Network equipment provider


Network equipment providers are companies that sell product and services to communication service providers such as fixed or mobile operators as well as to enterprise customers. If you place a call on your mobile phone, surf the internet, join a conference call or watch a video on demand through IPTV – it is all NEPs technologies that are enabling such kind of services. The history of the NEPs goes back to the mid 19th century when the first telegraphs networks have been set up. Some of these players still exist today.
NEPs can provide:
Some providers in each customer segment are:
Majority of revenues from service providers:
Majority of revenues from enterprise customers:
The NEPs have recently undergone a significant consolidation or M&A activity, for example the joint venture of Nokia and Siemens, the acquisition of Marconi by Ericsson, the merger between Alcatel and Lucent and many numerous acquisitions by Cisco.
A look at the financial performance of these players according to the segment they serve creates a diverse picture:

Power balance in the NEP ecosystem

NEPs face high pressure from old & new rivals and a stronger, more consolidated customer base.
Threat of New entrants:
Bargaining Power of Suppliers:
Bargaining Power of Buyers:
Threat of Substitution: