Trend Report

Deriving Value From Global Managed Network And Telecom Services

Outsourcing Helps MNCs Avoid Upfront Capital Spending And Enjoy Business Benefits From New Convergence Technologies Sooner

Brownlee Thomas, Ph.D.
 and  one contributors
Feb 11, 2009

Summary

Most large multinational corporations (MNCs) will buy more provider-managed international network and telecommunication services during the next three years to help insulate their business from the anticipated multiyear global economic recession. Sourcing and vendor management organizations that have good visibility into overall network and telecom (N&T) spending improve their company's ability to assess the costs, risks, benefits, and flexibility factors (a combination that Forrester calls the Total Economic Impact™ [TEI]) that outsourcing N&T operational management would have on their business. More often than not, a thorough TEI assessment of N&T leads global companies to begin or expand wide-area network (WAN) outsourcing and convergence-related management. Their rationale for doing this includes a desire to: 1) optimize past technology investments; and 2) avoid or reduce new and future technology investments.

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