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The power
of digital
transformation
Part of the Orange group
T H E P OWE R OF DIGI TAL TRANS FORMATIO N
OUR LOC AT IONS
EUROPE MIDDLE EAST
Sofrecom S.A. Sofrecom Dubai & Qatar
24, avenue du Petit Parc Dubai Internet City
94307 Vincennes Cedex Building 3, Office 103
France P.O. Box 500425
T + 33 1 57 36 45 00 Dubai
ldcontact.sofrecom@sofrecom.com United Arab Emirates
T + 971 4 446 4792
Sofrecom Poland abdelkader.dali@sofrecom.com
Grojecka, 5
02-019 Warszawa Sofrecom Jordan
Poland Office Orange Jordan
T + 48 22 543 46 00 City Centre
dominique.foucher@sofrecom.com Jabal Amman 1st circle
Post Office Box 1689
11118 Amman
MAGHREB Jordan
T + 962 775 22 09 99
Sofrecom Algeria abdelkader.dali@sofrecom.com
6, rue des frères Kadri - Hydra
Alger
Algeria ASIA
T + 213 21 60 70 67
abderrahmane.arfa@sofrecom.com Sofrecom Indonesia
Graha Aktiva, 4th floor
Sofrecom Services Maroc JI. HR. Rasuna Said
Technopolis Blok X-I Kav.3
Bâtiment BO - 2ème étage Jakarta 12950
11100 Sala Aljadida Indonesia
Morocco T + 62 21 52920350
T + 212 5 37 27 99 00 thierry.dubois@sofrecom.com
driss.katif@sofrecom.com
Sofrecom Thailand
Sofrecom Tunisia Zuellig House, 5th Floor
Immeuble Matrix 1-7 Silom Road, Silom, Bang Rak
Rue du Lac Constance Bangkok 10500
Les Berges du Lac Thailand
Tunis T + 66 2 784 7999
Tunisia herve.cortada@orange.com
T + 216 71 162 800
siwar.farhat@sofrecom.com
AMERICA
Sofrecom Argentina
Reconquista 609 - C1003ABM
Buenos Aires
Argentina
T + 5411 45 15 90 00
adrian.hettema@sofrecom.com
Sofrecom in the Silicon Valley
Pascale Vieljeuf
T + 33 1 57 36 45 00
pascale.vieljeuf@sofrecom.com
2 Sofrecom, The Know-How Network
E DITO
T
oday digital is omnipresent! It is obliging operators to seek
new agile models far removed from their traditional silo-type
organizations and to rethink their business in a market in
constant movement.
Their battle cry is “innovate and adapt", accepting that risks must be
taken in an open ecosystem based on collaborative working and in
which all ideas might turn out to be good ones.
Operators face numerous challenges. They must adapt to changes in
consumer behavior in order to personalize the customer relationship.
They must find new value proposals by rapidly seizing opportunities
SU MMA RY
to develop new activities, often disruptive to their traditional core
business. And last but not least, they must insufflate digital into the
very heart of their organizations, for the digital wave also creates new
4›5
internal dynamism and spurs new working modes. It also transforms
2014 highlights
the managerial approach through increased collaboration and
6›9 transversality.
2014 in figures
All this requires proactive market intelligence, always bearing in mind
10 two key questions: “What will this change for my customers?” and “How
Metanetworks: will this grow my business and activities ?"
a new challenge for telcos
Our latest publication “The Power of Digital Transformation” spotlights
11
recent operator trends and initiatives whose purpose is evidently to
Self-optimization (SON) is the future
of cellular networks increase differentiation and to counter increasingly troublesome OTTs
and start-ups.
12
Network Functions Virtualization: Operators are diversifying into new segments such as B2B to meet
a new network service model enterprise digitization needs. They are launching new consumer
13 services such as m-banking and “smart home”. And they are adapting
Bringing digital into the heart their partnership strategies as they perceive the advantages of open
of our organizations innovation.
14 › 16 Today the “Customer Experience” is all. This is why operators are
Innovation seen from… making their broadband networks more powerful, improving their
Asia, Silicon Valley, Middle East
connectivity, simplifying their infrastructures and virtualizing their
17 principal functions in order to improve the quality actually perceived
Even in the digital world, the human by end-users.
remains THE differentiating factor
Combining excellent customer experience with economic performance:
18
that’s what the digital transformation is all about!
Digital B2B
frees up corporate innovation!
