Welcome!

Blog Feed Post

New Analysis shows that Singtel & Telefonica lead the way in telecoms transformation, but all CSPS must accelerate

Launched 28th January 2014, the Telco 2.0 Transformation Index, (The Telco 2.0 Intiative's new comprehensive business model transformation benchmark of leading global communication service providers) shows that changes are underway at AT&T, Ooredoo, SingTel, Telefonica and Verizon but no player is yet doing enough to ensure a successful transition to a sustainable new 'Telco 2.0' business model.

Results from the Telco 2.0 Transformation Index show that SingTel and Telefonica lead the way in transforming themselves from engineering-led infrastructure businesses to innovation-led platform and production innovation players. A key driver of this has been in the bold efforts they have made to change their organisation structure and processes to support new services and customers via independent 'digital' business units. The US giants - AT&T and Verizon - and the Middle Eastern CSP, Ooredoo, also covered in the first tranche of analysis, are at an earlier stage of the transformation journey.

STL Partners believes that all CSPs should be aiming to score 75% or more on the Telco 2.0 Transformation Index to give themselves a good chance of enjoying successful growth in the future. However, even SingTel (scoring 60%) and Telefonica (scoring 57%) deemed to be leaders in this space are progressing too slowly.

The Index consists of detailed analysis of individual communication service providers (CSPs) across 5 'domains' - Marketplace, Servicing Offerings, Value Network (internal organisation and external partnerships), Technology and Finance. Quantitative and qualitative analysis has been conducted over 7 months by STL Partners' analysts to determine the strengths and weaknesses of each CSP in each domain. Objective scores for each CSP in each domain are then calculated so valid comparisons can be made independent of geographic region and company strategy.

According to Chris Barraclough, Telco 2.0's Chief Strategist, "Our analysis suggests there is a potential uplift to share prices of 45+% for CSPs that can transform from being pure 'infrastructure players' to platform and production innovation companies. However, such a transformation is challenging. It is not simply about CSPs launching and handful of 'digital services'. Transformation needs to be company-wide covering both 'hard' factors, such as organisation structures and business metrics, but also 'soft' ones, including business processes, partnerships and culture. The Telco 2.0 Transformation Index covers all this in depth and provides strategic guidance on the process of change in the telecoms industry."

"The leaders - SingTel and Telefonica - are working hard to get their organisations in shape for the new digital world. However, to date, changes at CSPs have not yet yielded material additional value in the form of great new services and new customer relationships. It is clear that more needs to be done by all CSPs if the industry is going to avoid substantial value destruction over the next 5 years."

Website Link: http://www.telco2research.com/categories/telco_2_transformation_index

Contact: Hayley Brace. +44 (0) 207 247 5003. Email: [email protected]

More on the Telco 2.0 Transformation Index

The Index draws on dozens of data sources, including surveys and interviews, to examine the strategic positioning and goals of specific CSPs. It uses The Telco 2.0 Intiative's tried and tested business model analysis methodologies and frameworks to calibrate how effectively CSPs are transforming themselves from a Telco 1.0 to a Telco 2.0 business model:

  • It explores the transformation performance of leading communications services providers:
    o Focuses on specific actions of individual players not just high-level industry-wide assessment

  • Covers a broad range of existing and new service opportunities for communications services providers and their partners:
    o Recognises that Telco 2.0 is not just about launching a few 'digital services'

  • Comprehensively assesses all the skills, assets and relationships that are needed to deliver Telco 2.0 successfully:
    o Internal and external focus

  • It examines Telco 2.0 transformation in the context of the broader marketplace:
    o Appreciates that individual communications service providers do not operate in isolation but compete in telecoms markets with different dynamics and in the wider global internet services market

  • Quantifies transformation performance based on hard data (where available) and assessment from experienced analysts (who focus only on new business models in the digital space):
    o Objective, independent analysis supported by desk research involving hundreds of data sources plus interviews and surveys conducted within the industry

  • Offers concrete and specific recommendations for accelerating Telco 2.0 transformation for the individual communications service providers covered and the industry as a whole:
    o More than just analysis - a source of strategic guidance.

At a time when full service telcos face a sharp decline in core revenues and uncertainty about new sources of growth in the 'digital economy', the Telco 2.0 Transformation Index is a new service that helps senior telco executives:

  • Make better strategic decisions in an increasingly complex and competitive world

  • Direct innovation efforts more effectively

  • Identify new ways of allocating resources and leveraging assets and capabilities

More about the Telco 2.0 Initiative/STL Partners

Established in 2006, the Telco 2.0 Initiative helps drive the transformation of the telecoms industry, looking in particular at new business models and service innovation. It is highly influential on the strategies of the leading players in the market.

The Initiative publishes ongoing research into new business model strategies, and runs regular high level 'executive brainstorms' in 4 continents (Europe, APAC, Middle East, Silicon Valley). These bring senior execs in the telco industry together with their peers in other sectors (banking, advertising, media, retail, etc.) to explore new opportunities for collaborative growth.

Research: http://www.telco2research.com/

Executive Brainstorms: http://www.newdigitaleconomics.com/events/

The Telco 2.0 Initiative was set up by analyst and consulting firm STL Partners, a specialist research and consulting firm.

"Our focus is on driving transformation through business model innovation in the Telecoms, Media and Technology sector - i.e. how companies make money and grow in turbulent times."

"Most of the telcos and technology companies around the world subscribe to our research, participate in our brainstorms, and use our consulting services, due to its unique focus and methodologies. We also work closely with the World Economic Forum in the area of 'personal data' and have a seat on their global ICT agenda council."

Simon Torrance, CEO, STL Partners / Telco 2.0. Contact: +44 (0) 207 247 5003. Email: [email protected]

Contact:
Andrew Collinson, COO & Research Director, Telco 2.0 / STL Partners.
Hayley Brace - Marketing Director +44 (0) 207 247 5003. Email: [email protected]

Source: RealWire

Read the original blog entry...

