Around the World

Posted: July 18th, 2013 | Author: | Filed under: Around the World | Tags: , , , , , | Comments Off on Around the World

Around the WorldBilling & OSS World
Operators Exaggerate the OTT Threat

Ovum recently released a report further highlighting the need for telcos to innovate in order to negate the threat of Over-the-Top (OTT) providers. After evaluating more than 3,500 new service launches since 2009, the global analyst firm concluded it’s fine to compete with OTT providers, but that the real trick may be to collaborate more. The analysts examined the approaches taken by companies such as Google and Apple to establish themselves in the app ecosystem, and noted the lackluster success of CSPs should really come as no surprise. Simply put: telcos were too selective when choosing partners and overburdened their prospective allies with unrealistic revenue expectations.

The report goes on to recommend using partnerships to scout for new ideas, indicating the importance of prioritising innovations that exploit the centrality of operators’ networks. Similar to the approach recently suggested by our own Steve Hateley, Ovum suggests telcos use the notion of “net innovation benefit” – comprised of “net new revenues,” “net cost savings” and “net non-monetary benefits” – to measure the success of their innovation activities.

CommsMEA
Telcos Ignore Big Data at Their Peril

Big data should not be ignored, and telco operators that choose to give it the cold shoulder are doing so at their own risk, is additional advice Ovum is touting. The research firm asserts operators can benefit from big data analytics in numerous ways, including predicting and reducing churn, promoting loyalty, upselling and cross-selling offers, and personalising services.

However, telcos are running into some red tape due to a lack of necessary data management and analytical skills in-house. Ovum cites the high demand and low supply of data scientists as the main reason for the lingering big data inefficiencies, noting this makes the analytics area ripe for vendor support.

In fact, telcos are generally turning to one of four sources for their big data analytics needs:

  1. Their existing BSS/OSS providers
  2. Trusted IT vendors
  3. Telco analytics specialists
  4. Incumbent network equipment providers

Ovum suggests telcos take a page from the playbook of OTT providers, and become more data-centric, leaner and more agile. Once this issue has been resolved, the firm says, telcos will be able to effectively monetise the increased volume, variety, velocity and value of the network, subscriber and other data that they collect.

Comptel’s Matti Aksela recently asked if big data is actually relevant for telcos’ business strategies, and according to Ovum, the answer is yes.

Telecoms.com
LTE: Strong Starter

LTE is for everyone, or at least it will be eventually. According to third quarter 2013 data from Informa’s WCIS Plus, the global LTE subscriptions are at 88.48 million, comprising 1.35 percent of the overall cellular market. By year’s end, it is predicted to be the fifth largest network technology behind GSM, WCDMA, CDMA and TD-SCDMA.

Informa believes that the debates surrounding LTE are more about routes than destinations, however, and stress that operators’ choice of paths will go a long way to determining their success. This also holds true for how LTE is launched into the market in the first place, and the traditional mass marketing approach may not be the best option. Learn more about why not here.