Informa: Transformation is vital for the survival of telecom networks

Informa Telecoms & Media has published new research today, reporting that telecom network transformation is necessary for operators to remain profitable and provide value for their subscribers.

The telecoms market is experiencing an evolution like no other: Voice revenues are eroding; Web-based and Over-the-Top (OTT) services are cannibalizing the operators’ own services; while total profits in the value chain are dropping. Operators need new ways to counter this erosion and new paradigms to follow in order to remain relevant in the fast-paced, user-driven telecoms market.

Given that they are competing against new entrants in a new economy, Informa reports, telecoms operators are now starting to adopt technologies, concepts and processes from adjacent, successful markets, including the IT and Web domains. However, in order for these concepts to be truly disruptive and drivers of growth, operators are now finding out that they will need to transform their operations and businesses first.

“Mobile and fixed operators are under a considerable threat from parties both inside and outside the traditional telecoms value chain. Given the threatening economic environment, operators are scrambling to find ways to optimize and transform their business,” says Dimitris Mavrakis, Principal Analyst at Informa Telecoms & Media and author of the research. “Operators that can transform into agile companies that operate lean – and preferably more open – networks will be the winners of tomorrow.”

For more information about the Paving the Way for Full Network Virtualisation white paper go here.


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