Telecom 2020: Growth Drivers and Trends

Telecom 2020: Growth Drivers and Trends

Telecom 2020: Growth Drivers and Trends

 

10th of February 2020

One thing is certain in 2020: if telcos want to embrace new technologies that promise to revolutionize the industry, they will need to invest in infrastructure that enables them to support and monetize these technologies. According to a recent global EY report, telcos will pump more into overhauling their conventional IT infrastructure, making digital transformation a major driver this year.

This new infrastructure paves the way for a host of advanced customer-focused technologies: 5G, Internet of Things (IoT), Artificial Intelligence (AI), to name a few. Which ones are right for you and how can you maximize your chances of success? There’s no one answer: the key is finding the right mix of offering relevant to your market and context.

 

mobile money profitability

An analysis from Telecoms CAPEX: Worldwide Trends and Forecasts 2017-2025 shows that digitalization and 5G will be the key drivers affecting CAPEX growth.

Technologies transforming telecom

Here’s a roundup of the year’s biggest trends and what they could mean for you:

5G
Higher speeds and lower latency mean that 5G supports use cases like immersive content (augmented reality, virtual reality) and high-resolution video, helping CSPs deliver an unmatched customer experience to gain a competitive edge. As 5G progresses towards large-scale commercial viability, service providers have begun trials of new use cases, and the results are encouraging them to readily adopt the next-gen technology. As more devices and use cases become viable, the revenue potential continues to grow along with the need for flexible IT systems to support them.

Cloud Computing
Cloud computing in the telecom sector relies heavily on the adoption of data and logic separation principles, SDN/NFV, DevOps, microservices, and more. It gives telcos the flexibility to acquire the corresponding services – Infrastructure as a Service (IaaS), Platform as a Service (PaaS), and Software as a Service (SaaS), which extensively increases scalability, standardization, self-service automation, and reduces operational costs. Telecom players should adapt their IT processes and prepare for related security implications such as identity theft, unauthorized access, relinquished governance and compliance policies, data security and breach of privacy, as well as inconsistency across on-premise and cloud platforms. A recent Telecoms.com report predicts that 5G will mean wide-scale adoption of edge computing. The market is quickly evolving from a centralized to a distributed cloud, and it is expected that this year, 75% of enterprise-generated data will be processed outside of centralized data centers.

Artificial Intelligence
From virtual assistants and chatbots to knowledge engineering, smart machines, and autonomous vehicles, AI has the potential to replicate human cognitive capabilities. It will help telecom service providers offer a transformational customer experience while they manage, optimize, and monetize their infrastructure using different business models. Use cases include network optimization, predictive maintenance, virtual assistants, RPA, and many more.

Blockchain
Blockchain is a gamechanger for securely conducting business with third-parties while reducing costs and increasing revenue. CSPs can leverage blockchain to offer new services using tamperproof transaction management and automated contracting. Applications include 5G enablement, mobile financial services, data management, fraud management, identity management, instantaneous connectivity and transaction, IoT connectivity, number portability, roaming, and more.

Internet of Things
IoT will, in conjunction with 4G and 5G, change how people communicate and interact with technologies opening up new revenue streams for service providers. It is an essential part of capturing and transmitting data to power smart city use cases like smart lighting, smart grids, heating, and lighting. Telcos are applying IoT to home automation and wearable devices to enhance their overall customer experiences. In the coming years, IoT smart sensors will be implemented in gaming environments, healthcare, personal fitness goals, sports, and more.

Cyber Resilience
The telecom industry has always been the most vulnerable target for cyberattacks given the vast amounts of sensitive data stored on various complex networks. A few years ago, for instance, one of the more significant attacks compromised the personal details of 157,000 TalkTalk customers. 5G brings its own set of security threats, and telcos need to prepare for any kind of direct or indirect cyber attack. This means building adequate IT infrastructure and pairing it with talent and processes to support resiliency. Effective cybersecurity must include the implementation of threat detection, incident response methods, and prevention methods.

How to seize these opportunities

Start your digital transformation journey now

A recent report predicts that the OSS/BSS market is expected to grow from USD 2.77 billion in 2019 to USD 8.78 billion by 2026, indicating a significant potential for telcos to support diverse digital services than limited traditional services. To ensure successful digital transformation, CSPs need to upgrade to digital BSS, which can be implemented in phases to pace out investment. This helps operators seize data opportunities as the market evolves and ensures quick time-to-market, monetization, and smooth management of the latest communications services. A next-gen digital BSS stack also facilitates high-value 5G use cases, including IoT (management and offers), and experience-based charging.

