Light Reading
The changes ahead will rip apart the current telecom operator culture and carriers need to be prepared.

Telcos Face 'Dramatic Disruption' – TMF Exec

Carol Wilson
6/2/2014
50%
50%

NICE, France -- TM Forum Live! -- Service providers are facing "dramatic disruptions" to their business that will require sweeping cultural and organizational change and likely threaten most of current industry practices and processes, TM Forum VP-Strategy Ken Dilbeck warns here today.

"What is required is a radical, disruptive approach to [operations and business support systems] and orchestration," Dilbeck says, kicking off an NFV Workshop prior to the opening of the TM Forum 's annual event.

The primary goal is to be able to develop new services and capabilities rapidly, but that will require "relooking at all of our infrastructure top to bottom and determining what has to change, what has to be more flexible and more dynamic," Dilbeck says.

But network operators must also be willing to undergo sweeping internal changes that fundamentally change their culture and organizational structure, even though that process will be painful and difficult.

Converging network and IT resources into a single set of on-demand capabilities will "produce power and political struggles within corporate infrastructure because boundaries will have to be broken down," Dilbeck warns. He cites one immediate example: Lengthy, costly procurement processes that take years and cost millions will be replaced by a phone call to Best Buy, using a credit card, or outsourcing of the entire process to a specialty vendor.

Network operators also must learn to succeed as part of a solution or ecosystem and not necessarily be the partner in charge, he adds.

"There will be an evolution into a value fabric, and you might not be the center of the chain-delivering service, from the SLA perspective," Dilbeck says. "In the future, you will be in a different role. In some cases, you will have the customer relationship but in others, you won't. "

Dilbeck says the TM Forum is stepping up through its Project Zoom to enable all of this change and to exploit the collective intelligence of not only the telecom industry but other industries such as IT and the Internet players. (See TM Forum Tries ZOOMing to NFV.)

Promising to "be radical," Dilbeck says Project Zoom will set a target for all of this transformation and define the migration path from where carriers are today to the target point. Along the way, he says, Project Zoom will not reinvent the wheel, but will re-use best practices from the computing industry and elsewhere and take a real-world practical approach to enabling transformation that must happen for service providers to succeed.

— Carol Wilson, Editor-at-Large, Light Reading

(6)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View
briansoloducha
50%
50%
briansoloducha,
User Rank: Light Beer
6/2/2014 | 3:18:33 PM
Re: Disruption Common Now
Would you care to elaborate on the sources of these disruptions?

Given the disruptions that people have seen both with telecom bubble of 2000 and housing bubble of 2008, coupled with the relentless growth of Internet traffic and erosion of revenue per bit, I'd like to like that people can adapt to many situations.

The disruptions I'm hearing about this spring are related to beef and pork prices, which, at the margin may affect discretionary spending of lower-income customers, but hardly represent a clear-and-present danger to the entire telecom industry.

So far, SDN and NFV seem to be a forest-clearing exercise, and I am following developments in this field, I haven't seen anything there to convince me that it's a dramatic disruption.

Is there something out there that's obvious that I have missed?
sam masud
50%
50%
sam masud,
User Rank: Light Sabre
6/2/2014 | 2:59:02 PM
Re: Disruption Common Now
Carol,

Undoubtedly, service providers are in for a major disruption, perhaps bigger than anything we've seen to date. Moving from circuit to packet networking was hugely challenging and disruptive. No need for TMF to ring the alarm bells--except, perhaps, to inject a little excitement into the show. But I'd think Nice is exciting enough :-)

 
Carol Wilson
50%
50%
Carol Wilson,
User Rank: Blogger
6/2/2014 | 11:20:15 AM
Re: Disruption Common Now
Phil, you make a good point but this is a matter of degree. What I am hearing over and over again here in Nice is that there is a period of pain lying ahead. I just heard it again from Fred Feisullin of Sprint - there is a level of disruption ahead that is going to rock the telecom culture harder than previous transitions, even the Internet and the telecom bubble bursting. 
mendyk
50%
50%
mendyk,
User Rank: Light Sabre
6/2/2014 | 11:16:46 AM
Re: Disruption Common Now
It's the annual TMF "sky is falling" presentation. At some point, the sky will fall. Or not. Meanwhile, network operators continue to adapt to a rapidly changing environment -- some better than others, but there are very few who aren't making the effort.
Phil_Britt
50%
50%
Phil_Britt,
User Rank: Light Sabre
6/2/2014 | 11:06:37 AM
Disruption Common Now
The idea of business disruption in telecom should be nothing new. Since the mid-1990s when the Internet first started getting more common business and consumer use, the challenges and opportunities in telcom have been shifting, with disruption being more commonplace every year. 

