Decoding the Process of Commoditization and De-Commoditization in Telecoms

by Don Alusha | 2Q 2020 | IN-5794
On March 26, 2020, Microsoft announced its intent to acquire Affirmed Networks. Microsoft competes at the Infrastructure-as-a-Service (IaaS) level by providing raw cloud compute for a multitude of applications and business process workflows for enterprises. Microsoft has locked the enterprise space, in part due to its extensive presence in on-premises Windows server deployments. On the other hand, the overall leader in the market is Amazon Web Services (AWS), the first to offer cloud computing and IaaS dating back to 2008. AWS predominates among social media and content startups that seek scale from the onset without upfront Capital Expenditure (CAPEX) investments in their own data centers. Furthermore, AWS has struck several partnerships with Communications Service Providers (CSPs) to help accelerate their data center consolidation and migration to the cloud. Verizon and Vodafone are two examples.

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