& 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
ETSI's wonderfully named Experiential Networked Intelligence (ENI) group, which aims to help operators better understand and improve the management of their networks, has sprung to life.
SPRING has sprung in the routing community.
Call it Industry 4.0, Industry-X, Industrial IoT, the Industrial Internet – by any name, it offers tremendous opportunities to transform productivity across many sectors of the economy.
Just like 3G, 4G and Long Term Evolution (LTE), 5G isn't kicking WiFi to the curb. Mixing WiFi with LTE and 5G networks offers mobile operators numerous market opportunities.
Service providers surveyed for this report are cautiously optimistic about automating business/operations support system (B/OSS) – more than half are already taking steps to automate B/OSS, and even more plan to do so within the next two years.
Featured Video
From The Founder
John Chambers is still as passionate about business and innovation as he ever was at Cisco, finds Steve Saunders.
Flash Poll
Upcoming Live Events
June 26, 2018, Nice, France
September 12, 2018, Los Angeles, CA
September 24-26, 2018, Westin Westminster, Denver
October 9, 2018, The Westin Times Square, New York
October 23, 2018, Georgia World Congress Centre, Atlanta, GA
November 7-8, 2018, London, United Kingdom
November 8, 2018, The Montcalm by Marble Arch, London
November 15, 2018, The Westin Times Square, New York
December 4-6, 2018, Lisbon, Portugal
All Upcoming Live Events
Hot Topics
The Telco Debt Binge May End Badly
Scott Raynovich, Founder and Principal Analyst, Futuriom, 6/15/2018
Mavenir's Billion-Dollar Blueprint
Ray Le Maistre, Editor-in-Chief, 6/18/2018
Larry Ellison Laughed at the Cloud, Now the Cloud Is Laughing Back
Mitch Wagner, Executive Editor, Light Reading, 6/20/2018
Source Packet Routing Gets Real in 2018
Sterling Perrin, Principal Analyst, Heavy Reading, 6/15/2018
5G Transport – Where Do We Start?
Ray Le Maistre, Editor-in-Chief, 6/21/2018
Animals with Phones
Backing Up Your Work Is Crucial Click Here
Live Digital Audio

A CSP's digital transformation involves so much more than technology. Crucial – and often most challenging – is the cultural transformation that goes along with it. As Sigma's Chief Technology Officer, Catherine Michel has extensive experience with technology as she leads the company's entire product portfolio and strategy. But she's also no stranger to merging technology and culture, having taken a company — Tribold — from inception to acquisition (by Sigma in 2013), and she continues to advise service providers on how to drive their own transformations. This impressive female leader and vocal advocate for other women in the industry will join Women in Comms for a live radio show to discuss all things digital transformation, including the cultural transformation that goes along with it.

Like Us on Facebook
Twitter Feed