DUBLIN -- 2020 Vision Executive Summit -- Making money from NFV, cloud and security services and 5G applications is not going to be possible for communications service providers (CSPs) unless they have a big data and analytics strategy, and the tools to implement it.
That's the view of Heavy Reading senior analyst Jim Hodges, who told the audience of communications networking senior executives here in Dublin that the "monetization of NFV, the cloud and security demand real-time analytics… and will it be possible to [successfully] operate 5G networks without analytics? I don't think it will be possible. Our industry hasn't tied real-time analytics and big data to the cloud, NFV, security and 5G, but we need to."
The good news is that there are clear signs that CSPs are embracing the potential role of analytics systems as they transform their businesses. According to the results of a Heavy Reading survey of CSP executives from earlier this year, 35% have already implemented their big data and analytics strategy, while 24% have formulated a strategy but have yet to implement it. A further 28% are in the process of developing their strategy, and just 13% have not yet started to devise a big data and analytics strategy.
Perhaps not surprisingly, the main drivers behind CSP strategies are related to revenue maximization, improved customer satisfaction and loyalty, and opex reduction, with the latter tied to more efficient customer care operations: All of those were cited by more than 60% of survey respondents as key drivers for big data initiatives.
There are plenty of other potential use cases still to be explored, noted Hodges, who added that CSPs are turning to their vendor partners to help them develop their analytics-driven business plans.
But CSPs face significant challenges in developing and executing their big data strategies: The inability to integrate disparate systems of data was cited by 28% of respondents as a huge problem, while a further 66% identified it as a problem, but one that could be solved. Among the other "huge problems" cited by respondents were the poor quality of data and data management, and sourcing staff with the appropriate skill sets to handle big data projects, noted Hodges.
For more on this topic, see:
- IBM Sees Telcos Capturing, Connecting Data in Cognitive Era
- Customer Care Drives CSP Demand for Analytics – Report
- Analytics Holds the Key to Cable's Future
- CableLabs Makes Analytics Enablement Push
- Analytics: Out of the Hype Cycle
- Level 3: Analytics Unlocks SDN Potential
- Telecom Analytics Grows Up
— Ray Le Maistre, , Editor-in-Chief, Light Reading