Invest in 5G infrastructure
As 5G permeates, mobile operators will need to invest significantly in 5G infrastructure to deliver high data speed, low latency, and to support billions of connected devices. Besides the billions being spent on 5G RAN, the 5G Core is an important investment. 5G Core with cloud-native features expands the service capabilities of telcos; provides scalability and agility; supports 5G network protocols including extensive use of REST APIs and eases migration to service-based architecture.

Ensure strict regulatory policies
According to Statista.com, the number of devices connected to the IoT is expected to reach 75.44 billion worldwide by 2025. IoT-enabled networks are more vulnerable to major cyber invasions and crimes. Insufficiently protected devices such as laptops, tablets, routers, webcams, smartwatches, automobiles, and home security systems can be turned into weapons by hackers, cybercriminals, or hostile organizations and states, so it’s essential to implement adequate cybersecurity measures.

Overcome network coverage issues
Having reliable 5G network coverage will require a massive investment of time and finances. Operators can resolve network coverage issues by taking these measures:

Infrastructure sharing alleviates network coverage issues and helps operators deliver better connectivity and network performance by pooling resources to maximize coverage buildout.

The open radio access network (O-RAN) movement is separating the software and physical layers of RAN, eliminating vendor lock-in and allowing budgets to go much further in procuring equipment.

Network monitoring tools remain a powerful mechanism to resolve network issues. These tools provide real-time alerts to the concerned teams when there is downtime, device unavailability, performance issues, or any deviation from an accepted network baseline. Further, network configuration management tools help track any changes in settings and send alerts in case of unauthorized changes while providing a mechanism to roll back to earlier settings.

Also, Voice over WiFi (VoWiFi)/WiFi Calling helps overcome the challenges faced by subscribers due to poor or no network coverage. VoWiFi helps customers make calls and remain always-connected, increasing the quality of services and customer experience.

Automate inventory management
One of the major challenges operators face with 5G is managing billions of IoT devices. Further, with evolving technologies, the CSPs having diverse partnerships require constant efforts to manage and allocate resources and inventory. Inefficient management could lead to complicated and faulty invoices, increased risk of fraud, data breaches, insecure network endpoints, and revenue losses. To avoid these complications, CSPs should have a universal system with legacy and new automated inventory tools, which also maintain an inventory of virtual networking components and logical networks like network slices. Subsequently, deploying a next-gen inventory management system provides real-time inventory information with factual and predictive data, helping make quick allocation decisions that ensure the conservation of investment and help gain an edge over competitors.

Manage partnerships efficiently
CSPs need real-time billing and policy control capabilities to seize and monetize opportunities that all-IP 5G means new devices, use cases, partnerships, business models. This calls for diverse partnerships inherent in wholesale and 5G networks. With growing complexities of managing diverse partners, it multiplies the challenges to efficiently manage several partners like wholesale, interconnect and roaming partners, OTT/content players, distributors, MVNO, affiliates, and agents. Deploying end-to-end partner management and settlement solution (PMSS) helps operators smoothly and flawlessly manage the complete partner lifecycle and support distinct agreement policies, revenue models, and settlement modes. PMSS plays a vital role in the 5G business and has the highest potential to launch innovative 5G billing use cases like network slicing, device-based experiences, converged offerings, and more.

Digitize customer experience
A Walker study suggests that by 2020, customer experience (CX) will overtake price and product as the key brand differentiator. Enhancing and digitizing the customer experience should top the list for every forward-thinking telco. 5G and IoT will likely emerge as the new battleground, with operators keen to employ new digital business models. And as expectations cross industry boundaries, telcos must remain focused on redefining the CX with more innovation, such as deploying AI-based tools and omnichannel support.

Be prepared for what’s next

5G is expected to significantly change the face of telecommunications. The three main use cases of 5G – Enhanced Mobile Broadband (eMBB), Massive Machine-type Communications (mMTC), and Ultra-Reliable and Low-Latency Communications (URLLC) – promise to deliver superfast wireless connectivity, lower latency, and digital innovations. And while it is expected to revolutionize the customer experience, 5G will stimulate the demand for next-gen devices, adding to severe network densification. With this forecast, CSPs have huge revenue potential from their retail and enterprise clients by digitalizing the customer experience. Additionally, they can offer B2B and B2C clients an enhanced spectrum of services such as augmented reality (AR), virtual reality (VR), mixed reality (MR), and a host of other leading-edge next-gen services. Operators can unveil the monetization opportunities that 5G promises and achieve a high-level of orchestration and automation with a robust 5G Core solution along with a modern digital BSS stack.

Rani Shanmugam

Rani Shanmugam

Marketing Content Writer

Long story short, Rani writes about the workings of telecom networks. Short story long, she has a rich and diverse background as a developer, business analyst, and technical writer for broad-spectrum solutions across various industries, and is now focused on telecommunications marketing. She unwinds by painting with her toddler son and loves to whip up elaborate meals fit for a feast.

