& cplSiteName &

CSPs See Slow Going for IoT – Report

Denise Culver
Heavy Lifting Analyst Notes
Denise Culver, Online Research Director
10/3/2017
50%
50%

Any time a technology or service starts making headlines with words like "hot" or "explode," it isn't long before you start seeing forecasts and magic quadrants and vendor projections with revenue forecasts and fun abbreviations like compound annual growth rate (CAGR), invariably followed by hefty percentages expected in a five-year bracket.

The question, though, is whether telecom service providers will ever achieve the forecasts or predictions in those reports. Better still, are they even trying to?

To answer those questions, Heavy Reading created the Thought Leadership Council (TLC), a new initiative to provide a direct view into the plans and strategies of the world's leading telecom service providers, which are in the process of transforming their networks and services to compete in the global digital economy.

A key facet of the Thought Leadership Council (TLC) is that participation is completely confidential, so members can share their ideas and experiences freely. It is made up of service provider experts focused on key areas of telecom development, such as the Internet of Things (IoT), network and service automation, 5G and emerging technologies, such as artificial intelligence (AI), autonomous vehicles and virtual/augmented reality systems. TLC participants are drawn from service providers around the world and include a mix of wireline, mobile, cloud, fiber, data and broadband network operators.

Findings from TLC focus groups will be presented in a new series of reports to be published on a monthly basis.

For its first report, TLC focused on IoT and where service providers are in terms of deployment and revenue expectations. Results from the report, "IoT Focus Group: Revenue Growth Will Be Hard Work," show that service providers in the focus group don't expect to see significant revenue from IoT for at least three years, and it could take up to ten years.

Service providers in the focus group are actively involved in planning and building new networks and services, so they have a deep understanding of what's happening with telco transformation. But at this time, they don't have definitive plans for generating revenue from IoT. These findings and others in the report indicate that IoT revenue will probably take longer at the service-provider level than current popular forecasts suggest.

Each TLC panel will include only service provider experts who have direct involvement in the subject area for each focus group. Upcoming TLC focus group reports will cover SD-WAN, 5G, Automation, B/OSS Transformation and Emerging Technologies.

Denise Culver, Director of Online Research, Heavy Reading

(1)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
James_B_Crawshaw
50%
50%
James_B_Crawshaw,
User Rank: Blogger
10/4/2017 | 5:03:57 PM
Don't forget the BSS
It's not just about building out NB-IoT and LTE-M. Operators also need to invest in the right monetization systems to make IoT a successful platform opportunity for them and not just a low ARPU, low margin connectivity play. 

We explore this topic in the Heavy Reading report: "IoT Monetization: Beyond Billing" now available in all good bookshops. 

http://www.heavyreading.com/details.asp?sku_id=3511&skuitem_itemid=1736
More Blogs from Heavy Lifting Analyst Notes
Cable is well on the path to meeting 5G backhaul and small cell requirements; however, cable may face competition from mobile network operators (MNOs) and find challenges in technology and regulation limitations.
Taking the pulse of NFV and SDN deployments.
Although many service providers have already deployed software-defined wide area network (SD-WAN) technology and believe it is an integral part of their business, a clear path to vendor success and long-term revenue isn't yet visible.
Whatever strategy CSPs adopt in the emerging IoT landscape, a critical enabler of their IoT business will be the monetization engine.
Featured Video
From The Founder
Light Reading is spending much of this year digging into the details of how automation technology will impact the comms market, but let's take a moment to also look at how automation is set to overturn the current world order by the middle of the century.
Flash Poll
Upcoming Live Events
November 1, 2017, The Royal Garden Hotel
November 1, 2017, The Montcalm Marble Arch
November 2, 2017, 8 Northumberland Avenue, London, UK
November 2, 2017, 8 Northumberland Avenue London
November 10, 2017, The Westin Times Square, New York, NY
November 16, 2017, ExCel Centre, London
November 30, 2017, The Westin Times Square
May 14-17, 2018, Austin Convention Center
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
Muni Policies Stymie Edge Computing
Carol Wilson, Editor-at-large, 10/17/2017
'Brutal' Automation & the Looming Workforce Cull
Iain Morris, News Editor, 10/18/2017
Is US Lurching Back to Monopoly Status?
Carol Wilson, Editor-at-large, 10/16/2017
Pai's FCC Raises Alarms at Competitive Carriers
Carol Wilson, Editor-at-large, 10/16/2017
Worried About Bandwidth for 4K? Here Comes 8K!
Aditya Kishore, Practice Leader, Video Transformation, Telco Transformation, 10/17/2017
Animals with Phones
Selfie Game Strong Click Here
Latest Comment
Live Digital Audio

Understanding the full experience of women in technology requires starting at the collegiate level (or sooner) and studying the technologies women are involved with, company cultures they're part of and personal experiences of individuals.

During this WiC radio show, we will talk with Nicole Engelbert, the director of Research & Analysis for Ovum Technology and a 23-year telecom industry veteran, about her experiences and perspectives on women in tech. Engelbert covers infrastructure, applications and industries for Ovum, but she is also involved in the research firm's higher education team and has helped colleges and universities globally leverage technology as a strategy for improving recruitment, retention and graduation performance.

She will share her unique insight into the collegiate level, where women pursuing engineering and STEM-related degrees is dwindling. Engelbert will also reveal new, original Ovum research on the topics of artificial intelligence, the Internet of Things, security and augmented reality, as well as discuss what each of those technologies might mean for women in our field. As always, we'll also leave plenty of time to answer all your questions live on the air and chat board.

Like Us on Facebook
Twitter Feed
Partner Perspectives - content from our sponsors
The Mobile Broadband Road Ahead
By Kevin Taylor, for Huawei
All Partner Perspectives