& cplSiteName &

Separating Blockchain Hype From Reality

James Crawshaw
8/13/2018
50%
50%

Depending on who you listen to, blockchain is either an over-hyped oddity or a milestone in legal and financial innovation comparable to double-entry bookkeeping. In essence, blockchain is a decentralized, immutable electronic ledger; a write-once-read-many record of historical transactions, as opposed to a database that can be written over.

So what relevance does blockchain have for the telecom industry, if any? We decided to explore the drivers for adoption of blockchain by communications service providers (CSPs) and evaluate the main opportunities. The results were published this week in Heavy Reading's latest report, Blockchain Opportunities for CSPs: Separating Hype From Reality.

We found that around a third of CSPs are already considering or actively engaged with blockchain projects, mainly to address security concerns. BSS and OSS are also potential areas for blockchain disruption in areas such as number portability and billing. There don't seem to be many applications at the network layer, although some forward-thinkers have postulated its use in the control plane for network addressing.

Although there is strong interest in blockchain, as evidenced by the popularity of this panel at the upcoming Light Reading conference on software-defined operations, we should not get too carried away. Blockchain can be used to solve many trust-based problems, but sometimes these can be solved more economically using traditional database technology.

Blockchain Opportunities for CSPs: Separating Hype From Reality outlines:

  • The level of adoption of blockchain in the telecom industry today.
  • The key CSP use cases for blockchain.
  • The key CSP and vendor blockchain initiatives, such as the Carrier Blockchain Study Group, Mobile Authentication Taskforce, and more.
  • The size of the blockchain opportunity for CSPs, in terms of incremental revenue or cost saving potential, across mobile roaming settlement, security, fraud prevention, identity and mobile payments.

The report also provides a framework to evaluate the usefulness of blockchain in a particular use case, and profiles seven blockchain specialists targeting the telecom market.

— James Crawshaw, Senior Analyst, Heavy Reading

(0)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
More Blogs from Heavy Lifting Analyst Notes
What role will CSPs play as the Internet evolves to support new consumer applications?
NaaS growth stems from the belief that by leveraging the programmability of the cloud, CSPs can create customizable VNF-based services for anybody who requires a full scope of services and does not want to deploy their own infrastructure.
The telco distributed cloud model is gaining support among service providers, even ahead of extensive 5G rollouts.
To gain a realistic understanding of operators' views and plans for transport, Heavy Reading launched its first-ever 5G Transport Market Leadership Study with support from Ericsson, Fujitsu, Juniper and VIAVI Solutions.
US operator is moving toward a more proactive and predictive operational model as it uses AI tools to extract greater value from its data, but there are hurdles to overcome.
Featured Video
Flash Poll
Upcoming Live Events
September 17-19, 2019, Dallas, Texas
October 1-2, 2019, New Orleans, Louisiana
October 10, 2019, New York, New York
October 22, 2019, Los Angeles, CA
November 5, 2019, London, England
November 7, 2019, London, UK
December 3, 2019, New York, New York
December 3-5, 2019, Vienna, Austria
March 16-18, 2020, Embassy Suites, Denver, Colorado
May 18-20, 2020, Irving Convention Center, Dallas, TX
All Upcoming Live Events