Five ways the cloud will disrupt telecoms services

Neil Morgan/Accenture
01 Sep 2014

Cloud computing is a disruptive force for communications services providers (CSPs). It also presents great opportunity for CSPs to drive direct business outcomes for their clients.

Given the competitive challenges, CSPs worldwide must be particular in choosing where to play in the cloud arena. The cloud can transform CSP offerings in five key areas: cloud service brokering, vertical offerings, collaborative services, security services, and new market opportunities.

Brokers and verticals

Besides selling their own capacity and services in the cloud, communications companies can adopt the role of cloud service brokers. This involves reselling as well as integrating a range of in-house and third-party cloud services and providing overall security. Communications companies can leverage their established security capabilities or team with complementary providers to offer clients end-to-end service.

This opportunity underlines how cloud supports the overarching trend of communications companies moving up the value chain as integrated, single-source information and communication technology providers. This shift requires communications companies to provide professional services to their SMB and large enterprise clients. Buying or building expertise in the professional services arena is a major differentiator for cloud brokers in the future.

For customers, benefits include delivery of the right applications to the right users at the right time, stronger governance and security, and lower TCO.

Several communications companies are selling bundled cloud service offerings to dedicated verticals such as healthcare, finance, and transportation. These solutions will grow in popularity as communications companies improve their capabilities to securely address vertical industry challenges.

Collaboration and security

Communications companies’ established strengths in networks, customer relationships, and mobility position them as providers of compelling cloud solutions. These firms can leverage mobile integration, analytics, and location information to forge partnerships and drive innovative collaborative services. Rather than developing complex end-user offerings themselves, communications companies will create building blocks for partner companies to use, with open APIs to integrate and access relevant capabilities. The partner businesses will use these building blocks to enable new services, while sharing risks, costs, and revenues with communications companies.

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