19 Enjoy your reading.
4G: the fine line between innovation
and profitability
20 › 21
Fresh impetus for
mobile financial services Jacques Moulin,
CEO
Sofrecom, The Know-How Network 3
T H E P OWE R OF DIGI TAL TRANS FORMATIO N
2014 highlights
JANUARY
16 > South Korea launches a project costing 1.600 Bn wons
(€1.1 Bn) to develop 5G. Operators and national equipment
makers will be involved. JUNE
30 > Chinese company Lenovo, the world’s leading PC maker, 16 > The European Commission signs an agreement
announces the acquisition of Motorola Mobility from with the Korean government to reinforce their
Google for $2.9 Bn, including $660 M in cash. Lenovo cooperation on 5G development. Research work will
instantly becomes the third biggest smartphone maker be shared in order to move forward faster in defining
behind Samsung and Apple, with a 6% world market share. new standards.
The deal was finalized in October. (Strategy Analytics)
25 > Google unveils its Android One initiative whose
goal is to make smartphones costing no more than
$100 universally available in emerging countries.
The first three models were released in India on 15th
September.
FEBRUARY MAY
14 > Auctions for 900/1800 MHz frequencies in India rake in a 05 > Nokia, which had just finalized the spin-off of its
record 611 Bn rupees (€7.8 Bn), enormously more than the handsets business to Microsoft, announces that it is
110 Bn rupees initially expected. investing $100 M in a fund dedicated to “connected cars”.
19 > Facebook pays $19 Bn to buy WhatsApp as its own 10th 18 > AT&T reacts to the merger of Comcast with Time
birthday present, its biggest acquisition since Instagram Warner by merging with the leading satellite TV
in April 2012 ($800 M). Two days earlier, the Japanese operator Direct TV at a cost of $48.5 Bn in shares and
Rakuten had shelled out $900 M to buy its rival Viber. cash ($67.1 Bn if debts are included). The deal will be
finalized in 2015.
23 > Mozilla Foundation and Chinese chip maker Spreadtrum
announce the launch of a Firefox Phone at $25 (€20) to 28 > Apple pays over the odds for headphone maker Beats
be sold in emerging markets. The first two models were Electronics in order to get its hands on its music
released in India in early September at under $40. streaming platform ($3 Bn).
MARCH
17 > Vodafone signs an agreement to buy the Spanish cableco APRIL
ONO for about €7.2 Bn.
02 > Microsoft announces that Windows is now free for
18 > Zain, Bharti Airtel, Orange, Vodafone, Etisalat, MTN, STC smartphones and tablets smaller than 9 inches (it
and Ooredoo agree under the aegis of the GSMA to share formerly cost $5 to $15 per unit).
their networks in Africa and the Middle East in order to
develop mobile communication. 03 > The European Parliament votes in favor of removing
roaming fees by the end of 2015 for phone calls, SMS
23 > Facebook announces that one billion active users per and mobile Internet in other European countries.
month access its site using a cellphone. The decision still requires the European Council’s
approval.
31 > Vodafone launches its M-PESA m-banking service for the
first time in Europe (in Romania). 11 > Orange announces its “Orange Alliance”
international partnership program and launches its
first services with operators in French Polynesia and
Portugal. Six days later the Group announces that
10 million people now use its Orange Money service
available in 13 countries.
4 Sofrecom, The Know-How Network
FA B RICE DU R A N D p a g e s 4 t o 9
DECEMBER
08 > The Brazilian Oi resells Portugal Telecom to Altice
JULY Group for €7.4 Bn.
1er > New tariff ceilings become applicable for 15 > IHS Holding, a pan-African leader in towers for
international calls between European countries. mobile telephony, buys 1,100 towers in Zambia
The maximum price drops from 24 to 19 euro cents/ and Rwanda from Airtel, bringing its total to
minute for phone calls, from 8 to 6 cents for SMS more than 21,000 in 5 African countries.
messages, and from 45 to 20 cents/MB for mobile > BT starts exclusive negotiations with Orange and
Internet. Deutsche Telekom to buy their joint stake in the
mobile operator EE UK for £12.5 Bn (€15.7 Bn).
15 > Apple and IBM team up to attack the enterprise
segment and announce the creation of a hundred
iPhone/iPad apps for specific activities. The first ten
were unveiled on 10th December.
NOVEMBER
10 > Messenger, Facebook’s instant messaging, now
has 500 million regular active users.
> China Mobile now has 70 million subs using its
TD-LTE 4G network launched at the beginning of
AUGUST the year. The operator ended 2014 with 90 million
LTE subs.
