry Howard, vice president, at or +1 (408) 583-3335.

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.

Contact Information

  • Press Contact
    Jeff Heynen
    Directing Analyst, Broadband, IPTV, and Next Gen OSS
    Infonetics Research
    +1 408.583.3359
    Email Contact