The rising popularity of anything-as-a-service- (XaaS-) based deployment models, driven by implementations in enterprise and retail, has forced communications service providers (CSPs) to closely examine the prospect of deploying their own support functions as a service in the cloud.
SaaS-based models offer CSPs many advantages, but the replacement of complex billing systems with a SaaS-based model can also be substantially disruptive to CSPs' operations. From a vendor perspective, SaaS-based models offer advantages such as seamless upgrades and a stabilised revenue stream. However, the shift away from a capex-heavy model towards standardised, cloud-based platforms will lead to a substantial drop in revenue in the short term.
- analyses software-as-a-service (SaaS) from a telco BSS perspective, and explains how it differs from managed services
- discusses the potential benefits for CSPs of using SaaS-based billing systems
- identifies the technological requirements for deploying billing as SaaS
- highlights the main barriers to the widespread adoption of billing as SaaS.
This report analyses the market opportunity for the deployment of communications service providers’ (CSPs’) billing systems on a software-as-a-service (SaaS) model. The report defines SaaS within a telco BSS context, analyses the significance of these developments for CSPs and vendors, and provides a forecast for SaaS deployments for CSP billing systems.
The report also discusses the technology requirements for deploying billing systems on a SaaS model. It analyses the SaaS business model and reviews the primary inhibitors for widespread SaaS deployment.
In addition, the report provides recommendations for vendors and CSPs regarding their SaaS-based billing strategy.
The report is based on several sources:
- Multiple interviews with several CSPs and all leading vendors
- Internal research on revenue management forecast and market share.
Key Questions Answered in this Report
- What is software-as-a-service (SaaS) from a telco BSS perspective? How does it differ from managed services?
- What are the potential benefits to CSPs of using billing systems offered on a SaaS model?
- What are the technological requirements for deploying billing as SaaS?
- What are the main barriers to the widespread adoption of billing as SaaS?
Who Should Read this Report
- Vendors of revenue management solutions that plan to offer SaaS-based offerings.
- Technologists involved in developing SaaS-based billing and charging platforms.
- CSPs that are considering deploying billing systems on a SaaS model.