& cplSiteName &

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        ADD A COMMENT
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;

Educational Resources
sponsor supplied content
Educational Resources Archive
Light Readingís Upskill U is a FREE, interactive, online educational resource that delivers must-have education on themes that relate to the overall business transformation taking place in the communications industry.
LIVE NOW!
Friday, December 2, 1:00PM EST
The SDN Approach to IP & Optical Integration
Sterling Perrin, Senior Analyst, Heavy Reading
UPCOMING COURSE SCHEDULE
Friday, December 2, 1:00PM EST
The SDN Approach to IP & Optical Integration
Sterling Perrin, Senior Analyst, Heavy Reading
in association with:
From The Founder
Light Reading today starts a new voyage as part of a larger Enterprise.
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.
Women in Comms Introduction Videos
Korn Ferry Consultant: How to Find, Cultivate & Be the Best Talent

11|30|16   |   4:10   |   (1) comment


Erin Callaghan, a managing consultant for Korn Ferry Futurestep, shares strategies for companies to improve how they recruit and for women to ensure they don't get lost in the pipeline.
LRTV Custom TV
We Can Make the World More Sustainable

11|29|16   |     |   (0) comments


GeSI is a global e-Sustainability Initiative organization bringing together 40 big multinational companies around the world. According to GeSI's report, information and communication technology can make the world more sustainable. Luis Neves, chairman of GeSI, shared with us his opinion at Ultra-broadband Forum (UBBF2016).
LRTV Custom TV
Finding a New Way to Engage Customers & Drive Revenue

11|29|16   |     |   (0) comments


Mobile revenues are declining. Digicel, a player in the Caribbean telecommunications/entertainment space, has found a new way to engage customers and drive revenue. John Quinn, CTO of Digicel, shared with us its story at Ultra-broadband Forum (UBBF2016)
LRTV Custom TV
Do You Really Need Gigabit Infrastructure?

11|29|16   |     |   (0) comments


Altibox is the biggest fiber-to-the-home (FTTH) player and the largest provider of video and TV in Norway. They started out with zero customers in 2002. Now they have close to half a million households and companies attached to their FTTH business. Nils Arne, CEO of Altibox shared with us their story and insight on 5G at Ultra-broadband Forum (UBBF2016).
LRTV Custom TV
BTís Openreach Strategy & Its Updates in 2016

11|29|16   |     |   (0) comments


A lot of developments at Openreach this year in terms of strategy and planned investments. Peter Bell, CIO of Openreach BT, shared with us the updates of Openreach at Ultra-broadband Forum (UBBF2016).
LRTV Custom TV
ITU: The Broadband Is Our Future

11|29|16   |     |   (0) comments


At Ultra-broadband Forum, Houlin Zhao, Secretary General of ITU, discussed how important it is for countries, companies and everybody to be working together to help to build the broadband and digital economies (UBBF2016).
LRTV Custom TV
Tackling 5G in Dallas

11|28|16   |     |   (0) comments


Here are our highlights of the 5G North America show in Dallas, Texas with Light Reading's Dan Jones.
LRTV Interviews
Cox Prepping for Virtualization Trials

11|14|16   |     |   (0) comments


In this video interview, Cox's Jeff Finkelstein discusses MSO's plans to test managed business services in early 2017 and tackle Distributed Access Architectures.
LRTV Custom TV
Drivers & Potential of NGP

11|11|16   |     |   (0) comments


ETSI has created an Industry Specification Group to work on Next Generation Protocols (NGP ISG), looking at evolving communications and networking protocols to provide the scale, security, mobility and ease of deployment required for the connected society of the 21st century. The NGP ISG will identify the requirements for next generation protocols and network ...
LRTV Custom TV
Huawei IP 2020 for Future Networks

11|11|16   |     |   (0) comments


Future Networks should satisfy many requirements such as high throughput, extremely low latency, flexible mobility, intrinsic security, networking automation, and so forth. The Chief Architect of Huawei Future Networks addresses a holistic solution, i.e., IP 2020, to achieve these requirements for various future life scenarios (e.g., autonomous driving, tactile ...
LRTV Custom TV
Digital Object Architecture

11|11|16   |     |   (0) comments


Digital Object Architecture provides a basic information infrastructure that can facilitate interoperability between or among different systems, processes, and other information resources, including different identity management systems. Digital objects are networked objects that are named by digital object identifiers and instantiated by an infrastructure service ...
LRTV Custom TV
BT's Openreach Has High Hopes for Long-Reach VDSL

11|11|16   |   06:04   |   (0) comments


Peter Bell, Network Portfolio CIO at BT's access business Openreach, talks about the operator's trial of a new broadband access technology called Long Reach VDSL.
Upcoming Live Events
December 6-8, 2016, The Westin Excelsior, Rome
May 16-17, 2017, Austin Convention Center, Austin, TX
All Upcoming Live Events
Infographics
Hot Topics
AT&T Debuts DirecTV Now on New Video Platform
Mari Silbey, Senior Editor, Cable/Video, 11/28/2016
Apple Seeds 5G? Seeks 'Multi-Gigabit' Chip Designer
Dan Jones, Mobile Editor, 11/30/2016
Altice Plans FTTH for Entire US Footprint
Iain Morris, News Editor, 11/30/2016
Altice FTTH Bill Could Hit Almost $9.6B in US
Iain Morris, News Editor, 12/1/2016
Samsung Bows to Investors, Considers Revamp
Iain Morris, News Editor, 11/29/2016
Like Us on Facebook
Twitter Feed
BETWEEN THE CEOs - Executive Interviews
Eyal Waldman, CEO of Mellanox Technologies, speaks to Steve Saunders, CEO of Light Reading, for an exclusive interview about the 100 GB cable challenge, cybersecurity and much more.
Join us for an in-depth interview between Steve Saunders of Light Reading and Alexis Black Bjorlin of Intel as they discuss the release of the company's Silicon Photonics platform, its performance, long-term prospects, customer expectations and much more.
Live Digital Audio

Even when there's a strong pipeline of female talent in the comms industry, it tends to leak all the way to the top. McKinsey & Company says women experience pipeline leakage at three primary points: being unable to enter, being stuck in the middle or being locked out of the top. Each pipeline pain point presents its own challenges, but also opportunities to stop the leak. Wireless operator Sprint is making a conscious effort to improve its own pipeline from new recruits to the C-suite, and it wants the rest of the industry to do the same. In this Women in Comms radio show, WiC Board Member and Sprint Vice President of Enterprise Sales Nelly Pitocco will give us her take on the industry's pipeline challenges. Pitocco, who joined Sprint in May and has spent 20 years in the comms industry, will also offer solutions, share how Sprint is tackling the challenge within its own organization and take your questions live on air.