Tough choice

While interest levels are on the up, Wong also notes that evaluating the vendor offerings can be difficult. "The decision on which services to opt for and whether to work with telco or IT services providers is no longer obvious--globally the distinction is very blurred," he said. "Convergence across ICT is happening and that is being reflected in the service providers."

O'Brien also notes the service offerings are converging, "with the points of differentiation between the two camps reducing." This is not a bad thing for enterprises as competition in the managed service space will keep cost performance high, he added.

One argument is that only one consideration applies when trying to decide between a managed service provider with telco roots, and one with IT house roots. According to O'Brien it comes down to what the 'roots' of the service requirements are.

If it is external connectivity with partners and suppliers and regional/global coverage, then the expertise of a regional or global telco will likely offer better value, he suggested. While companies looking for internal integration and platform rationalization may find providers with stronger systems integration expertise will usually provide more comprehensive responses to enterprise needs.