Light Reading

Bridging the Chasm: A Manifesto

Ray Le Maistre
1/19/2011
50%
50%

What are the biggest challenges facing traditional communications service providers today?

Well, they need to:

  • find new ways to grow revenues, by developing and successfully selling new services and products;
  • cut costs;
  • develop and offer new services to market quickly (so, MUCH quicker than they're capable of right now); and
  • come to terms with the fact they're no longer the only source of real-time, multimedia communications.

A tough list. And while new technology can help service providers meet some of these challenges, it's only a small, though very important, piece of the pie.

The biggest piece of the pie, and the one that's going to be the hardest to swallow, is organizational, and relates to the operators' main asset -- their staff.

Historically (and currently, in most instances), service providers have organized themselves into teams that, while (supposedly) pulling in the same direction to the overall benefit of the company, have operated within their own confines -- in silos -- with very little, if any, interaction (even when it made sense).

Now, if those service providers that have relied on mass-market voice and enterprise connectivity for their revenues stand any chance of survival and becoming true next-generation service providers that can compete with the likes of Apple, Amazon and Google, that needs to change.

Here at Light Reading, we believe that service providers need to make a fundamental change to the way they're organized if they have aspirations to be more than just utility bit pipes -- they need to bring their networks and IT teams together as a single, integrated unit. This process -- the integration of these related but disparate teams -- is something we're calling Bridging the Chasm. That's because the divide between the two teams currently is wide and it's going to take a lot of hard work, organizational skills and sheer bloody-mindedness to bring them together.

It's a tough task but it's essential.

More than ever before, the networks and IT teams need each other. For almost the first time they need many of the same skills, need to be able to understand the same technical languages, and be able to communicate with each other. Communications service providers need to adapt to an IP-centric world where delivering a great customer experience from the moment a customer makes initial contact and then throughout their engagement (whether that's for one minute or 30 years) is absolutely critical. And that can't be achieved to scale and in real time unless there is true coordination and understanding between what are currently separate teams.

That applies equally to the challenge of developing relevant new services and products that people will want to buy. It's universally acknowledged that service providers need to work with third-party applications developers, and Heavy Reading research has shown that most operators recognize this as an essential relationship to build. But enabling that relationship means the operators need to create an automated process, involving networks assets and back-office software (billing, subscriber data management, provisioning and so on), that enables the developers to build, test and deliver the new applications. That can't be achieved in any meaningful, productive and profitable way in an environment where phrases such as "that's the billing team's problem" or "that's nothing to do with us -- it's a network issue" are commonplace.

Closely linked to this need to bring the two teams together is the increasing reliance by network operators on their Service Provider Information Technology (SPIT) assets, something we highlighted in 2010, starting in February when we published The SPIT Manifesto. Essentially, communications service providers are increasingly reliant on their SPIT assets to remain competitive and enable their transformation from legacy carrier to next-generation service provider, and now they need to bring the networks and IT teams together so they can best utilize the capabilities inherent in those assets. The IT team alone can't deliver the required transformation on its own, and neither can the networks team.

Some operators have already taken some of the first steps towards Bridging the Chasm. One such step is to put a single executive in charge of networks and IT -- in other words, to have a joint CTO/CIO. UK operator BT Group took this step in mid-2009 when its then CTO Matt Bross left the company and his responsibilities were handed on to the then CIO Al-Noor Ramji. These days, Clive Selley is the executive in BT's Bridging the Chasm hotseat.

One operator has even managed to bridge the chasm from day one, and never have disparate network and IT teams. Nucleus Connect, the operator that's running Singapore's next-generation national broadband network, has had a combined team from day one. The company, though, was only formed in the first half of 2009, so it avoided any legacy issues, and is relatively small. However, the management team had the foresight to build a single technology team, and it has paid off, according to CEO David Storrie, who says the networks and IT folk hired to work together at Nucleus Connect have been learning from each other and identifying new ways of doing things more efficiently.

Storrie's story (if you'll pardon the phrase) will be the exception, of course. For most operators, Bridging the Chasm will be a Herculean operational challenge, but one that, we believe, they will have to undertake in one form or another. Some may opt to outsource the running of all network and IT systems to a third party, though that would be a move equally fraught with difficulties.

We expect, therefore, to see more and more operators take initial steps along the same lines as BT and gradually transform the way they run the very heart of their business operations. And we intend to track and monitor those strategies, plans and projects, and talk to the relevant people along the way about their goals, challenges, gains and failures. We think there will be plenty of each.

This is a transformation that will take years, and one that will involve a great deal of learning and sharing amongst the carrier community. We aim to be a part of that sharing and learning experience. That's why today is Day 1 of Light Reading's Bridging the Chasm editorial campaign, and we're opening with a message to communications service providers around the world: You need to do this -- let Light Reading's campaign, with its aim of sharing experiences and raising awareness, be a part of your process.

