Like it or loathe it, outsourcing is becoming a mainstay of the global telecommunications industry, analysts said yesterday following Wednesday's announcement of two major outsourcing deals by Hutchison Whampoa's telecommunications arm.
The deals involving Hewlett-Packard and newly formed NEC Telecommunications (Hong Kong) are part of a global trend that sees mobile operators pitching customer services and brand-building as their core functions. Other Hong Kong carriers were likely to follow suit, the analysts said.
'It used to be that a carrier's core competency was running the network, but people don't think that way anymore. Carriers [now see it] as maintaining customer relations, marketing, brand-building and new service creation, so they leave the boring job of actually running the network to others,' said Andrew Chetham, Gartner principal analyst for telecommunications.
'There are a lot of carriers in Hong Kong, so if one can make a cost saving through outsourcing, it's only a matter of time before others do,' he said.
The two deals will see Hewlett-Packard take over management of Hutchison Telecom HK's 3G data centre and the maintenance and support services of the company's internet portal and e-business IT applications. In a separate agreement, NEC will provide network operation and maintenance for Hutchison's second and third generation mobile network operations in Hong Kong.
'We are outsourcing certain functions to leading technology partners to give greater focus to the core strengths and needs of our business,' a Hutchison Telecommunications International (HTIL) spokesperson said yesterday. 'Our core competencies would be our strong brand, introducing innovative products and services, and offering superior and differentiated customer services.'
