The “Big Six” global telecom service providers – those that provide ICT (information and communications technology) services in at least five countries supported by managed ICT services in more than one region – aren’t delivering a level of service to large business enterprises sufficient to differentiate them from regional providers, according to new market research from Ovum.
Multinational corporations (MNCs) “want much more from their global telecoms service providers when it comes to network performance and customer support,” Ovum’s David Molony highlights in a press release.
The “Big Six” telcos providing enterprise ICT services – AT&T, BT, Orange, T-Systems, Verizon and Vodaphone – “are rated hardly any better than the many upstart regional service providers in emerging telecoms markets,” Ovum found in surveying ICT decision-makers and influcencers across more than 2,700 enterprises worldwide. Of the 537 MNCs surveyed, 255 said one of the “Big Six” is their primary global provider.
Multi-National Enterprise Telecom Survey
Collectively, the “Big Six” ICT service providers scored an average performance rating of 105 in global services on a 200-point scale as compared to 104 for all other service providers. “Our research highlights the challengers’ achievements, and we feel it sends a particularly strong message to the big six,” Molony stated.
“Global service providers in the telecoms industry should be treating existing contracts as if they are in continuous competitive tender. They should be looking to improve overall service performance across a range of criteria, and not just to address or improve on shortcomings.”
BT Global Services and AT&T Business Solutions earned the highest ratings from their customers. T-Systems and Vodafone Global Enterprise reached the next performance level rating.
“AT&T and BT might be most satisfied with their ratings, at least in terms of their standings against their immediate tier-1 rivals. However, all the big six global service providers should be concerned that they do not stand out from the pack that is following them,” Molony writes.
Other key takeaways from Ovum’s report include:
- The effective operation and management of an efficient, reliable, and secure global network is still by a distance the most important thing that MNC users want from their telecoms suppliers. Yet even the top-scoring telco service providers scored poorly on criteria such as problem resolution, geographic coverage, and delivery of SLAs;
- The big six need to improve in account management, co-innovation with customers, and delivering value for money, three areas in which their customers gave these suppliers their lowest scores;
- Challengers such as Easynet, Interoute, Level 3, Tata Communications, and Telstra recorded some high scores, rewarding their investment efforts in customer service organizations and advanced networking.