Top 10 Companies in the US Telecommunications Industry: IT Spending Predictor 2010

TABLE OF CONTENTS
OVERVIEW 1
Catalyst 1
Summary 1
INTRODUCTION 10
Reasons to purchase 10
Definitions 10
US TELECOMMUNICATIONS INDUSTRY: ESTIMATED SPENDING ON IT 13
Overview 13
Estimated spending by technology segment 15
Estimated IT spending by channel 17
AT&T INC. 19
Budget overview 19
AT&T Inc., estimated spending on IT 20
AT&T Inc., estimated IT spending by channel 24
INTERNATIONAL BUSINESS MACHINES CORPORATION 26
Budget overview 26
International Business Machines Corporation, estimated spending on IT 27
International Business Machines Corporation, estimated IT spending by channel 31
VERIZON COMMUNICATIONS INC. 33
Budget overview 33
Verizon Communications Inc., estimated spending on IT 34
Verizon Communications Inc., estimated IT spending by channel 38
CISCO SYSTEMS, INC. 40
Budget overview 40
Cisco Systems, Inc., estimated spending on IT 41
Cisco Systems, Inc., estimated IT spending by channel 45
SPRINT NEXTEL CORPORATION 47
Budget overview 47
Sprint Nextel Corporation, estimated spending on IT 48
Sprint Nextel Corporation, estimated IT spending by channel 52
Sprint Nextel Corporation, IT Contracts 54
COMCAST CORPORATION 64
Budget overview 64
Comcast Corporation, estimated spending on IT 65
Comcast Corporation, estimated IT spending by channel 69
Comcast Corporation, IT Contracts 71
MOTOROLA, INC. 75
Budget overview 75
Motorola, Inc., estimated spending on IT 76
Motorola, Inc., estimated IT spending by channel 80
Motorola, Inc., IT Contracts 82
T-MOBILE USA, INC. 87
Budget overview 87
T-Mobile USA, Inc., estimated spending on IT 88
T-Mobile USA, Inc., estimated IT spending by channel 92
T-Mobile USA, Inc., IT Contracts 94
COX ENTERPRISES, INC. 99
Budget overview 99
Cox Enterprises, Inc., estimated spending on IT 100
Cox Enterprises, Inc., estimated IT spending by channel 104
QWEST COMMUNICATIONS INTERNATIONAL INC. 106
Budget overview 106
Qwest Communications International Inc., estimated spending on IT 107
Qwest Communications International Inc., estimated IT spending by channel 111
APPENDIX 113
Methodology 113
Further reading 114
Disclaimer 115

LIST OF FIGURES
Figure 1: Top ten companies in the US telecommunications industry, estimated spending on IT ($m), 2009 and 2010 13
Figure 2: Top ten companies in the US telecommunications industry, estimated spending by technology segment ($m), 2009 15
Figure 3: Top ten companies in the US telecommunications industry, estimated spending on IT by channel ($m), 2009 17
Figure 4: AT&T Inc., estimated spending by IT segment ($m), 2009 20
Figure 5: AT&T Inc., estimated spending by IT sub-segment ($m), 2009 22
Figure 6: AT&T Inc., estimated spending on IT by channel (%), 2009 24
Figure 7: International Business Machines Corporation, estimated spending by IT segment (%), 2009 27
Figure 8: International Business Machines Corporation, estimated spending by IT sub-segment ($m), 2009 29
Figure 9: International Business Machines Corporation, estimated spending on IT by channel (%), 2009 31
Figure 10: Verizon Communications Inc., estimated spending by IT segment (%), 2009 34
Figure 11: Verizon Communications Inc., estimated spending by IT sub-segment ($m), 2009 36
Figure 12: Verizon Communications Inc., estimated spending on IT by channel (%), 2009 38
Figure 13: Cisco Systems, Inc., estimated spending by IT segment (%), 2009 41
Figure 14: Cisco Systems, Inc., estimated spending by IT sub-segment ($m), 2009 43
Figure 15: Cisco Systems, Inc., estimated spending on IT by channel (%), 2009 45
