Monetizing Digital –a telecom viewEhtisham Rao

www.aeracture.com

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Business as usual@ telecom

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Infrastructure and Technology Development

Supply Chain Management

Product Lifecycle Management

Network Ops BSS/OSS Marketing/

Sales

Customer

Service

Customer Relationship Management

Cu

sto

me

rs

Su

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liers

OTT (Amazon, Google, Apple, Foursquare, Ebay, Groupon, Microsoft)

Telco upheaval!

• The demand for growth outlets to offset the inexorable decline of now mature sections of their business (voice calling in particular);

• The requirement to invest in fixed (fiber) and mobile (4G LTE) new generation access (NGA) systems to handle the explosion in traffic; and

• The need to find their place in increasingly open value chainsand an ecosystem populated by fast-rising new and ultra dynamic players, including OTT providers, device suppliers, etc.

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Strategic Options?

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The obvious evolution

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What’s happening NOW?

• Half life of computing and storage costs: 18 months?

• Nano devices getting smaller but smarter

• BIG Data. Real time analytics. NLP anyone?

• Location based or contextual?

• Alternative payments as product experience

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Internet of things

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M2M going viable

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Legacy Services

End To End Services

AR

PU

Time2013 2020

$ 8

$ 1

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Predicting the future!

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Subscription economy rising!

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Predictions for the near years?

• Self organizing new distribution networks

• Micro Global Conglomerates from Asia

• Sacrifice online security for service as a service

• Personal Analytics and Benchmarking

• Wearable tech moves out of accessories and gets real

*courtesy Tac Anderson 13

5 years on, the Telco will be a…

• The Netco (network company) that has network management as the centerpiece of its strategy, aimed largely at a wholesale clientele through agreements with OTT providers and the top device suppliers;

• The Servco (service company) model that does away with the network to focus instead on marketing and selling service packages, going more or less head to head with OTT vendors.

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Basically we face a …

• A sharp drop in operators’ income and their shrinking margins will result in a period of both direct mergers and large-scale infrastructure-sharing deals, first at the national level and subsequently to revived cross-border strategies;

• A decrease in group’s share prices is opening the doors to foreign investment which will inevitably reshape the sector;

• A momentum of superfast mobile and microcells is spurring the convergence of fixed-mobile infrastructures (backhauling/backboning) and the rise of quadruple play bundles;

• developments in networking technologies, and particularly those that fall under the heading of SDN (Software Defined Network) and cloud architectures integration. It still too early to tell how they will affect telcos’ relationship with suppliers and OTT companies.

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Monetizing non telco services

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Charging Provisioning

Sales Support

• What is the service?• What are the touch

points?• Which platforms are

involved?• How to activate the

service?• How to retire the service?

• Support and service level agreement throughout customer lifecycle

• Process definition s

• Service Rating• Service Charging• Billing the customers• Billing the users

• Sales force structure• Sales Process• Sales Training• Enterprise Sales process

methodology