Revenue management systems: worldwide market shares 2014

RESEARCH MARKET SHARES REPORT

REVENUE MANAGEMENT SYSTEMS: WORLDWIDE MARKET

SHARES 2014
JOHN ABRAHAM

analysysmason.com

Analysys Mason Limited 2015

Revenue management systems: worldwide market shares 2014

CONTENTS
EXECUTIVE SUMMARY
BUSINESS ENVIRONMENT
MARKET SHARES
VENDOR ANALYSIS
MARKET DEFINITION
ABOUT THE AUTHOR AND ANALYSYS MASON

Analysys Mason Limited 2015

Revenue management systems: worldwide market shares 2014

Dashboard: Revenue management worldwide market shares

Figure 2: Revenue management revenue by region, worldwide, 2014

KEY MARKET DEVELOPMENTS IN 2014

CSP spending on convergent platforms continued to grow, but spending
on postpaid and prepaid billing systems declined slightly. Spending on
mediation systems increased slightly, and demand for partner and
interconnect platforms continued to grow significantly.

NA

CSPs continued to invest in consolidating their systems and replacing

legacy platforms to support new use cases, which drove the demand for
convergent billing platforms.

37%
Total 2014:

USD5.91 billion

9%

Figure 1: Revenue management revenue by vendor, worldwide, 2014

LATAM

Amdocs
26.7%

Other
37.0%

EMEA

28%

APAC

26%

Figure 3: Revenue management revenue by sub-segment, worldwide, 2014

9%

Partner and interconnect

Billing (prepaid, postpaid,

convergent)

13%
Total
year-on-year
growth:

Huawei
Technologies
10.1%
NEC/NetCracker
5.5%
CSG International
6.3%

Oracle
6.3%

2.3%

Ericsson
8.1%

Mediation

78%
Source: Analysys Mason

Analysys Mason Limited 2015

Revenue management systems: worldwide market shares 2014

2013 versus 2014: The revenue management market continued its slow,
but steady, growth
Figure 4: Revenue management revenue by vendor, worldwide, 2013 and 2014
Vendor

Percentage of revenue

100%

2013

2014

26.5%

26.7%

Huawei Technologies2 bounced back from a lacklustre 2013

thanks to robust sales in China and emerging markets.
Ericssons revenue management systems revenue declined
slightly, but it retained third place overall thanks to growth in its
convergent platforms business.

90%

Amdocs

80%

Huawei
Technologies

9.6%

10.1%

Ericsson

8.5%

8.1%

Oracle

6.4%

6.3%

CSG International

6.4%

6.3%

NEC/NetCracker

5.0%

5.5%

37.6%

37.0%

70%

Oracles overall market share in revenue management systems

declined slightly as it faced challenges in expanding its business
in developed markets. It increased revenue in its cloud and B2B
segments.

60%
50%
40%

CSG International experienced a slight decline in market share,

primarily because of cautious spending and longer sales cycles
among its cable customers.

30%

20%
10%

Other1

0%
2013
1

Amdocs continues to lead the market by a large margin, driven

mainly by its postpaid systems business. The companys revenue
increased at a higher rate than that of the market overall.

2014

NEC/NetCracker2 entered the top six in revenue management for

the first time, replacing Comverse. NEC/NetCrackers acquisition
of Convergys has enabled it to expand its business among Tier 1
and Tier 2 CSPs.

Source: Analysys Mason

Significant vendors in the Other category include: Alcatel-Lucent, AsiaInfo, Comarch, Comptel,
Comverse, Hewlett-Packard, Openet, Orga Systems, Redknee and ZTE.

Analysys Mason Limited 2015

CSP spending on customising BSS systems is not included in the market share numbers (see
slides 47 and 48 for more details).

Revenue management systems: worldwide market shares 2014

Regional factors in business environment by region in 2014 for the

revenue management systems market
Figure 8: Factors in the business environment in 2014 that affected the revenue management systems market, by region

LTE and mobile broadband

Bundles
Managed services
Customer experience
Digital economy use cases

Continued economic
stagnation
Smartphone penetration
Mobile broadband
Bundling
Roaming regulations

Smartphone subscriber base

growth
Mobile broadband
System consolidation
Infrastructure roll-outs

Fixed and mobile infrastructure

roll-out
Slowing growth in subscriber
numbers
Increasing competition
Data services and smartphone
subscriber base growth

Source: Analysys Mason

Analysys Mason Limited 2015

Revenue management systems: worldwide market shares 2014

CONTENTS
EXECUTIVE SUMMARY
BUSINESS ENVIRONMENT
MARKET SHARES
VENDOR ANALYSIS
MARKET DEFINITION
ABOUT THE AUTHOR AND ANALYSYS MASON

Analysys Mason Limited 2015

49

Revenue management systems: worldwide market shares 2014

About the authors

John Abraham (Senior Analyst) is part of the BSS practice in Analysys Masons Telecoms Software Research team. He leads our Revenue
Management programme and contributes to mobile money research for the Digital Economy Platforms programme. John has been part of the
telecoms industry since 2006, and joined Analysys Mason in early 2012. He has worked on a range of telco projects in Africa, Europe, India and
the Middle East. Before joining Analysys Mason, he worked for Subex, a provider of BSS offerings. John holds a bachelor's degree in computer
science from Anna University (India) and an MBA from Bradford University School of Management (UK).

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50

Revenue management systems: worldwide market shares 2014

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