& cplSiteName &

BTE: Service Innovation in the Spotlight

Ray Le Maistre
6/13/2014
50%
50%

Is the communications services sector finally unshackling itself from the legacy cultural and operational practices that have been holding it back during the past decade?

There are signs that this is starting to happen, says Heavy Reading Chief Analyst Graham Finnie, who will take to the podium on the first morning of Light Reading's upcoming Big Telecom Event (BTE) in Chicago to examine the ever closer relationship between business and technology within communications service providers, and highlight the emerging signs of service innovation by telcos.

There certainly are signs that the relationship within telcos between marketing and IT/networks is becoming closer, and, believes Finnie, the shift to virtualization should help that. "But what's really important," he adds, "is whether the telcos can look beyond the pure technological gains they can get from virtualization. It's possible they could get more efficiencies from hardware, but what they really want is a more responsive business, one that can react more quickly to changes in customer requirements and connect the technology to the business.".

That shift towards virtualization is one that Finnie and his Heavy Reading team have been analyzing for years. "Heavy Reading has been at the forefront of this trend. As far as I can tell, Caroline Chappell [Heavy Reading Senior Analyst – Service Provider Cloud, SDN/NFV] noted before anyone else that IT was going to transform telecom network technology, and we are now at the start of that transformation. We recognized years ago the importance of SDN and virtualization. And during BTE we'll be talking about the results of a special survey to give us a picture of where we are today with virtualization in telecoms," says Finnie.

But is there any evidence that communications service providers are changing their ways, becoming more innovative and adopting new cultural and operational models?

"I've been cynical about their ability to do that in the past, but what we're starting to see is that the theoretical ideas about new services are starting to be translated into reality -- there's a lot more service innovation going on, especially by mobile operators, where they are creating new plans based on applications, or shared use of data, or buying service promotions on the fly, or sponsored data," says Finnie.

He says he has been "particularly cynical about sponsored data because it has taken operators forever to start building relationships with third parties but that's starting to happen now. Spotify has done lots of deals with service providers, there are a lot of Facebook-based services, and services based on Netflix or some other video service. In the next year or two we should see if that innovation is translating into improving business," which is something the operators need, because "especially in developed markets, they have experienced flat revenues and declining margins. The question is, can they reverse that? At least they have been coming out with new plans and ideas and for me that's a good sign -- maybe we are turning a corner," says Finnie.

Such moves by the operators are just down to new cultures and business plans. "Of course it's all underpinned by technology, so there is some evidence that the marketing people are driving more of the technology decisions than in the past. That couldn't happen without greater collaboration within the telcos. Vendors are saying they have been spending more time with the service provider marketing people than they used to: Sometimes that is driven by the vendors, being proactive about getting them involved, but that's often coming from the telcos themselves, which are becoming more driven by the marketing side that they used to be," notes the analyst.

Finnie will dig deeper into these trends and challenges during his BTE presentation at 9:05 a.m. on Tuesday, June 17. For full details of the event, see the BTE website.

— Ray Le Maistre, Circle me on Google+ Follow me on TwitterVisit my LinkedIn profile, Editor-in-Chief, Light Reading

(1)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
Ray@LR
100%
0%
Ray@LR,
User Rank: Blogger
6/13/2014 | 6:44:41 AM
Innovation in a bubble
There's no doubt, as Graham notes, that telcos are developing services and offers that they wouldn't have, and couldn't have, a few years ago.

But the big question is -- can they be innovative enough to compete with the OTT players?
From The Founder
Either we perform a complete 'factory reset' on the way the telecom industry creates and deploys virtualization, or we face the consequences.
Flash Poll
Live Streaming Video
Charting the CSP's Future
Six different communications service providers join to debate their visions of the future CSP, following a landmark presentation from AT&T on its massive virtualization efforts and a look back on where the telecom industry has been and where it's going from two industry veterans.
LRTV Huawei Video Resource Center
Mobile Operators & Video

4|25|17   |     |   (0) comments


Ovum's Ed Barton discusses the latest mobile operator strategies for mobile video.
LRTV Custom TV
Infinera Introduces Instant Network

4|20|17   |     |   (1) comment


Mike Capuano, vice president of marketing at Infinera, discusses the advancement from Instant Bandwidth to new Instant Network capabilities, which include Bandwidth License Pools, Moveable Licenses and Automated Capacity Engineering (ACE).
Women in Comms Introduction Videos
Vodafone's Eubank on Sponsors, Mentors & Moving On Up

4|19|17   |   4:25   |   (0) comments


Vodafone America's Head of Operations Kimberly Eubank breaks down the difference between a sponsor and a mentor and shares why both made a big difference in her career.
LRTV Custom TV
NYC Auto Show: Are We Smart Yet?

