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Embarq Outsources NOC
September 19, 2008
In the latest example of a communications service provider deciding that some infrastructure operations are not “core competencies,” Embarq (News - Alert) has outsourced its network operations center to Nokia Siemens Networks. The seven-year agreement also transfers 265 Embarq employees to Nokia Siemens, as is typical for many large outsourcing deals.
Embarq has decided that management of its voice networks at the NOC (News - Alert) is something it can “buy” rather than “build and operate.”
Sprint (News - Alert), for its part, has decided ownership of cell towers confers no strategic advantage and is selling sites and leasing space on the towers. Other wireless operators in Europe are sharing the cost of new towers and radio transmission assets. Some global carriers are outsourcing their entire global long distance functions to third parties.
That isn’t to say most carriers are going completely horizontal in their approach. But many are deciding that complete vertical integration is not the best approach.
Nokia (News - Alert) Siemens Networks has more than 170 managed services contracts worldwide, serving more than 130 million subscribers globally.
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Gary Kim (News - Alert) is a contributing editor for TMCnet. To read more of Gary's articles, please visit his columnist page.
Edited by Stefania Viscusi
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