OneStream chairman Phil Rider is predicting the smaller players will form partnerships or sell out to bigger players, while those not offering converged services will find it tough to survive
This year we will see the strong getting stronger and the weak getting swallowed. In the enterprise marketplace we are already seeing some suicidally aggressive deals, with some companies desperately trying to write business at any cost without regard for profit margins.
Already smaller players are making noises about selling out, but as margins shrink more of them will become realistic about the valuations of their companies and will seek either to sell out to bigger players or form alliances among themselves.
Anyone not already offering converged services will find it a tough year, as the old concept of selling pure mobile is now outmoded. Companies wishing to survive and thrive in our industry must offer multiple touchpoints for their customers and give them a reason to do business by adding value as a supplier and by moving away from deals that focus on price. Customer service will become more important as customers seek better service levels for lower cost.
It will be a tough year for RIM in the UK as the fallout from its outage continues, and Nokia will make a return to prominence as the first Windows phones make an impact.