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Alepo VP to address telcos on mobile money, WiFi offload at PITA conference in Guam

Alepo VP to address telcos on mobile money, WiFi offload at PITA conference in Guam

  • The trade show, in its 22nd year, is the largest telecommunications event in the Pacific
  • The objective of the event is to highlight new and different ways of securing digital lifestyles in the Pacific Islands
  • The Pacific Islands are a centrifuge of innovation given the unique challenges faced by communities
  • Alepo’s Vice President of Sales Amelia Power is scheduled to make two presentations on April 24, where she will discuss opportunities for WiFi offload, and the challenges and opportunities for financial inclusion using mobile money in the Pacific

AUSTIN, Texas, Friday, April  20, 2018: Core network and IT software solutions provider, Alepo will be presenting at PITA 2018 Guam, the annual general meeting and trade show organized by the Pacific Islands Telecommunications Association, taking place April 23-27.  The objective of the event is to highlight new and different ways of securing digital lifestyles in the Pacific Islands

Now in its 22nd year, the telecommunications event sees participation from 115 organizations across 35 countries. It is the largest event of its kind in the Pacific. The region presents unique challenges for creating digital communities. Populations are geographically dispersed, and there is a sharp digital divide between, as well as within nations. However, these challenges imply that there is vast potential to increase access.

“Alepo sees the Pacific as strategic in a number of ways. We have always felt that the Pacific provides one of the more innovative markets in the world. As an OSS/BSS software company, we have had a long and successful role in enabling LTE in the Pacific,” said Amelia Power, Vice President of Sales, Alepo, who will represent the company at the conference.

Through two talks, both scheduled for April 24, Power will address the adoption challenges and opportunities of mobile money in the Pacific and how WiFi monetization can complement a WiFi offload strategy.

While limited access to traditional banking services, as well as a largely cash-based economy, implies a potential for mobile money, customers are yet to embrace the options available to them. “In our financial inclusion presentation, we will tackle some of the key challenges for mobile money in the Pacific and look at how blockchain is essential for addressing those challenges as it enables new kinds of partnerships that provide compelling use cases, which, in turn, drive the adoption of mobile money,” said Power.

 “In WiFi offload, we want to look at the crucial role of WiFi in expanding connectivity with low capital expenditure and how monetization plays a role in growing your network organically, as well as in creating new classes of business products,” she added.

About PITA

The Pacific Islands Telecommunications Association (PITA) is a non-profit organization that represents the interests of Pacific Islands in the field of telecommunications. Its objective is to improve, promote, enhance, facilitate, and provide telecommunications services within member and associate countries.

For more information, visit www.pita.org.fj

About Alepo

Orange Niger Upgrades its Convergent Billing and Customer Care Platform to Alepo Service Enabler 8.2

Orange Niger Upgrades its Convergent Billing and Customer Care Platform to Alepo Service Enabler 8.2

Longstanding Alepo client Orange Niger has upgraded its existing convergent billing and customer care platform to Alepo Service Enabler (SE) 8.2, thereby enabling broader customer care capabilities to its fixed broadband network.

Wednesday, November 18, 2015, Austin, TX, USA; Cape Town, South Africa – From the show floor of AfricaCom 2015 – the largest technology event in Africa – Alepo announced today that its longtime customer Orange Niger, a leading communications service provider in Niger, has called on Alepo’s expertise for a major core network upgrade to Alepo Service Enabler (SE) 8.2, including Alepo’s AAA Infrastructure.

Orange Niger turned to Alepo to update its BSS/OSS environment and introduce a dedicated, carrier-grade AAA platform, citing its goal of offering the latest fixed broadband offers and promotions to its growing customer base over a fast, reliable, and secure WiMAX network. With the deployment of Alepo SE 8.2, Orange Niger is assured of a revenue-centric solution that offers carrier-class performance and endless scalability as the demand for data services continues to surge upward.

Alepo has provided next-generation data solutions for Orange Group affiliates in 16 markets across the EMEA region for over a decade. Underscoring the technology provider’s commitment to the African ICT sector, Alepo is participating at AfricaCom 2015 in Cape Town, South Africa. Alepo is located at booth B1 at India pavillion.

Please complete the form below to schedule a meeting with Alepo at AfricaCom 2015.

https://www.alepo.com/news-events/upcoming-events/

About Orange

Orange Niger is a subsidiary of France Telecom Orange Group. Orange Group is one of the world’s leading telecommunications company having presence in 29 countries. Orange had a total customer base of 248 million customers at June 30, 2015, including 190 million mobile customers and 16 million fixed broadband customers worldwide.

http://www.orange.com

About Alepo