& cplSiteName &

Can Cable Conquer Europe's B2B Sector?

Ray Le Maistre
3/8/2013
50%
50%

LONDON – Cable Congress 2013 -- Europe's cable operators have a number of opportunities to build on the collective revenue growth they experienced in 2012, according to Ewan Mackay, managing director for the Cable Industry, EALA (Europe, Africa and Latin America), at Accenture. (See Cable Operators Boast Euro Growth.) The region's cable players have built a good networking foundation on which they can develop and deliver additional revenue-generating services, with the "connected home" and business services two key niches that have significant potential. Mackay tells Light Reading Cable that the business-to-business (B2B) sector is "the forgotten arm" of the industry and one where the region's cable players can capitalize on pent-up demand from the small and medium-sized businesses. While U.K. operator Virgin Media Inc. has focused on that market with its Virgin Media Business Ltd. operation -- it generated revenues of £670 million (US$1 billion) in 2012, about 16 percent of total revenues, from its backhaul, Ethernet and voice services and contributed 40 percent of Virgin Media's full-year growth -- other European operators have not been as focused. "It's time to embrace B2B," says Mackay. "The cable operators can build on the success they have had in the consumer sector and take that into business services. They can take the experience of how they have segmented their consumer customers, using business intelligence [tools] and social media interaction, and take that into B2B." There is "latent demand" in the SMB and local authorities/government sectors that the cable players can tap, believes the Accenture man. In the "connected home," he believes cable operators have the infrastructure in place to deliver automated applications over consumer home networks, but he notes that the cable players have yet to make any concrete decisions about whether to tap into this potential market or decide exactly how they might do that. "They're on a watching brief … they need to decide whether they should develop the connected home applications themselves or be the aggregators for third-party applications," states Mackay. More broadly, he notes that Europe's cable operators have done well to counter the potential threat of the OTT service providers by enhancing their own services options using platforms such as TiVo Inc. and multimedia home gateways that deliver video applications such as YouTube and Netflix Inc. as well as the operators' own services. "The big question is -- how dominant might those OTT services become on the cable networks?" asks Mackay. He also notes that the region's cable players are now much more focused on customer experience issues than before. "In my interactions with the operators there's a real focus on the end-to-end relationship between the service provider and the customers," including the use of social media channels such as Facebook and Twitter to interact with end users. "Those conversations weren't happening at all three-to-five years ago." — Ray Le Maistre, International Managing Editor, Light Reading

(2)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
jtombes
50%
50%
jtombes,
User Rank: Light Beer
3/9/2013 | 4:37:13 PM
re: Can Cable Conquer Europe's B2B Sector?
SMEs account for 99.8% of non-financial enterprises in Europe, according to a report by consultancy Ecorys, delivered to Euro Commission last fall. Of that, 92.2% have < 10 employees. (Gotta love that statistical precision.) At the same time, business is still slow. Number of SMEs flat since 2007 and employment down since then. A few bright spots: Germany, Austria and possibly Malta grew in value and employment. Still overall a good scenario for a competitor. As I heard once heard a U.S. C-level exec describe his company's successful pitch to the SMB market: "Times sure are hard, aren't they? This would be a good time to cut costs, wouldn't it?..."
Jeff Baumgartner
50%
50%
Jeff Baumgartner,
User Rank: Light Beer
3/8/2013 | 5:56:00 PM
re: Can Cable Conquer Europe's B2B Sector?
MSOs in Europe should put more emphasis on biz-class services. Virgin Media's a great example, as Ray points out, but operators could learn a few things from the U.S. operators, which brought in about $7B in biz services revenue in 2012, and are growing it about $1B per year, according to Heavy Reading estimates: http://www.lightreading.com/ft...

If they are going to invest in growth projects, biz services is one they should be targeting posthaste. JB
Educational Resources
sponsor supplied content
Educational Resources Archive
From The Founder
Cisco's Conrad Clemson, recently promoted to head up the company's Service Provider Apps & Platforms developments, talks to Light Reading's Founder and CEO Steve Saunders about how he's bringing cloud video, mobile and virtualization together to empower network operators.
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.
Shades of Ray
Why Analytics Is the Tech World's Digital Glue

3|27|17   |   02:20   |   (0) comments


It was obvious at the massive annual CeBIT enterprise tech trade show that the foundation for tech innovation right now is real-time analytics.
LRTV Custom TV
CommScope – Meeting the Demands of Tomorrow's Networks

