The global Telecommunications industry is dynamic and ever-changing. Innovations and trends are constantly being brought to the forefront, changing how businesses operate, connect and communicate with their customers. With this comes an immense opportunity for Telcos and industries to adapt their business models and invest in innovative technology to increase revenue and growth. William Reeler, Head of Product Development at Adapt IT Telecoms, answers the question “What are the top 4 trends set to impact the Telecommunications industry in 2023 and how is Adapt IT Telecoms answering to these trends?”
Trend 1: The Move To 5G
5G has been a relevant topic of discussion across the globe over the past few years, with no chance of slowing down, especially as more and more regions adopt this new generation network.
The popularity of this network is primarily connected to the benefits that 5G brings with it. This includes increased speed, bandwidth, density, security, and low latency. The move to 5G benefits not only those using the network but also Telcos. By moving customers onto the 5G network, Telcos will be able to disconnect the older generation networks, which include 2G and 3G networks. This will allow a Telco to drive down costs, especially those related to the monitoring and upkeep of the older networks.
There is no doubt that 5G has many benefits, but it is also no secret that the move to 5G will be slow, especially in developing regions like Africa. In Africa, there is still a significant dependence on older networks, specifically 2G and 3G. This is mainly due to slower smartphone adoption and a lack of network infrastructure.
This creates a conundrum for Telcos, who must ensure that all customers across networks are provided for and have a good customer experience. How would one meet these needs and seamlessly migrate customers onto newer networks? The answer lies in utilising different technologies. For example, Adapt IT Telecoms has recently invested in USSI technology, which offers the same usability as USSD but allows for the seamless transfer of customers from one network to another to migrate customers from the legacy networks. The other benefit of USSI is that it offers enhanced security and the ability to serve more customers, which is directly linked to the increased bandwidth available in the 5G data spectrum. This will ultimately enable Telcos to save on costs while expanding their customer base.
This developing trend will be exciting to watch unfold in 2023 and beyond.
Trend 2: Diversification
There is no doubt that the Telecommunications industry is incredibly competitive. This globalised market includes several providers trying to attract customers and gain a competitive edge. Many Telcos are looking to do this through diversifying services and offerings. We are seeing more and more Telco providers expanding their solutions outside of mobile, data and connectivity services.
Today you are likely to see Telcos moving away from traditional services to mobile money services, insurance, different payment gateways and more. By expanding on what they offer, they can meet more of their client’s needs, grow businesses and increase their revenue. This also allows for the expansion into different industry verticals.
Today Telcos are focused on empowering companies and connecting people. This has meant a complete shift from the original Telco business model to a more technology-centric approach. Technology is at the centre of making the extended offerings mentioned above possible. This is why we at Adapt IT Telecoms have expanded our solutions to include FinTech, Customer Experience, Self-Service offerings and NextGen v.Services. These solutions are there to help Telcos diversify their offerings in a seamless and integrated way.
The sky is currently the limit regarding diversification, making this an interesting trend to explore in 2023.
Trend 3: Cloud Technology
As is with 5G, the topic of cloud technology has continued to make headlines in 2022 and will continue to do so in 2023. Cloud technology has become an increasingly popular choice for many Telcos and businesses alike due to the many benefits that this kind of technology offers. These include scalability, no hardware that needs to be managed and maintained, ease of use, flexibility, and the automation it provides. These benefits result in cost and resource savings and enhanced operational efficiency.
This technology is perfect for smaller operators who will see the value but does pose a challenge for more prominent operators and big data in general. This is primarily due to the vast amount of data that large Telcos need to manage. For this data to be moved to the cloud, it will take an immense amount of bandwidth, which, if unavailable, could impact the data processing process. There is also always a worry related to the security of cloud technology, especially when dealing with data protection legislature within different regions.
So, what is the solution? To take advantage of the benefits associated with cloud technology, we are seeing many larger Telcos move certain big data elements over to the cloud and keep the more sensitive data in their own secure data warehouses. From an Adapt IT Telecoms perspective, this has meant that our solutions need to meet the needs of all Telcos and all their different environments. This is why we are ensuring all our solutions are available on-premises or cloud-native. This allows Telcos to choose the best possible solution for their needs.
There is no doubt that cloud technology has many benefits for Telcos, but more work needs to be done to make this technology suitable and more secure for big data. This technology holds immense potential, which is only starting to be unlocked.
Trend 4: Data-Centric Approaches
We have said many times before that data is a business’s biggest asset, and when used effectively, it can increase revenue and profitability while enhancing operational efficiency. For this to become a reality, Telcos must develop a data-centric approach to their business.
What do we mean by this? In simple terms, Telcos need to have a complete view of all data. This means combining and merging all data pockets across the business to get a bird’s eye view of what is working and what is not.
Armed with this kind of insight, a Telco can make informed business decisions related to how money is being spent, what areas need to be prioritised, if there are areas cannibalising profits, network usage, identify elements impacting customer churn and customer experience, what products and services are selling and more. What is mentioned here is just the tip of the iceberg in terms of what insights can be identified when looking at big data.
Here at Adapt IT Telecoms, we understand the benefits of having these kinds of insights for a Telco which is why our Advanced Analytics solution using our innovative CDRlive technology was developed. This technology aims to provide Telcos with business-specific analytics driven by complete and accurate data to make business decisions that will significantly impact profitability and drive revenue.
The trend of having a data-centric approach to business is set to continue in the coming years. If anything, with the growth of big data, this trend is expected to make even more of an impact on the industry.
There is no doubt that the Telecommunications industry is a dynamic and exciting space to be in, especially considering the trends mentioned above. What is clear is that in 2023 we can expect to see developments in the 5G migration, the diversification of services and offerings, cloud technology adoption and a move towards more data-centric business approaches. We at Adapt IT Telecoms are ready for what 2023 has in store and look forward to helping Telcos make these transitions.
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Experienced Software System Engineer with a demonstrated history of working in the information technology and services industry. Skilled in Technical Solution Design, Management and Large Scale System Integration and Architecture. Strong engineering professional with an Engineer’s Degree focused in Computer Engineering from University of Pretoria/Universiteit van Pretoria.