Nokia Siemens Networks looks for regional growth

Company predicts more than one billion people connected in MEA region by 2010 as telecom sector booms

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By  Mark Sutton Published  March 31, 2008

Nokia Siemens Networks is positioning itself to take advantage of the booming telecom sector in the region.

The company, formed one year ago by the merger of Siemens Networks and Nokia Networks Business Group, says that it is investing in its applications and services portfolio to meet the needs of both existing telecom providers and new operators that have secured licences across the region.

Nokia Siemens Networks is predicting that one billion people will be connected in the Middle East and Africa region by 2010, as new telecoms operators enter the market and as penetration rates increase in emerging markets.

Jan Cron, head of MEA region, Nokia Siemens Networks commented: "With these new opportunities in mind, Nokia Siemens Networks is committed to helping communications service providers understand the changing market dynamics and transform their business in order to secure long-term growth."

Cron said that Nokia Siemens Networks has over 3,000 service professionals in the MEA region, as part of a growing trend to managed services among telecom operators. While managed services have been more common in mature markets, Cron said that greenfield deployments, such as Zain's network in Saudi Arabia which Nokia Siemens Networks has a design-build-operate contract for, are also driving up demand for more in-depth service relationships.

"Operators believe they can reduce OPEX by giving their assets to vendors who have better skill and better know-how and are therefore able to manage operations at lower costs. We want to be more than just a solution provider, we want our customers to leverage our experience and be able to share our first hand experience of how they can grow," he commented.

Cron also said that new operators in traditional monopoly markets would need to establish a rounded service offering before competition would begin in earnest. "It takes time for a number two operator or even more a number three to build its network and provoke churn. Typically only once they have a good quality network, good pricing and a differentiated service portfolio, then we see these elements of competition start to appear." he said.

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