04 > Telefónica makes overtures to Vivendi to get its hands
on its Brazilian telecoms arm GVT. After surmounting 27 > Altice Group finalizes its buyout of France’s
several obstacles, the operator Spanish finally got its way number 2 cellco SFR at a cost of €13.4 Bn and also
on 18th September with its final offer of €7.45 Bn. The deal gets the green light from France’s Competition
will be finalized before mid-2015. Authority to buy the MVNO Virgin Mobile.
> WhatsApp reaches 600 million active users per month.
SEPTEMBER
09 > Apple unveils its smartwatch to be launched next spring
with a series of healthcare and well-being applications. It OCTOBER
also showcases the new iPhone 6 smartphone and the 6
PLUS (its first phablet) both of which have the new Apple 13 > Iliad finally abandons it attempt to take control of
Pay contactless payment feature. Sales topped 10 million T-Mobile US, the fourth biggest American cellco.
on the opening weekend.
16 > Apple presents its new iPad Air 2 and iPad Mini 3
16 > Orange confirms its takeover bid for Jazztel valued at whose 4G versions incorporate for the first time a
€3.4 Bn. This purchase, Orange’s biggest since 10 years, soft SIM card. This initiative is a potential threat
would make it Spain’s second biggest wireline operator to part of telecom operators’ business.
after Telefónica and the third biggest cellco after
Vodafone-Ono. Finalization is expected in 2015. 26 > Microsoft announces its abandon of the Nokia
brand for its Lumia smartphones (although it will
still be used for its entry-level models).
Sofrecom, The Know-How Network 5
T H E P OWE R OF DIGI TAL TRANS FORMATIO N
1 Mobile connections
230 M
Seven billion SIM cards in 2014
Informa estimates that there were 7.26 billion mobiles worldwide at
the end of 2014, or a global penetration of around 100%. However, the
real number of users (excluding multi-SIM) is probably closer to 4.7
billion, which means that two thirds of all the people on our planet
Mobile machine-to-machine (M2M) connections now have a cellphone (Strategy Analytics).
worldwide at the end of 2014. This could rise
to an estimated 800 million by 2020. (Ericsson Growth in 2014 was relatively solid at over 7%, as in 2013 (6.1%). The
Mobility Report, Nov. 14) trends of 2013 continued into 2014 as well, with 90% of new users
living in emerging economies, notably in India and China which
together totaled 220 million net connections and remain the world’s
two biggest mobile markets with 1 and 1.3 billion users, respectively.
We note however a slowdown of growth in some emerging countries
as they approach saturation (Brazil, China) and due to hardening
of legislation on SIM-card registration in U.A.E., Pakistan, Nigeria,
Indonesia and soon China.
A third of mobiles worldwide now
broadband Net adds in developed countries are improving again with user bases
starting to increase in parts of Europe after two consecutive years of
It is no great surprise that falling smartphone decline. The North American base grew by about 30 million in 2014
prices associated with new services and thanks to tablets (8 million post-paid activations) and connected
innovative price plans (shared data, video, music objects (AT&T was providing connectivity for nearly 2 million US
plans, etc.) boosted the mobile broadband base connected cars at the end of September 2014).
in 2014 by 25-30%, bringing the total to about
3 billion by the year-end (Ericsson, Informa), or WORLD: MOBILE SUBS AND PENETRATION AT THE END OF 2014
40% of the global mobile base. (BN, EXCLUDING M2M)
Source: Sofrecom (January 2015) 1
Although 3G still dominates, the 4G user base Region Subs Subs ▲
Penetration Dec. 2014
doubled to exceed 400 million in 2014 (Ericsson, Dec 2014 ▲2014
Informa). The year was marked by 96 new pe ● Asia- 3.799 +8.7%
launches, half of them in emerging markets. ro
Eu Midd
le
Pacific
Network rollouts accelerated in Europe as Afri East
rn
ca ● Africa/ 1.238 +8.4%
s te
operators continue to race to very high speed 159% Middle East
Ea
As
broadband (LTE-A launched in 31 countries). We 85%
ia
● North 0.415 +8.6%
also saw some innovative pricing and the first
Paci
93% America
signs of VoLTE. China’s 4G base zoomed from
fic
World
zero to 85 million, instantly making the country ● Western 0.538 +2.1%
99.7%
Europe
Europe
the world’s second biggest 4G market after the
e r ica
128%
United States (155M), well ahead of Japan (67M). 115% ● Latin 0.725 +1.5%
America
rn
Am
te
116%
es
● Eastern 0.546 +9.2%
th
W
r
WORLD: EVOLUTION OF THE MOBILE No Europe
BROADBAND USER BASE BY TECHNOLOGY (BN) La
ti n World 7.262 +7.4%
A m e rica
13% 2.7 Bn
2000
Source: Informa WCIS, Sofrecom (January 2015) 2
3G WCDMA
3G EV-DO
3G TD-SCDMA
1500
4G LTE
1000
Proportion of enterprise Smartphone users at the end of
customers in the world 2014, or 38% of the global base
500 mobile base at the end of (Ericsson, Nov. 14). If we include
2014 (this figure is 20% multi-equipment, this figure falls to
in Western Europe and 1.64 Bn. (eMarketer, Dec. 14)
0 North America). (Strategy
Dec.-10 Dec.-11 Dec.-12 Dec.-13 Dec.-14
Analytics, July 14)
6 Sofrecom, The Know-How Network
2 Mobile revenues
40%
Global mobile service revenues up 1.2% in 2014
Pressure on operators’ voice revenues attenuated a little
compared to 2013 (-3.1% vs. -4.5%), while that on messaging
remains strong, resulting in an average decline of 5.3% over the
last two years (Analysys Mason) due to competition on prices and
from OTT services such as WhatsApp, Facebook (Messenger) and of all mobile revenues comes from data (Analysys
WeChat whose user bases each exceeded 500 million this year. Mason, Dec. 14).
