Decoding Three Key Technological Trends in the Telecoms Industry

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By Don Alusha | 3Q 2022 | IN-6603

 

Tech Access Supplants Tech Ownership

NEWS


Subscription services have become incredibly popular over the past decade. Examples abound. Uber, the world’s largest taxi company owns no vehicles. Alibaba, one of the world’s most valuable retailers, has no inventory. Airbnb, one of the largest accommodation providers, owns no real estate. Possession is not as important as it once was. Access is more important than ever. The telecoms industry is one of the last ones to take advantage of this trend. Though very subtle, what is happening is an increased consumerization of telecoms technologies. As discussed in ABI Research’s report, Cloudification of Telecom Technologies and Equipment, the new world of cloud and software marks a departure from “technology ownership that CSPs purchase” to “technology access that CSPs subscribe to.”

With the rise of subscription services, the industry is at the beginning of a significant shift because it will warrant a revisiting of existing monetization models. On the one hand, Communication Service Providers (CSPs) are taking a rental type of approach to…

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