With Network Support Services (NSS) outsourcing in place, wireless carriers can focus their attention on expanding coverage, improving the quality of the network, and bringing in new devices and applications to enhance the client experience. Network maintenance and support services can be obtained from a Network Support Services (NSS) provider, which manages network elements including switches, base stations, backhaul and messaging systems based on the Service Level Agreement (SLA) with the network operator.

1. Outsourcing Network
Support Services:
Advantages for
Carriers
By Jennifer Marron
Marketing & Communications Specialist
WireIE Holdings International Inc.
April 2010
Outsourcing Network Support Services: Advantages for Carriers 1

2. Outsourcing Network Support Services:
Advantages for Carriers
By Jennifer Marron
Marketing & Communications Specialist
WireIE Holdings International Inc.
The fact is that outsourcing is becoming a
T oday, many wireless carriers are
global reality and its challenging ingrained
perceptions of what is core and non-core to
a network operator’s business activity. With
making the decision to outsource their
network maintenance and support NSS outsourcing, operators may focus their
operations. In doing so, carriers are able to attention on expanding coverage, improving
focus on their core business of delivering the quality of the network, and in the
high quality services. Outsourcing simply process, bringing in new open devices and
means that another company is contracted applications that enhance the client
with the responsibility of managing and experience.
maintaining certain network assets that
Outsourcing Benefits
cost money to operate on an ongoing basis.
Outsourcing is a great solution as it reduces
This allows wireless operators to focus on costs and manages operational risk. The
building their business instead of managing main goal of an outsourcing agreement is to
daily, resource-intensive tasks associated produce cost savings that operators can
with operating their network. Companies then reinvest in their network(s). It is simply
that provide outsourcing services are that it costs less for outsourcing companies
specialists in those areas and can offer to handle operations instead of keeping
peace of mind to their clients, often at a them in-house and taking up valuable
lower cost. resources. Labour costs are diminished and
staff can focus on the tasks at hand – which
What is it? mean generating more revenue by
Network maintenance and support services increased client numbers and devices. NSS
can be obtained from a Network Support providers offer service assurance and are
Services (NSS) provider. The NSS provider focused on client Key Performance
manages the network elements such as Indicators (KPI’s) as defined by the
switches, base stations, backhaul, and operator.
messaging systems based on the Service
Level Agreement (SLA) with the network Outsourcing network support also allows a
operator. company to focus on keeping clients by
using valuable resources in an effective
Outsourcing Network Support Services: Advantages for Carriers 2

3. way. By retaining clients, churn is reduced, Under the agreement, Ericsson assumes
thus managing Average Revenue Per User responsibility for the day-to-day services,
(ARPU). From here, more marketing dollars provisioning, and maintenance of Sprint's
can be spent in order to focus on acquiring CDMA, iDEN and wireline networks. This
more clients. therefore allows Sprint to retain full
ownership and control of its network assets,
An audit is typically conducted in order to and solely own the network strategy and
assess the business value of outsourcing investment decisions.
and to justify it to the operator. It would
need to be determined what in fact needs This agreement is very influential as it
to be outsourced, and then partnership opened the door for US operators to follow
arrangements are set up in order to repair the lead of Europe, Asia, and the emerging
network elements that markets in handing over
are near end-of-life. Outsourcing keeps the day-to-day operations
of its network to an
In such instances where the company moving outsider, while they focus
vendor support no longer on service. The Sprint
exists, a company still forward as contract is the first where
needs to support their
client’s experiences and
technology evolves a major nationwide
operator has been willing
expectations. Instead of to turn the entirety of its
managing multiple vendors, they have a network management and operations to a
single point of contact for all network third party vendor such as Ericsson. Due to
issues, resulting in less interfacing with the scale of this deal, it garnered attention
vendors and agreements to manage. Again, from North American network operators
this affords the operator the flexibility to who were perhaps skeptical and unwilling
contemplate future applications. to outsource their network functions
elsewhere.
A Caribbean-based example of this would
be for a wireless operator to continually What about smaller operators?
monitor and support a 2G network and its While Sprint is a large American network
clients, while on the path to developing a operator, smaller operators would be even
3G network or new technology. Outsourcing more likely to benefit from an outsourcing
keeps the company moving forward as arrangement. Additionally, the outsourcing
technology evolves. will free valued resources as the company
can now concentrate on innovation and
The Ericsson/Sprint Example development rather than investing in
A prominent North American example is network technology, maintenance and
Ericsson’s 7-year NSS agreement with Sprint upgrades. WireIE realizes the value of key
announced in July 2009, worth up to $5 resources and manages network elements
Billion, and affecting 6,000 employees. from our facilities, thus managing
Outsourcing Network Support Services: Advantages for Carriers 3

4. operational costs (on-site service is deploying, and ultimately managing new
provided only as required). technologies for the client.
So why do it? Outsourcing provides customer peace of
So why outsource NSS and managed mind to operators, and they are able to
services? In short, it provides improved hand off network performance processes,
effectiveness and efficiency of operations. and the MSP handles performance
monitoring and ensures preemptive steps
Skills and knowledge may not reside within are taken to identify issues and maintain
the client’s organization and will only be service levels. Outsourcing companies
available through a Managed Services convert one’s business drivers into network
Provider (MSP). Clients are able to be reality and are typically vendor agnostic –
advised on important business and network meaning the client does not need to contort
technology decisions through outsourcing. their network (or business requirements) to
They are the client’s trusted advisor on both suit a manufacturer. Therefore, outsourcing
business and technology decisions – both network maintenance and support avoid
present & future. costs of building and staffing a wireless
They also have a ‘going-in’ advantage in carrier’s own management and reporting
advising and then subsequently designing, systems, and contributes to lower total cost
ownership.
Outsourcing Network Support Services: Advantages for Carriers 4

5. What can we do for you?
At WireIE, we have the expertise to identify and understand your unique challenges. We have
the knowledge, experience and resources to create, build, deploy and maintain the latest in
wireless network solutions. We are the industry's brightest and best and we're prepared to
ensure success in your Next Generation Network solution. Let's start the conversation.
Rob Barlow
President and CEO
WireIE
rob.barlow@wireie.com
Tel: +1.905.882.4660
Fax: +1.905.882.0223
www.WireIE.com
WireIE
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Floor 2,
Richmond Hill, Ontario CANADA L4B 4C2
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Outsourcing Network Support Services: Advantages for Carriers 5