June 16, 2024

Telecom Operations Management is Estimated to Witness High Growth Owing to Increased Network Complexities

The telecom operations management market provides solutions and services to efficiently manage the network infrastructures of telecom operators. These solutions help operators to streamline operations, automate network processes, and gain real-time insights to optimize the network performance. The telecom operations management helps in reducing overall operational costs, improving customer experience, and maximizing revenue generation opportunities.

The global telecom operations management market is estimated to be valued at US$ 57.99 billion in 2024 and is expected to exhibit a CAGR of 29% over the forecast period of 2024 to 2030.

Key Takeaways

Key players operating in the telecom operations management are Electronic Arts Inc., Kaneva LLC, Nintendo Co. Ltd, Avatar Reality Inc., Sony Corporation, Oculus VR, Activision Publishing Inc., and Sega Corporation. These key players are focusing on developing advanced telecom operations management solutions to effectively handle the network complexities arising due to factors such as 5G rollout, IoT integration, and increasing data traffic.

The key opportunities in the telecom operations management market include developing AI and analytics-driven solutions, integration of cloud-based platforms, and offering managed services. Telecom operators are open to outsourcing their non-core network operations to managed service providers to focus on their core business areas.

On the technology front, SDN and NFV are gaining widespread adoption to automate network operations. Telecom operators are virtualizing their networks using SDN and NFV technologies to gain agility, reduce costs, and simplify operations. This transition to virtualized networks is expected to drive significant growth opportunities for telecom operations management solution providers.

Market drivers

The key driver for the growth of telecom operations management market is the increasing network complexities due to the rollout of new technologies such as 5G. The transition to 5G networks will introduce challenges such as network densification and greater diversity in connected devices. This makes network management exponentially complex. Telecom operations management solutions help operators to streamline cross-network processes and operations for effective 5G network management.

Challenges in Telecom Operations Management Market

The Telecom Operations Management market is facing various challenges currently due to rising network complexities and dynamic business models. Operators are finding it difficult to manage their traditional as well as virtualized networks efficiently. Secondly, evolving customer demands require building smart network infrastructure that can provide seamless connectivity at all times. However, lack of skilled workforce and high implementation costs pose hindrances for operators to upgrade their network infrastructure. Thirdly, security threats are increasing drastically with the growth of IoT devices and advanced technologies like 5G. Operators need to deploy robust measures to safeguard customer privacy and business data.

SWOT Analysis

Strength: The market is witnessing strong growth driven by rising demand for automation and agile operations. Vendors are focusing on offering AI-powered solutions for predictive maintenance and self-healing networks.

Weakness: High upfront investments and long replacement cycles of legacy systems act as barriers for operators to adopt new-age solutions. Lack of interoperability issues also exist between systems of different vendors.

Opportunity: Increasing complexities in networks offer scope for vendors to provide solutions for various domains like customer experience management, network planning, etc. Emerging technologies will further open new opportunities.

Threats: Stiff competition from open-source platforms can negatively impact licensed software revenues. Cyber threats also continue to pose security challenges.

Geographically, North America holds the largest share in the Global Telecom Operations Management Market Share currently due to significant technology adoption. Asia Pacific is expected to be the fastest growing region during the forecast period due to rising investments by Chinese and Indian telecom operators to build 5G infrastructure. Operators in emerging markets are also undergoing digital transformations and upgrading legacy systems to offer enhanced customer experience.

Currently, Europe accounts for a major share of the global Telecom Operations Management market value owing to proliferating networks of leading European operators. Further growth is expected across countries like Germany, UK and France – supported by ongoing investments in modernizing fixed as well as mobile networks and focus on automation.

*Note:
1.      Source: Coherent Market Insights, Public sources, Desk research
2.      We have leveraged AI tools to mine information and compile it