Traditional telcos need to future-proof their business against the commodisation of their services through convergence and value-added services (VAS). Convergence entails diversifying the ways in which operators engage customers through multiple service offerings and this can happen at several levels, beginning with bundling of services and moving towards full technical convergence.
Fixed-mobile convergence is driven by operators leveraging their infrastructure capabilities and combining these with partners in adjacent areas. It usually entails discounted bundling of various products, such as mobile and fixed line services plus fixed broadband or pay-TV services. However, operators must advance beyond pure price-plays to gain a sustainable advantage.
A growing area of convergence is taking place between industries, with telcos forging partnerships with media, banking and health services or outright acquiring established companies. Examples of these include connected health devices and e-wallet solutions – as mobile is the de facto distribution mechanism for many lifestyle services.
For telcos, value added services need to evolve beyond basic content to avoid being disintermediated by ‘over the top’ (OTT) innovators. For example, areas such as cloud, cybersecurity, IoT, virtual reality, artificial intelligence (AI), fintech, smart homes are areas to consider.
We develop disruptive convergence strategies and architectures to ensure customer stickiness and sustained service delivery.
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