Story image

Huawei biggest player in thriving network equipment services market

07 Feb 2019

A new report has revealed - perhaps unsurprisingly - that the network equipment services market is in good stead.

According to telecommunications, networks, and data centre IT industries specialist Dell’Oro Group, cumulative revenue for network equipment services to service providers is expected to range between US$200 billion and $250 billion over the next five years.

Dell’Oro Group Network Equipment Services Research director Stefan Pongratz says the market will hold substantial growth opportunities for both product attached and non-product attached services.

“While we envision that the coupling between equipment and services will remain strong for product attached services, we are increasingly optimistic about the role non-product attached services will play to help operators navigate the network of tomorrow,” says Pongratz.

“We believe that network complexity will dramatically increase in the future as service providers strive to incorporate SDN/NFV and deliver new products related to IoT and 5G. As a result, we believe the software component of networks and the amount of services will be larger in the future.”

Over the forecast period, Dell’Oro Group asserts that professional services like consulting are set to grow at the fastest pace, however, network rollout will retain its place as the largest segment.

In terms of vendors in the market, Huawei held the largest piece of the pie in 2018 having bolstered its services share by more than 70 percent between 2013 and 2017.

The Chinese giant has held on to its place at the top since 2016, and maintained more than 30 percent market share in 2018. The market is dominated by the larger players, with more than 80 percent allocated to just the top four vendors.

Of course, Huawei is going through a tough time at the moment amid the US-China trade war and spying allegations being made by the US, so it will be interesting to see how Huawei fares in 2019.

How IBM’s acquisition of Red Hat could impact your business
The acquisition is pending regulatory approval, but IBM expects the deal to close in the second half of 2019. 
Data center colocation market to hit $90b in next five years
As data center services grow in popularity across enterprises large and small, the colocation market is seeing the benefits in market size.
Automation beginning to impact Aussie workforce
18% of those surveyed said automation has already impacted their job ‘significantly’, with their duties changing or their role becoming redundant.
OVH launches public cloud down under
OVH Public Cloud services is expanding to Australia out of two data centres - one in Sydney and one in Singapore.
Acer’s new programme and portal for partners
A simple and manageable programme designed to incentivise, recognise and reward commercial partner achievements.
Interview: Culture and cloud - the battle for cybersecurity
ESET CTO Juraj Malcho talks about the importance of culture in a cybersecurity strategy and the challenges and benefits of a world in the cloud.
In ongoing cloud war, Google to acquire data migration specialist
Google is currently behind AWS and Microsoft in the cloud battle, and it would seem this play is an attempt to claw some ground back.
Ping Identity Platform updated with new CX and IT automation
The new versions improve the user and administrative experience, while also aiming to meet enterprise needs to operate quickly and purposefully.