ID Number: G00169340




Dataquest Insight: Cost Structure Optimization And Flexibility Are Key To Preserving CSPs' Margins
31 July 2009
 
Alex Winogradoff  

Communications service providers can be more cost-efficient than their competitors at delivering new services, through a combination of more effective use of assets and strategic partnering.







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Pages: 9








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Table of Contents



    
Analysis

    
Heavy Investment in Fixed Assets Limits CSPs' Market Flexibility in an Internet Economy
    
Managing Cash Costs Is Another Area That Will Continue to Be Critical for CSPs
    
Cost Structures for CSP, Cable and IT Services Businesses
    
The Video Services Challenge for CSPs
    
Cost Considerations For Mobile Services

    
Background and Context

    
The Impact

    
"New" Services Will Have a Minimal Impact on CSP Cost Structure

    
Conclusion

    
A Flexible Cost Structure Is Critically Important for CSPs

    
Recommended Reading


List of Tables



Table 1.  
Fixed-Asset Ratio — a Cost Structure Flexibility Measure
 

Table 2.  
Cash Cost Efficiency Profile of Integrated CSPs
 

Table 3.  
IT Cost Structure
 

Table 4.  
Mobile Cost Structure: 30 Global CSPs
 

List of Figures



Figure 1. 
Comparison of Industry Cash Costs (COGS and SG&A), OIBDA Margins and Fixed Asset Ratios
 



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This document is published in the following Dataquest Market Insights:
 
Carrier Operations & Strategies Worldwide





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Resource Id: 1107514