3|24|17   |     |   (0) comments


Phil Sorksy, Vice President International at CommScope, discusses addressing the challenges faced by service providers today, and as future trends emerge.
LRTV Huawei Video Resource Center
AMS-IX & Huawei's OSN 902

3|24|17   |     |   (0) comments


Huawei shows how its OSN 902 platform helps the Amsterdam Internet exchange to connect the world using multiplexing.
LRTV Huawei Video Resource Center
Huawei's Smart Energy Innovation Center

3|24|17   |     |   (0) comments


In Nuremberg, Huawei showcases its latest capabilities in the digitalization of Internet resources, network infrastructure and intelligence at its Smart Energy Innovation Center.
Valley Wonk
OFC & Hyperscale: A Good Mix?

3|24|17   |   01:50   |   (0) comments


Cloud and telecom players want different types of equipment for their networks, as the chatter at OFC reveals.
LRTV Custom TV
Etisalat on NFV Journey

3|24|17   |   10:37   |   (0) comments


Etisalat is a service provider that prides itself on bringing innovative technologies to the markets it serves. It was one of the first operators to implement 3G and leads the pack in fiber penetration. Now, Esmaeel Al Hammadi, Etisalat's SVP of Network Development, explains the operator's journey to virtualization, beginning with the network core, as well as the ...
LRTV Huawei Video Resource Center
Huawei at CeBIT 2017: Day 3

3|22|17   |     |   (0) comments


Light Reading reports from CeBIT 2017 in Germany, where Huawei is exhibiting on the application of technologies and key business verticals such as transportation, smart city, manufacturing, media and finance.
LRTV Documentaries
No Regrets: Cox's Finkelstein on Fiber & More

3|22|17   |     |   (0) comments


At the Cable Next-Gen Technologies & Strategies event in Denver, Cox's Jeff Finkelstein examines the cable capex conundrum.
LRTV Documentaries
Cable Next-Gen: The 'Mile High' View From Denver

3|22|17   |   11:56   |   (0) comments


Alan Breznick kicks off the Cable Next-Gen Technologies & Strategies event in Denver, casting his thousand-yard stare over cable's current competitive landscape.
LRTV Huawei Video Resource Center
Huawei at CeBIT 2017: Day 2

3|21|17   |   2:27   |   (0) comments


Light Reading reports from CeBIT 2017 in Germany, where Huawei is exhibiting digital transformation solutions around IoT, smart data centers, OpenCloud ecosystem and its newly announced storage-as-a-service solution.
LRTV Custom TV
Driving Better Mobile Customer Experience While Transforming the Mobile Network

3|21|17   |   7:47   |   (0) comments


Light Reading talked to George McGregor of Citrix about the NetScaler Mobile Gateway - an intelligent traffic management solution which can markedly improve the customer experience provided by mobile operators, even when traffic is encrypted. Critical network services can be consolidated and virtualized using NetScaler. Because of the unique architecture, ...
LRTV Custom TV
Mastercard: What's Next for Mobile Payments?

3|21|17   |   7:49   |   (0) comments


2017 marks the fifth consecutive year for Mastercard at Mobile World Congress and it was a great time to reflect on the amazing advances the payments industry has made as well as discuss "What's Next' in the digital commerce future. We spoke to James Anderson, executive vice president of digital payments at MasterCard, about digital wallets to tokenization to ...
Upcoming Live Events
May 15-17, 2017, Austin Convention Center, 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
High-Band 5G: Let's Address the Range Question, Shall We?
Dan Jones, Mobile Editor, 3/21/2017
Eurobites: A1, Nokia Turn It Up to 11
Paul Rainford, Assistant Editor, Europe, 3/22/2017
FTTH No Slam Dunk for Cable
Carol Wilson, Editor-at-large, 3/23/2017
Nokia & Facebook Push Undersea Fiber to 32 Tbit/s
Craig Matsumoto, Editor-in-Chief, Light Reading, 3/21/2017
Like Us on Facebook
Twitter Feed
BETWEEN THE CEOs - Executive Interviews
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.
At MWC 2017, Qualcomm's CTO Matt Grob talks to Light Reading's CEO and Founder Steve Saunders about the progress being made in the development of the technologies and standards that will underpin 5G.
Animals with Phones
Neither Do We Click Here
Is that a prerequisite?
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.