Mobile service providers face at least three different sets of challenges related to bandwidth consumption. Skyrocketing consumption is outrunning revenue earned from supplying that demand. That is a capital investment issue.
At the same time, there is growing pressure on lucrative narrowband services, especially text messaging and voice, from over the top alternatives and declining voice usage in many markets. That represents a gross revenue and profit margin squeeze.
Third, the customer perception of value of carrier-provided voice, texting and mobile broadband access needs to be enhanced. At least in the near term, that is arguably the fastest way mobile service providers can boost both revenue and profit margin.
Monday, July 2, 2012
3 Sets of Challenges for Mobile Service Providers
Gary Kim has been a digital infra analyst and journalist for more than 30 years, covering the business impact of technology, pre- and post-internet. He sees a similar evolution coming with AI. General-purpose technologies do not come along very often, but when they do, they change life, economies and industries.
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1 comment:
Excellent stuff. Mobile service providers are indeed under a lot of pressure. The space needs to be disrupted in my opinion. In order to fuel radical mobile advancements in the 21st century, we need pipes that can deliver the goods (and gr8 cust. service).
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