Telecom Service Providers
The evolution of consumers and business’ digital behavior, thanks to an ever-expanding array of digital devices and platforms, is changing the competitive landscape of the telecommunications industry. The degree of innovation that the over-the-top service providers (OTT) are introducing into the market is contributing to an increase of their dominance within the value chain and is forcing telecom operators to reshape their strategies, adopt new business models and restructure the service portfolio in order to successfully compete and generate growth. Telecom operators worldwide are increasingly adopting the Telco-OTT business model that offers a larger market reach for their services leveraging on third party IP infrastructures. At the same time, they are introducing new services that offer the opportunity to capture higher value in the market. Web based communication services, social medias and video streaming services as well as hosted, managed and Cloud Computing services for enterprises are some of the primary services that telecom operators are introducing on the market.
This new scenario is pushing telecom operators to intensify their network evolution towards a more flexible, intelligent, IP infrastructure that offers a faster introduction of new services, operate at reduced costs while increasing efficiencies, and provide customers with a higher degree of control, choice and flexibility over their services. Started more than 10 years ago with NGN networks migration towards IMS architecture, this process is developing today around 4 main areas:
Ultrabroadband access networks
Cloud Computing, the proliferation of smartphones and tablets as well as video services are challenging the networks capacity. In order to address this exponential growth of bandwidth demand at the last mile, telecom operators are evolving their access networks towards FTTx architectures as well as 4G mobile technologies. At the same time, telecom operators are also upgrading their transport networks in order to avoid that these part of the infrastructure becomes the real bandwidth bottleneck.
IP-to-IP network interconnection
Telecom operators need end-to-end packet based networks to enable the delivery of their broadband services. The geographical expansion of these services and the traffic increase are pushing telecom operators to evolve their infrastructure towards a more efficient IP-to-IP interconnection model that offers a higher quality as well as the possibility to create innovative and differentiated services that generate higher growth.
Content Delivery Networks (CDN)
The increasing demand for internet based video services is changing the way video content is created and consumed. Consumers are looking for a higher degree of choices and a better video experience. Content service providers, on their side, are looking for new and flexible delivery systems that offer the opportunity to seamlessly deploy new services geographically and across multiple screens.
This is pushing telecom operators, that typically offer outsourcing services for digital asset management, to evolve their content delivery networks (CDN) infrastructure towards new next generation models that offer higher flexibility and operational efficiency as well as a higher customer experience across any device.
Cloud Computing Environment
The cloud business is evolving to address specific needs of vertical industries. As a result, the amount of data being accumulated from outside the cloud, and the need to integrate services and processes is increasing and services based on machine-to-machine (M2M) communications are emerging as the next wave of innovation. This represents a unique opportunity for telecom operators that can leverage on their network infrastructure assets and offer high performing Cloud Computing environments.
Finally, the adoption of cloud technologies, the network functions virtualizations (NFV) as well as the software defined networks (SDN) are lowering the costs of this infrastructure evolution (thanks to the usage of commercial hardware) and are offering a higher degree of efficiency and business agility.