— Ray Le Maistre, International Managing Editor, Light Reading

(5)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View
Grenot
50%
50%
Grenot,
User Rank: Light Beer
12/5/2012 | 5:15:06 PM
re: Bridging the Chasm: A Manifesto


Dear Ray,


Thanks for taking the initiative, as you did with SPIT a year ago. Simple maths:

<ol>
<li>To grow their revenues, service providers need to bring more value (simplistic...).</li>
<li>The ones who pay at the end are the users&nbsp;</li>
<li>User-centric values come from&nbsp;applications (Skype, YouTube, Facebook, Salesforce, public and private clouds hosted data apps, voice, visioconf...).</li>
</ol>

1+2+3 --&gt; Network service providers&nbsp;might only fight the race to the bottom if they link their network services to application services, which can only be done if IT and network team act as one. Or not, if not.


From an other standpoint, the fast rise of cloud-based IT might either be a big threat (will Internet take all at the end?) or a wonderful opportunity&nbsp;for service providers that will be&nbsp;able to closely link datacenters and application flexible provisioning with network behavior to guarantee performance from end (server) to end (desktop). Again a strategic choice to be decided, that implies imbrication of IT and network&nbsp;organizations&nbsp;- or not.


There are so many topics linked to the Chiasm... that it's better to stop here for today&nbsp;and&nbsp;have a last Talisker :-)&nbsp; - Kind regards. Thierry Grenot, CTO @ Ipanema Technologies

DCITDave
50%
50%
DCITDave,
User Rank: Light Beer
12/5/2012 | 5:15:05 PM
re: Bridging the Chasm: A Manifesto


But have we got it all wrong on services?


A reader pointed out (via email) that, when it comes to cloud services and other IP-based offerings, "there are the kind of things that I buy that I might be happy to get from a service provider but I don&rsquo;t really see any advantage at the moment in it."


Interesting, eh? This transformation might not make&nbsp;a difference at all if service providers can't win over customers who have already been trained to rely on innovators like Amazon, Google, and Apple.

digits
50%
50%
digits,
User Rank: Light Beer
12/5/2012 | 5:15:04 PM
re: Bridging the Chasm: A Manifesto


Are you suggesting that "customer experience" is important?


This could be revolutionary....someone tell AT&amp;T! &nbsp;:-)

DCITDave
50%
50%
DCITDave,
User Rank: Light Beer
12/5/2012 | 5:15:04 PM
re: Bridging the Chasm: A Manifesto


The marriage of low latency broadband w/ apps and services could indeed make a difference.


At home, it's odd that I'd sooner buy a basket of&nbsp;cloud apps -- calendering sync, email, storage, photo sharing -- from a hardware vendor (Apple) instead of my broadband AND mobile service provider (AT&amp;T).


Why?


Apple offers them in a simple, integrated way. AT&amp;T? I dunno.


&nbsp;

digits
50%
50%
digits,
User Rank: Light Beer
12/5/2012 | 5:15:04 PM
re: Bridging the Chasm: A Manifesto


Phil


I think the key few words in that reader response are "at the moment"...


Telcos need to be decisive -- make key decisions about what they want to be and how they are going to operate -- and act fast. Some have/are, others aren't/haven't.


Re the cloud -- I think it will be key to see what happens once FTTH, LTE, and Docsis 3.0 access services are more prevalent. If service providers can marry up low latency broadband access with SECURE connections to cloud resources, then they have a chance.


Thierry - thanks as always for your comments. Always much appreciated!


&nbsp;


&nbsp;

Flash Poll
From The Founder
Networks of the future will rely on "white box" switches and servers rather than proprietary hardware and that's going to alter the shape of the communications industry. Who says so? John Chambers.
LRTV Custom TV
The Benefits of HyperScale Clouds for NFV

3|27|15   |   01:50   |   (0) comments


Hyperscale cloud has been developed by the Internet giants to support the creation and delivery of software-based services at blistering speeds, and at the lowest possible cost. The original ETSI NFV vision was to adopt hyperscale cloud architecture and practices. This vision has become somewhat obscured along the way, due to misunderstandings about the hyperscale ...
LRTV Huawei Video Resource Center
eLTE Rapid Meets the Need for Speed

3|26|15   |   4:45   |   (0) comments


Designed especially for emergency and dedicated ad hoc local mobile communications coverage, Huawei's eLTE Rapid solution can deliver trunked voice, video and data coverage for multiple users over a 6km range and be set up in just 15 minutes, explains Huawei's Norman Frisch.
LRTV Huawei Video Resource Center
On Videos: Challenges & Opportunities

3|26|15   |   5:56   |   (0) comments


Most everything is now connected. And along with 4K and 4G technologies, everyone could be creating and broadcasting video contents. Users are expecting better video experience with any screen, anywhere and anytime. Operators will meet new challenges, but also see some big opportunities.
LRTV Custom TV
JDSU: Delivering Dynamic Networks for a Personalized Experience

