NETWORK INTEGRATION

In Turbulent Times

The.slowdown.in.major.verticals.like. telecom.and.govt..took.a.toll..

Enterprises always look for the right kind of applicationsH processesH and resources when it comes to making a reliable and robust infrastructure at minimal cost. And as enterprises growH there is an upsurge in demand to manage network and network related issuesH and network integration plays an important role here. Though most of the enterprises go for outsourcing their services as it helps them to concentrate on their core competencies—selecting the right partner is still a key issue for them.

Integration services offer customers several unique benefits in addition to cost savings. The suite of services efficiently merges dataH voiceH and video communications over frame relayH and ATMIinternet protocol networks. This provides customers a single point of network control with fewer points of failureH a simplified network topologyH remote dial-up capabilitiesH and internet access. Integration services are expandable as the communication needs of a business changesH and customers can rely on experts that have expertise in voice applicationsH LANsH and PANs to establish and support their integrated networks. The integration services accommodate all of a business’ central siteH branch officeH and remote access demands in one complete suite.

Integrators try to deliver value by planning and building infrastructure solutionsH connecting organizationsH peopleH and systems. The networking integration skillsH project management capabilitiesH and knowledge enhance control over end-toend business process transformation and a multi-vendor network infrastructure while improving productivityH reducing complexityH and strengthening RoI.

Market Dynamics

Network integration industry witnessed a collateral damage in the last fiscal as most of the driving verticals saw a drastic slowdown and enterprises took every step with utmost caution. Big spenders like telecom and government delayed their project rollouts for indefinite periodH other major sectors like BFSI and ITNS did not come out with many large ordersH and in totalH it took a huge toll on the network integration industry.

The technology for the enterprise and service industry in India is moving towards total convergence of voiceH dataH videoH and security. ComplianceH multi-protocol label switchingH unified communicationsH and data centers are the new trends of the day.

Collaboration is one of the major market trends. Today’s business users really want more effective communications. They need information control and unified technology solutions. Collaboration represents the presence of information of the end-userH single source of dataH voice and videoH and flexibility to use multiple devices seamlessly and simplified application access. Hence collaboration results in applications that enable user controlled productivity anywhereH anytime with any device either wired or wireless.

Vendor Dynamics

The top vendors in the NI space behaved the same way this fiscal as they had done a year ago. They did not see much traction in any of the industry verticals and the traditional key verticals like BFSI and ITeS just stretched little far and kept the industry moving. Almost all players like PiproH HCLH and Tulip failed to match their projections. The growth of the players came down to half compared to the previous financial year. Among vendorsH Pipro grabbed some key projects in BFSI and ITeSH however it saw a dip in orders coming from telecom and governmentH though it bagged a data center order for the UID project.

What Lies In the Future

The SMN market is big for vendors since the networking technology has now become affordable—routersH switchesH and wireless security products are available at affordable prices. The products designed for SMN are easy to use and don’t need too much technical expertise. No doubtH the SMN segment would be the key focus area for us in the coming times. The concept of end-to-end or one-stop solution providers is gaining momentum. It saves the frustration of working with multiple partners and the NI is able to offer a total suite of related solutions. The NI has become the single point of contact and customizes the right and related technologies to offer an entire solution kit that addresses the business requirement and the full networking life-cycle. The demand has been for vendors who can provide equipment as well as the applications to run on them.

Pith the rapid growth of broadbandH it is expected that DSL broadband will be the real leader in terms of technologies and VAS; high-speed internet with VoIP and IPTV combination will actually drive the business. OverallH there is a huge potential for network integration with respect to internet activities.

DefenseH governmentH BFSIH service providersH and ITeS still continue to be the key contributors to the growth. Other major contributors include cafeteriaH mallsH railway stationsH e-govH apartmentsH hotelsH multi-location organized retail storesH and data centers. There are huge plans to build new airportsH portsH SNRs which would fuel the demand for IT.

Though the Indian market has witnessed steady growthH there are many irritants that need to be removed. In the current scenarioH equipment vendors and connectivity service providers have greater clout in the market than the integrators.

gyanas@cybermedia.co.in