4|18|17   |     |   (0) comments


The auto industry is facing some big transformations as electric vehicles, autonomous technology and connected cars are seen as the future of the industry. During the much-anticipated NY international auto show, there was an emergence of new technology and mobility service on the show floor. Aside from performance, brands like Lincoln, Hyundai, Honda, Mercedes and ...
LRTV Huawei Video Resource Center
The Impact of Video

4|18|17   |     |   (0) comments


David Mercer from Strategy Analytics discusses the impact of video on current strategies.
LRTV Custom TV
Pardeep Kohli Discusses Network Transformation & the Market Opportunity for the 'New' Mavenir Systems

4|13|17   |     |   (0) comments


In a brief discussion at MWC 2017, Heavy Reading analyst Adi Kishore talks to Pardeep Kohli, CEO, Mavenir Systems about the creation of the 'new Mavenir' and some of the key challenges facing operators in today's market. A key theme of the discussion centers around operator need for software-only, virtualized solutions and how they will need to adapt to ...
Women in Comms Introduction Videos
Tech Maverick Shares Her Tips for Gender Inclusivity

4|12|17   |   7:28   |   (0) comments


Wendy Hall Bohling, a corporate escapee, author and gender exclusivity consultant, tells her story of sexism, bias and progress along the road to gender equality in the workforce.
LRTV Huawei Video Resource Center
Huawei at MWC 2017

4|11|17   |     |   (0) comments


At Mobile World Congress 2017, the biggest mobile industry gathering of the year, Huawei showcased its new innovations and solutions with the theme "Open Road," which focuses on cloud, 5G, operation transformation, videos and consumer-oriented products. Its campaign has been recognized by three awards given by GSMA.
LRTV Custom TV
China Telecom NFV Infrastructure on RSD

4|6|17   |     |   (0) comments


Lynn Comp, senior director of market development of Intel, is joined by Chong Zhang, storage engineer at Inspur and Ou Li Yan, architect for technology strategies of China Telecom, for a discussion of what NFV brings.
LRTV Custom TV
Nokia's IMPACT Software Demo

4|6|17   |     |   (0) comments


Khamis Abulgubein of IoT market development at Nokia demonstrates IMPACT (intelligent management platform for all connected things), a software solution with a horizontal approach to managing any device on any application.
LRTV Custom TV
Nokia Introduces Virtual Service Router for More Rapid Service

4|6|17   |     |   (0) comments


James Cumming, product line manager for virtualized service routers at Nokia, demonstrates how the virtual router based off the Nokia ecosystem changes the network function experience.
LRTV Custom TV
The Keys to SD-WAN Success

4|6|17   |     |   (0) comments


Versa Networks CEO Kelly Ahuja talks about the key requirements for service provider-managed SD-WANs.
Upcoming Live Events
May 15-17, 2017, Austin Convention Center, Austin, TX
May 15, 2017, Brazos Hall - Austin, TX
May 15, 2017, Austin Convention Center - Austin, TX
June 6, 2017, The Joule Hotel, Dallas, TX
All Upcoming Live Events
Infographics
With the mobile ecosystem becoming increasingly vulnerable to security threats, AdaptiveMobile has laid out some of the key considerations for the wireless community.
Hot Topics
Time for a Telecom Reboot
Steve Saunders, CEO and founder, Light Reading, 4/19/2017
Surprise! AT&T Markets 4G Advances as '5G Evolution'
Dan Jones, Mobile Editor, 4/25/2017
Did Verizon Outbid AT&T for Straight Path?
Dan Jones, Mobile Editor, 4/25/2017
First Year TIPs the Scale Toward Success
Denise Culver, 4/24/2017
Unlicensed: It's What's Next for US Mobile Operators
Dan Jones, Mobile Editor, 4/19/2017
Like Us on Facebook
Twitter Feed
BETWEEN THE CEOs - Executive Interviews
One of the nice bits of my job (other than the teeny tiny salary, obviously) is that I get to pick and choose who I interview for this slot on the Light Reading home ...
TEOCO Founder and CEO Atul Jain talks to Light Reading Founder and CEO Steve Saunders about the challenges around cost control and service monetization in the mobile and IoT sectors.
Live Digital Audio

Playing it safe can only get you so far. Sometimes the biggest bets have the biggest payouts, and that is true in your career as well. For this radio show, Caroline Chan, general manager of the 5G Infrastructure Division of the Network Platform Group at Intel, will share her own personal story of how she successfully took big bets to build a successful career, as well as offer advice on how you can do the same. We’ll cover everything from how to overcome fear and manage risk, how to be prepared for where technology is going in the future and how to structure your career in a way to ensure you keep progressing. Chan, a seasoned telecom veteran and effective risk taker herself, will also leave plenty of time to answer all your questions live on the air.