Featured Articles

Apple iPad Air 2 costs $275 to build

Apple iPad Air 2 costs $275 to build

IHS has told Recode that the Apple iPad Air 2 16GB Wifi costs only $275 to build -- not bad…

More...
LG sells 16.8 million smartphones in Q3 14

LG sells 16.8 million smartphones in Q3 14

As Samsung is losing market share, another Korean company, which many had written off, is gaining.

More...
LG G Watch R EU price set at €299

LG G Watch R EU price set at €299

LG G Watch R is probably the best looking Android Wear device on the market and many have been waiting for…

More...
Nvidia GTX 970 SLI tested

Nvidia GTX 970 SLI tested

Nvidia recently released two new graphics cards based on its latest Maxwell GPU architecture, with exceptional performance-per-watt. The Geforce GTX 970…

More...
Gainward GTX 970 Phantom previewed

Gainward GTX 970 Phantom previewed

Nvidia has released two new graphics cards based on its latest Maxwell GPU architecture. The Geforce GTX 970 and Geforce GTX…

More...
Frontpage Slideshow | Copyright © 2006-2010 orks, a business unit of Nuevvo Webware Ltd.
Wednesday, 11 April 2012 12:23

Telecoms operators are becoming dinosaurs

Written by Nick Farrell



Analysts warn them to adapt or die


Law firm Pinsent Masons has warned telecoms outfits that they are going to have to adapt to modern trends or die.

In a new report, the law firm said that in an increasingly competitive and ‘always on’ world, telecoms carriers need to focused on their key strengths and adopt more service-based business models if they are to survive.
In otherwords be more useful to their customers rather than their shareholders. The whitepaper report discusses how increased competition and a changing legal background have impacted upon the telecoms industry.

It said that carriers have the problem of exponentially increasing data  volumes over the last five years and greater competition from new entrants to the telecoms market. This has forced carriers to dramatically reassess their business models as they try and match investment and focus to the needs of a data-driven world. Jon Fell, partner, Pinsent Masons said that the telecommunications market is going through its biggest era of change since the introduction of mobile telephony.

“The first response of carriers to the changes of the last five years was to try to become all things to all people. However that risks losing focus as it adds new challenges potentially outside their traditional experience,” he said.

But as the  markets change their new business models have to concentrate on their key strengths – the operation and management of networks, essentially selling their capacity to others and becoming managed services providers, sweating their network assets to deliver profits, he added. He said that carriers need to focus on developing their infrastructure to cope with the massive current and predicted increases in data, both through mobile devices and higher usage of technologies such as video streaming in the home.

This will mean they will have to spend a fortune increasing their infrastructure. Carriers need to look how they can best use the spectrum and consider whether spectrum sharing strategies (where allowed) are efficient, he said.

Nick Farrell

E-mail: This e-mail address is being protected from spambots. You need JavaScript enabled to view it
blog comments powered by Disqus

 

Facebook activity

Latest Commented Articles

Recent Comments