More Stories By RealWire News Distribution

RealWire is a global news release distribution service specialising in the online media. The RealWire approach focuses on delivering relevant content to the receivers of our client's news releases. As we know that it is only through delivering relevance, that influence can ever be achieved.

Latest Stories
Organizations planning enterprise data center consolidation and modernization projects are faced with a challenging, costly reality. Requirements to deploy modern, cloud-native applications simultaneously with traditional client/server applications are almost impossible to achieve with hardware-centric enterprise infrastructure. Compute and network infrastructure are fast moving down a software-defined path, but storage has been a laggard. Until now.
We're entering the post-smartphone era, where wearable gadgets from watches and fitness bands to glasses and health aids will power the next technological revolution. With mass adoption of wearable devices comes a new data ecosystem that must be protected. Wearables open new pathways that facilitate the tracking, sharing and storing of consumers’ personal health, location and daily activity data. Consumers have some idea of the data these devices capture, but most don’t realize how revealing and...
Kubernetes is a new and revolutionary open-sourced system for managing containers across multiple hosts in a cluster. Ansible is a simple IT automation tool for just about any requirement for reproducible environments. In his session at @DevOpsSummit at 18th Cloud Expo, Patrick Galbraith, a principal engineer at HPE, discussed how to build a fully functional Kubernetes cluster on a number of virtual machines or bare-metal hosts. Also included will be a brief demonstration of running a Galera M...
Unless your company can spend a lot of money on new technology, re-engineering your environment and hiring a comprehensive cybersecurity team, you will most likely move to the cloud or seek external service partnerships. In his session at 18th Cloud Expo, Darren Guccione, CEO of Keeper Security, revealed what you need to know when it comes to encryption in the cloud.
"We build IoT infrastructure products - when you have to integrate different devices, different systems and cloud you have to build an application to do that but we eliminate the need to build an application. Our products can integrate any device, any system, any cloud regardless of protocol," explained Peter Jung, Chief Product Officer at Pulzze Systems, in this SYS-CON.tv interview at @ThingsExpo, held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA.
"We are an all-flash array storage provider but our focus has been on VM-aware storage specifically for virtualized applications," stated Dhiraj Sehgal of Tintri in this SYS-CON.tv interview at 19th Cloud Expo, held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA.
In his general session at 19th Cloud Expo, Manish Dixit, VP of Product and Engineering at Dice, discussed how Dice leverages data insights and tools to help both tech professionals and recruiters better understand how skills relate to each other and which skills are in high demand using interactive visualizations and salary indicator tools to maximize earning potential. Manish Dixit is VP of Product and Engineering at Dice. As the leader of the Product, Engineering and Data Sciences team at D...
It's easy to assume that your app will run on a fast and reliable network. The reality for your app's users, though, is often a slow, unreliable network with spotty coverage. What happens when the network doesn't work, or when the device is in airplane mode? You get unhappy, frustrated users. An offline-first app is an app that works, without error, when there is no network connection. In his session at 18th Cloud Expo, Bradley Holt, a Developer Advocate with IBM Cloud Data Services, discussed...
Data is the fuel that drives the machine learning algorithmic engines and ultimately provides the business value. In his session at 20th Cloud Expo, Ed Featherston, director/senior enterprise architect at Collaborative Consulting, will discuss the key considerations around quality, volume, timeliness, and pedigree that must be dealt with in order to properly fuel that engine.
Between 2005 and 2020, data volumes will grow by a factor of 300 – enough data to stack CDs from the earth to the moon 162 times. This has come to be known as the ‘big data’ phenomenon. Unfortunately, traditional approaches to handling, storing and analyzing data aren’t adequate at this scale: they’re too costly, slow and physically cumbersome to keep up. Fortunately, in response a new breed of technology has emerged that is cheaper, faster and more scalable. Yet, in meeting these new needs they...
In addition to all the benefits, IoT is also bringing new kind of customer experience challenges - cars that unlock themselves, thermostats turning houses into saunas and baby video monitors broadcasting over the internet. This list can only increase because while IoT services should be intuitive and simple to use, the delivery ecosystem is a myriad of potential problems as IoT explodes complexity. So finding a performance issue is like finding the proverbial needle in the haystack.
When it comes to cloud computing, the ability to turn massive amounts of compute cores on and off on demand sounds attractive to IT staff, who need to manage peaks and valleys in user activity. With cloud bursting, the majority of the data can stay on premises while tapping into compute from public cloud providers, reducing risk and minimizing need to move large files. In his session at 18th Cloud Expo, Scott Jeschonek, Director of Product Management at Avere Systems, discussed the IT and busin...
According to Forrester Research, every business will become either a digital predator or digital prey by 2020. To avoid demise, organizations must rapidly create new sources of value in their end-to-end customer experiences. True digital predators also must break down information and process silos and extend digital transformation initiatives to empower employees with the digital resources needed to win, serve, and retain customers.
"We are the public cloud providers. We are currently providing 50% of the resources they need for doing e-commerce business in China and we are hosting about 60% of mobile gaming in China," explained Yi Zheng, CPO and VP of Engineering at CDS Global Cloud, in this SYS-CON.tv interview at 19th Cloud Expo, held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA.
Fact is, enterprises have significant legacy voice infrastructure that’s costly to replace with pure IP solutions. How can we bring this analog infrastructure into our shiny new cloud applications? There are proven methods to bind both legacy voice applications and traditional PSTN audio into cloud-based applications and services at a carrier scale. Some of the most successful implementations leverage WebRTC, WebSockets, SIP and other open source technologies. In his session at @ThingsExpo, Da...