'World's largest' telecom deal turns out to be a dud

By , Network World |  IT Management, telecommunications

"GSA needs to make it more flexible to add services, not just buying a line or buying minutes. People want to buy infrastructure as a service, security as a service, SAP migration as a service. If we could offer more of those services, this contract could achieve significantly more revenue," Zeleniak says. "We want to bundle communications capabilities in a services model, rather than a line item model."

Industry experts say Networx will probably produce around $10 billion in revenue by the end of 2017. While not the huge sums originally predicted by GSA, the $10 billion mark would at least make the contract profitable for many of the carriers.

"I think Networx has hit its stride," Mohan says. "We are seeing agencies buying advanced technologies at attractive price points. We are seeing agencies using Networx services to move into their next phase of transformations. This is what everyone has anticipated. The only thing that has been a drawback is that it is late."

Read more about data center in Network World's Data Center section.


Originally published on Network World |  Click here to read the original story.
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