Three out of four telecom service providers have increased the number of their IT services vendors over the past five years, said an Amdocs survey.
This is despite service provider ambition to simplify and streamline their IT operational environments.
Amdocs and Coleman Parkes surveyed 50 CIOs and 50 senior vice presidents responsible for IT operations or IT services procurement at service providers across 23 countries in Europe, Asia-Pacific and the Americas.
But the survey did not talk about the possible increase in IT spending by telecoms.
74 percent of respondents said that over the past five years they had increased the number of services vendors they used, with 26 percent having doubled their number of vendor deals during this period.
Also, the survey did not specify the reasons for increase in the number of IT vendor deals in the past 5 years.
77 percent of the respondents said emerging IT domains such as cloud computing and big data analytics, 74 percent cited new organizational buying centers including centers within the CMO and CTO organizations, and 72 percent said growing skills gaps as key factors driving the rise in services engagements.
77 percent considers IT infrastructure, 64 percent BSS and 54 percent OSS as the three IT domains seeing the highest increase in the number of external services vendors.
The Amdocs survey is silent about the business benefits service providers received from IT infrastructure, BSS and OSS.
79 percent said minimizing business risk and 72 percent said deal complexity are the top criteria for selecting sourcing engagement models by survey respondents
“There is a growing need for prime service integrators that service providers can rely on to take full accountability over the entire, multi-vendor structure in order to reduce risk and allow service providers to focus on their business, rather than deal with the increasing complexities of the IT environment,” said Rebecca Prudhomme, vice president of product and solutions marketing at Amdocs.