Figure 16: Sprint Nextel Corporation, estimated spending by IT segment, 2009 48
Figure 17: Sprint Nextel Corporation, estimated spending by IT sub-segment ($m), 2009 50
Figure 18: Sprint Nextel Corporation, estimated spending on IT by channel (%), 2009 52
Figure 19: Comcast Corporation, Inc., estimated spending by IT segment (%), 2009 65
Figure 20: Comcast Corporation, Inc., estimated spending by IT sub-segment ($m), 2009 67
Figure 21: Comcast Corporation, Inc., estimated spending on IT by channel (%), 2009 69
Figure 22: Motorola, Inc., estimated spending by IT segment (%), 2009 76
Figure 23: Motorola, Inc., estimated spending by IT sub-segment ($m), 2009 78
Figure 24: Motorola, Inc., estimated spending on IT by channel (%), 2009 80
Figure 25: T-Mobile USA, Inc., estimated spending by IT segment (%), 2009 88
Figure 26: T-Mobile USA, Inc., estimated spending by IT sub-segment ($m), 2009 90
Figure 27: T-Mobile USA, Inc., estimated spending on IT by channel (%), 2009 92
Figure 28: Cox Enterprises, Inc., estimated spending by IT segment (%), 2009 100
Figure 29: Cox Enterprises, Inc., estimated spending by IT sub-segment ($m), 2009 102
Figure 30: Cox Enterprises, Inc., estimated spending on IT by channel (%), 2009 104
Figure 31: Qwest Communications International Inc., estimated spending by IT segment, 2009 107
Figure 32: Qwest Communications International Inc., estimated spending by IT sub-segment ($m), 2009 109
Figure 33: Qwest Communications International Inc., estimated spending on IT by channel (%), 2009 111
Figure 34: Research methodology 113

LIST OF TABLES
Table 1: Definitions: IT segments and sub segments 11
Table 2: Definitions: channels 12
Table 3: Top ten companies in the US telecommunications industry, estimated spending on IT ($m), 2009 and 2010 14
Table 4: Top ten companies in the US telecommunications industry, estimated spending by technology segment ($m), 2009 16
Table 5: Top ten companies in the US telecommunications industry, estimated spending on IT by channel ($m), 2009 18
Table 6: AT&T Inc., IT budget estimates (%), 2009–10 19
Table 7: AT&T Inc., IT budget by estimated entity (as % of overall IT budget), 2009 19
Table 8: AT&T Inc., estimated spending by IT segment ($m), 2009 21
Table 9: AT&T Inc., estimated spending by IT sub-segment ($m), 2009 23
Table 10: AT&T Inc., estimated spending on IT by channel ($m), 2009 25
Table 11: International Business Machines Corporation, IT budget estimates (%), 2009–10 26
Table 12: International Business Machines Corporation, estimated IT budget by entity (as % of overall IT budget), 2009 26
Table 13: International Business Machines Corporation, estimated spending by IT segment ($m), 2009 28
Table 14: International Business Machines Corporation, estimated spending by IT sub-segment ($m), 2009 30
Table 15: International Business Machines Corporation, estimated spending on IT by channel ($m), 2009 32
Table 16: Verizon Communications Inc., IT budget estimates (%), 2009–10 33
Table 17: Verizon Communications Inc., estimated IT budget by entity (as % of overall IT budget), 2009 33
Table 18: Verizon Communications Inc., estimated spending by IT segment ($m), 2009 35
Table 19: Verizon Communications Inc., estimated spending by IT sub-segment ($m), 2009 37
Table 20: Verizon Communications Inc., estimated spending on IT by channel ($m), 2009 39
Table 21: Cisco Systems, Inc., IT budget estimates (%), 2009–10 40
Table 22: Cisco Systems, Inc., estimated IT budget by entity (as % of overall IT budget), 2009 40
Table 23: Cisco Systems, Inc., estimated spending by IT segment ($m), 2009 42
