The Yankee Group Report "OSS for Wireless Networks: The Migration Begins" examines: 1) wireless operator challenges in delivering and monitoring new service offerings; 2) the operational support system (OSS) investments that will be made over the next five years; and 3) the Yankee Group's recommendations for how operators and software vendors should proceed in this marketplace.

Driven by complex service delivery and monitoring scenarios, operator investments in wireless OSSs are projected to grow from approximately $6.4 billion in 2001 to $9.6 billion by 2005.

Hundreds of billions of dollars have already been invested by operators in migrating their networks from 1G and 2G to 2.5G and 3G. To date, the majority of this spending has been composed of core and radio access infrastructure and spectrum. However, as these new networks, services and handsets are deployed, operators will need to invest in their operational controls, namely OSSs.

"Mergers and acquisitions, stovepipe purchasing, custom builds and point integration solutions have resulted in a hodgepodge of OSSs that can cripple a wireless operator's ability to move quickly and to cost-effectively deliver and maintain a high quality of service," says David Hawley, telecom software strategies analyst at the Yankee Group. "Today, wireless operators' spending on OSS is being driven by service assurance solutions, systems integration and tactical service deployment, in the hopes of addressing their current operational inhibitors."

Since OSS is crucial to delivering and assuring high-performing services in high-volume environments, the Yankee Group sees OSS as one of the next waves of investment supporting the delivery of data-enabled mobile services.

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