3|26|15   |   5:59   |   (0) comments


Light Reading speaks to JDSU at Mobile World Congress 2015 about new solutions in the areas of HetNets, VoLTE, backhaul, virtualization, big data analytics, and real-time intelligence.
LRTV Custom TV
Smarter Service Chaining & New Ways to Benefit From Qosmos Technology

3|25|15   |   03:11   |   (0) comments


David Le Goff, director of strategic and product marketing at Qosmos, explains how the company has added application awareness to subscriber information to make service chaining more efficient and reduce costs for networking and infrastructure. In addition, Qosmos technology, which has been delivered as C libraries, is now also available as a virtual machine, ...
Between the CEOs
Qosmos CEO: The Changing Face of DPI

3|24|15   |   13:53   |   (0) comments


LR CEO and Founder Steve Saunders sits down with the head of Qosmos to talk about the changing state of the art in deep packet inspection technology, including its role in SDN and NFV architectures. Also, how the comms market is becoming more like the automotive industry.
LRTV Huawei Video Resource Center
FC Schalke Scores With Its Agile Stadium

3|24|15   |   6:23   |   (0) comments


Top German soccer club FC Schalke 04 has deployed a new, agile WiFi network from Huawei in its Veltins-Arena stadium and is reaping the benefits in terms of customer satisfaction and business opportunities, explains marketing chief Alexander Jobst.
LRTV Huawei Video Resource Center
Huawei’s Insights on Mobile Video

3|24|15   |   7:51   |   (0) comments


More people than ever are now watching videos on smartphones. Seventy percent of mobile traffic will be video traffic until 2018. In this video, Huawei's exports give their insights on mobile video in terms of business model, network planning and 4G network construction.
LRTV Documentaries
The Rise of Industry 4.0

3|24|15   |   02:26   |   (9) comments


Are you ready for the fourth industrial revolution? It's a big deal for influential operators such as Deutsche Telekom.
LRTV Huawei Video Resource Center
Getting Connected With eLTE

3|23|15   |   06:04   |   (0) comments


Trunked radio communications have entered the 4G LTE world, and with Huawei's eLTE solution, can now deliver a full range of data and video services as well as push-to-talk voice, explains Huawei's Norman Frisch.
LRTV Huawei Video Resource Center
Funkwerk’s on Track With Huawei

3|19|15   |   3:23   |   (0) comments


GSM-R technology specialist Funkwerk and Huawei have forged a partnership that is benefiting both parties, notes Funkwerk's Gottfried Winter.
LRTV Documentaries
How EANTC Tested Cisco's Virtualization Solutions

3|18|15   |   5:49   |   (0) comments


Carsten Rossenhövel, managing director of independent test lab EANTC, tells Light Reading founder and CEO Steve Saunders about the innovative approach his team had to take when validating Cisco's service provider virtualization and cloud solutions.
Upcoming Live Events
April 14, 2015, The Westin Times Square, New York City, NY
May 5, 2015, Hyatt McCormick Place, Chicago, IL
May 6, 2015, Georgia World Congress, Atlanta, GA
May 12, 2015, Grand Hyatt, Denver, CO
May 13-14, 2015, The Westin Peachtree, Atlanta, GA
June 8, 2015, Chicago, IL
June 9-10, 2015, Chicago, IL
June 9, 2015, Chicago, IL
June 10, 2015, Chicago, IL
September 29-30, 2015, The Westin Grand Müchen, Munich, Germany
All Upcoming Live Events
Infographics
Hot Topics
The Rise of Industry 4.0
Ray Le Maistre, Editor-in-chief, 3/24/2015
Google Hires Wall Street's Most Influential Woman as CFO
Dan Jones, Mobile Editor, 3/24/2015
AT&T Woos SMBs With Small-Scale WiFi
Sarah Thomas, Editorial Operations Director, 3/26/2015
Net Neutrality Suits: Only The Beginning?
Alan Breznick, Cable/Video Practice Leader, 3/24/2015
Average US Broadband Speeds No Great Shakes
Mari Silbey, Independent Technology Editor, 3/25/2015
Like Us on Facebook
Twitter Feed
Webinar Archive
BETWEEN THE CEOs - Executive Interviews
LR CEO and Founder Steve Saunders sits down with the head of Qosmos to talk about the changing state of the art in deep packet inspection technology, including its role in SDN and NFV architectures.
Chattanooga’s EPB publicly owned utility comms company has become a poster child for how to enable a local economy using next-gen networking technology. Steve Saunders, Founder of Light Reading, sits down with Harold DePriest, president and CEO of EPB, to learn how EPB is bringing big time tech to small town America.
Cats with Phones
Interspecies Phone Love Click Here
"No, you hang up."
"No, YOU hang up."
Latest Comment