Table 24: Cisco Systems, Inc., estimated spending by IT sub-segment ($m), 2009 44
Table 25: Cisco Systems, Inc., estimated spending on IT by channel ($m), 2009 46
Table 26: Sprint Nextel Corporation, IT budget estimates (%), 2009–10 47
Table 27: Sprint Nextel Corporation, estimated IT budget by entity (as % of overall IT budget), 2009 47
Table 28: Sprint Nextel Corporation, estimated spending by IT segment ($m), 2009 49
Table 29: Sprint Nextel Corporation, estimated spending by IT sub-segment ($m), 2009 51
Table 30: Sprint Nextel Corporation, estimated spending on IT by channel ($m), 2009 53
Table 31: IT Contracts: Sprint Nextel Corporation – Ericsson 54
Table 32: IT Contracts: Sprint Nextel Corporation – Nokia Siemens Networks 56
Table 33: IT Contracts: Sprint Nextel Corporation – Unisys 58
Table 34: IT Contracts: Sprint Nextel Corporation – Hewlett-Packard Co 60
Table 35: IT Contracts: Sprint Nextel Corporation – Convergys Corp 62
Table 36: Comcast Corporation, IT budget estimates (%), 2009–10 64
Table 37: Comcast Corporation, estimated IT budget by entity (as % of overall IT budget), 2009 64
Table 38: Comcast Corporation, estimated spending by IT segment ($m), 2009 66
Table 39: Comcast Corporation, estimated spending by IT sub-segment ($m), 2009 68
Table 40: Comcast Corporation, estimated spending on IT by channel ($m), 2009 70
Table 41: IT Contracts: Comcast Corporation – Convergys Corp 71
Table 42: IT Contracts: Comcast Corporation – Unisys 73
Table 43: Motorola, Inc., IT budget estimates (%), 2009–10 75
Table 44: Motorola, Inc., estimated IT budget by entity (as % of overall IT budget), 2009 75
Table 45: Motorola, Inc., estimated spending by IT segment ($m), 2009 77
Table 46: Motorola, Inc., estimated spending by IT sub-segment ($m), 2009 79
Table 47: Motorola, Inc., estimated spending on IT by channel ($m), 2009 81
Table 48: IT Contracts: Motorola, Inc. – Avotus 82
Table 49: IT Contracts: Motorola, Inc. – Affiliated Computer services Inc 84
Table 50: IT Contracts: Motorola, Inc. – Computer Sciences Corp (CSC) 85
Table 51: T-Mobile USA, Inc., IT budget estimates (%), 2009–10 87
Table 52: T-Mobile USA, Inc., estimated IT budget by entity (as % of overall IT budget), 2009 87
Table 53: T-Mobile USA, Inc., estimated spending by IT segment ($m), 2009 89
Table 54: T-Mobile USA, Inc., estimated spending by IT sub-segment ($m), 2009 91
Table 55: T-Mobile USA, Inc., estimated spending on IT by channel ($m), 2009 93
Table 56: IT Contracts: T-Mobile USA, Inc. – Ericsson 94
Table 57: IT Contracts: T-Mobile USA, Inc. – Convergys Corp 96
Table 58: IT Contracts: T-Mobile USA, Inc. – Ericsson 97
Table 59: Cox Enterprises, Inc., IT budget estimates (%), 2009–10 99
Table 60: Cox Enterprises, Inc., estimated IT budget by entity (as % of overall IT budget), 2009 99
Table 61: Cox Enterprises, Inc., estimated spending by IT segment ($m), 2009 101
Table 62: Cox Enterprises, Inc., estimated spending by IT sub-segment ($m), 2009 103
Table 63: Cox Enterprises, Inc., estimated spending on IT by channel ($m), 2009 105
Table 64: Qwest Communications International Inc., IT budget estimates (%), 2009–10 106
Table 65: Qwest Communications International Inc., estimated IT budget by entity (as % of overall IT budget), 2009 106
Table 66: Qwest Communications International Inc., estimated spending by IT segment ($m), 2009 108
Table 67: Qwest Communications International Inc., estimated spending by IT sub-segment ($m), 2009 110
Table 68: Qwest Communications International Inc., estimated spending on IT by channel ($m), 2009 112