Being nimble enough to take advantage of new opportunities and to ward off new threats is the distinction between successful teleocm companies and unsuccessful ones.
rgrutza600
100%
0%
rgrutza600,
User Rank: Lightning
6/2/2014 | 5:49:46 AM
Webmaster
To Lightreading webmaster, Please fix the GRAYISH color of the text in the articles.  It makes them very difficult and unappealing to read.
Flash Poll
Wagner’s Ring
Data Centers Drive Telcos Into the Future

8|28|14   |   2:20   |   (2) comments


Data centers are at the heart of key trends driving telecom -- network virtualization, the drive for increased agility, and the need to compete with OTT providers.
LRTV Custom TV
Why SPs Should Consider Cisco's EPN

8|27|14   |   5:40   |   (0) comments


Sultan Dawood from Cisco discusses Cisco's EPN, which enables SPs to build agile and programmable networks delivering new network virtualized services using Cisco's Evolved Services Platform (ESP).
LRTV Huawei Video Resource Center
Huawei’s Showcase @ Big Telecom Event 2014

8|26|14   |   2.56   |   (0) comments


SoftCOM is Huawei's framework for telecom business and network transformation. Haofei Liu, Solution Marketing Manager, Carrier Business Group, Huawei, showcases Huawei's SoftCOM architecture in this video.
LRTV Huawei Video Resource Center
Huawei @ BTE 2014: Director of Integrated Solutions on SoftCOM & NFV Monetization

8|26|14   |   4.43   |   (0) comments


Libin Dai, Director of Integrated Solutions, Carrier Business Group, discusses Huawei's SoftCOM and NFV monetization. Huawei believes that NFV monetization should be service-driven rather than network-driven, and that operators should have network transformation, service transformation and a compatible and collaborative ecosystem in place in order to deploy NFV.
LRTV Huawei Video Resource Center
Huawei @ BTE 2014: Director of US NFV Lab on CloudEdge & the Future of NFV

8|26|14   |   4.06   |   (0) comments


Sean Chen, Director of US NFV Lab at Huawei, discusses Huawei's new approach to NFV in open collaboration. Huawei believes that through Proof of Concept tests, it could help operators learn and communicate with the industry more effectively. Sean believes that successful implementation of NFV should have its values reaching to end users and discusses how Huawei's ...
LRTV Huawei Video Resource Center
Huawei's Highlights @ Big Telecom Event 2014

8|26|14   |   3.34   |   (0) comments


At the Big Telecom Event in Chicago Huawei showcases its high-level strategy, the SoftCOM architecture, which helps operators reduce the cost of ownership of their network infrastructure and generate additional revenue in the ICT service environment. Huawei showcases over 30 pilot programs from across the globe, focusing on the industry-leading commercial ...
LRTV Custom TV
VeEX – Live from the Show

8|21|14   |   5:58   |   (0) comments


An overview of VeEX Test and Measurement solutions including TX300S multi-service test set with VeExpress cloud-based management system, UX400 universal modular platform supporting 100G testing, and the redesigned RXT modular platform.
LRTV Custom TV
Transitioning CE 2.0 Networks Into the SDN & NFV Era With Telco Systems

8|19|14   |   5:19   |   (0) comments


Telco Systems' Ariel Efrati (CEO) and Moshe Shimon (VP of Product Management) discuss virtualization and how the company's new Open Metro Edge solution utilizes the SDN and NFV concepts to accelerate and orchestrate service delivery through its innovative product portfolio and software applications.
LRTV Custom TV
NFV Myths: Is NFV Still Several Years Away?

8|11|14   |   1:13   |   (0) comments


Some say that NFV (network functions virtualization) is still several years away from being implemented on mobile operator networks. This isn't the case. Operators can get started on their paths to NFV now, as this short video from Skyfire shows.
LRTV Custom TV
A New Security Paradigm in SDN/NFV

7|28|14   |   02:54   |   (0) comments


Paul Shaneck, Global Director Network Solutions for Symantec, discusses the evolving virtualized network, explaining how Symantec is leading the security discussion as it relates to SDN and NFV, and helping to ensure the network is protected and compliant.
LRTV Documentaries
Sprint's Network Evolution

7|24|14   |   14:59   |   (0) comments


Sprint's Jay Bluhm gives a keynote speech at the Big Telecom Event (BTE) about Sprint's network and services evolution strategy, including Spark.
LRTV Documentaries
BTE Keynote: The Software-Defined Operator

7|24|14   |   18:43   |   (1) comment


Deutsche Telekom's Axel Clauberg explains the concept of the software-defined operator to the Big Telecom Event (BTE) crowd.
Upcoming Live Events!!
September 16, 2014, Santa Clara, CA
September 16, 2014, Santa Clara, CA
September 23, 2014, Denver, CO
October 29, 2014, New York City
November 6, 2014, Santa Clara
November 11, 2014, Atlanta, GA
December 9-10, 2014, Reykjavik, Iceland
June 9-10, 2015, Chicago, IL
Infographics
A survey conducted by Vasona Networks suggests that 72% of mobile users expect good performance all the time, and they'll blame the network operator when it's not up to par.
Today's Cartoon
Hot Topics
Rogers, Shaw Take Aim at Netflix
Mari Silbey, Independent Technology Editor, 8/26/2014
Utilities to Pump $11.2B Into Smart Grid – Study
Jason Meyers, Senior Editor, Utility Communications/IoT, 8/26/2014
Verizon Launches QR Code Security Solution
Carol Wilson, Editor-at-large, 8/26/2014
Nokia's Maps Land on Samsung Devices
Sarah Reedy, Senior Editor, 8/29/2014
Verizon to Launch HD VoLTE in 'Coming Weeks'
Sarah Reedy, Senior Editor, 8/26/2014
Like Us on Facebook
Twitter Feed