Small Cells World Summit takes place this month with strong focus on generating value and the sustainability of networks. Registrations are open for SCWS 2023, taking place in London on 23 – 24 May
Indian telecom companies, including Bharti Airtel, Reliance Jio, and Vodafone Idea, are struggling to raise tariffs amid the 5G rollout, with average revenue per user (ARPU) increasing only 1-3% sequentially in the December quarter. Significant capital expenditures and a competitive landscape contribute to the delay in tariff hikes, which impacts investors’ concerns. Revenue growth is expected to moderate, while limited 5G use-cases and monetization opportunities also hinder ARPU growth.
As part of its plan for broader cost cuts, Meta Platforms Inc., the parent company of Facebook, is contemplating different divestiture options for Kustomer, the customer service software firm it acquired for $1 billion in 2020. Meta has not yet finalized its decision but is considering either spinning off the business or attempting to sell it, according to a source familiar with the matter.
In order to maximize revenue and add more value, operators must expand their connectivity offerings beyond speed and customer experience; they need to expand their footprint into edge cloud platforms and AI-based solution stacks. Doing this will help them secure a larger share of the potential profits.
This article discusses the transformative potential of 5G technology in telecommunications and the rise of a 5G marketplace model. It highlights how 5G’s high-speed, low-latency, and reliable capabilities can enhance Internet of Things applications, virtual reality, and mission-critical business communications. The article also explores how communication service providers can leverage 5G to offer value-based pricing and new services through network slicing and multi-access edge computing. The proposed 5G marketplace model allows users to compare and choose from various service offerings, similar to established B2C and B2B marketplaces. However, it also mentions the need for robust infrastructure, complex billing mechanisms, and industry acceptance for the successful implementation of this model.
Operators face billing challenges due to limitations with legacy systems that cannot support intent-based pricing.
Geoff delves into why 5G revenues have failed to meet expectations, what customers and businesses anticipate from network operators and the potential for operators to capitalize on new monetization opportunities.
Realtime services and applications place new demands on overall network performance and reliability. As a result, mobile operators are under pressure to improve their networks to ensure a high-quality user experience supported by high service availability.
To truly monetize 5G, we need to provide consumers with 1) services they want to use that 2) demonstrate the value of 5G. This is how consumers rationalize the price they pay for accessing our network.
There are specific areas from which telcos will mine the revenue. But the key 5G monetization strategy for telcos would be to invest in all 5G standalone (SA) network aspects. It will bring different ecosystem partners together, help upgrade charging models, strategize usage of telecom APIs, and launch network slices to tap enterprise customer segments. All these would be driven by bringing high-level end-to-end automation and a solid orchestration platform to start services to consumers quickly.