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New research reveals growing outsourcing trend in mobile content propositions by operators
End2End confirmed as the market leader in outsourced content delivery
The outsourcing of content delivery propositions has become big business in Europe according to new research from End2End. The trend of operators choosing outsourced solutions as opposed to in-house is on the increase and statistics show that End2End has emerged as the market leader with a 23% market share.
End2End carried out a proprietary survey of 57 European mobile operators across 18 countries in August 2005 and again in January 2006. The results of the survey revealed that 45% of mobile operators are now using outsourced solutions compared with 35% in August 2005. This statistic also means that 39% of all subscribers are now receiving content on their mobile via an outsourced provider, compared to 30% in August 2005.
Atte Miettinen, Chief Marketing Officer at End2End, commented: “With growing complexity and competition in mobile content, operators of all sizes are partnering with specialist companies to benefit from their expertise, experience and economies of scale to maximise revenues and profitability.”
The survey revealed that smaller operators, with less than five million subscribers, which made up a significant share of the market - 61% - are more inclined to outsource than choose an in-house solution. The figure has grown dramatically from 45% in August 2005 to 60% in January 2006.
The larger operators have also been influenced by this phenomenon. The survey indicated a sharp increase in the switch from in-house solutions to outsourced solutions, from 33% in August 2005 to the latest figure of 42%.
Miettinen explained: “We expect the outsourcing trend in content delivery to continue strong in 2006. Outsourcing of content delivery solutions will be closely followed by outsourcing of business processes such as content provider management and content management as more and more operators recognise the concrete value outsourcing can provide them.”
On the subject of outsourcing, Matthew Hatton, Senior Analyst, Yankee Group, commented: “There is a clear trend towards network operators outsourcing the management and delivery of their mobile data. It wouldn’t surprise me if we saw more and more operators making deals of this kind over the next 12 months.”
Ends
For Further information please contact:
Matthew Humphries, Sonus PR for End2End
Tel: +44 (0)20 7851 4890
Email: matthew.humphries@sonuspr.com
About End2End
End2End is Europe’s leading provider of outsourced solutions for mobile data. End2End operates a unique service delivery infrastructure, specifically designed for the hosting, management, and delivery of mobile data services and content as managed services.
End2End offers a wide range of managed service solutions and complementary professional services to meet the needs of mobile operators, portals, media companies, content providers, and other companies looking to leverage the opportunities presented by the growing popularity of mobile data. End2End’s managed service solutions are currently powering the delivery of data services and content across more than 50 mobile operators in 20 countries on five continents. End2End's customers include leading companies such as Lycos Mobile, MSN, Orange, Sony NetServices and Vodafone.
End2End was selected by both Red Herring and Tornado Insider as one of the top 100 private companies in Europe and Israel in 2005 for its leading role in innovation and technology.
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