Asian markets are the most exposed due to exploding sales of
low-price smartphones.
In this context, data is once again the savior, and with a certain Slight improvement in Europe against
success. This segment which has grown 9% annually over a backdrop of consolidation
the last two years now brings in 40% of all mobile revenues
(excluding SMS). In developed countries such as Europe and Although new growth is taking its time coming
South Korea operators having launched 4G are increasingly in Europe at least the former decline in revenues
staking their hopes on video, music and TV content packs and is slowing: 5.6% in 2014, down from 8.4% in 2013.
on natural growth of data usages to create value. American This is mainly due to regulatory relaxation (the cut
operators systematically propose 4G shared data plans and they in roaming tariffs in Europe starting 1st July was
are seeing a take-off of connections to new objects (8 million anticipated), to some improvement in the economic
tablets activated in 2014, 2 million cars connected by AT&T in situation at least in the northern countries, and to fast
September 2014). expansion of 4G customers (data monetization via
content packs, as at Vodafone).
In emerging countries smartphone penetration is finally taking
off as operators strive to create demand. They propose free Competitive pressure has also eased somewhat as new
access to social networks (“Free Facebook” from Globe in the entrants approaching their critical mass now strive
Philippines and Bharti in India) and/or attractively priced data to win subscriber loyalty to the detriment of margins
plans or special offers to enable users to discover their services (in France). The year saw several consolidation
and hopefully generate income later (“Jumbo Plans” from True deals and we can expect more in 2015. Notable
in Thailand, WeChat SIM Card from China Unicom, Free Internet examples include Vodafone’s buyout of Ono in Spain,
from PLDT in the Philippines, etc.). Altice’s buyout of SFR in France, and the mergers
of Telefónica O2/e-plus in Germany and Telenor/
The year was marked by price wars notably in the United States, Telia in Denmark. These movements will lead to a
the world’s biggest market in revenue. Sprint and T-Mobile, multiplication of new fixed-mobile offers that look set
ranked 3rd and 4th respectively, continued to shake up the market to become the norm in Europe, despite their negative
with commitment-free offers and unsubsidized bundles, not to medium-term impact on revenues (source: Analysys
mention their promise to cut by half the mobile bill of Verizon Mason).
and AT&T subs switching to their networks. These attacks
obliged the latter two leaders to react and sacrifice some of their
margin. WESTERN EUROPE: ANNUAL EVOLUTION
OF MOBILE SERVICE REVENUES (%)
WORLD: EVOLUTION OF MOBILE SERVICE REVENUES (€ BN)
Source: Strategy Analytics, Analysys Mason, Crédit Suisse (2014)
4%
Crédit Suisse
consensus
900 2%
Strategy Analytics
Source: Analysys Mason (December 2014)
% evolution in 2014 Analysys Mason
0%
+ 9% data
600
-2%
- 5% SMS/MMS/
messaging
-4%
300 - 3% voice
-6%
-8%
0
‘11 ‘12 ‘13 ‘14F ‘15F
-10%
‘07 ‘08 ‘09 ‘10 ‘11 ‘12 ‘13 ‘14F ‘15F ‘16F ‘17F
Sofrecom, The Know-How Network 7T H E P OWE R OF DIGI TAL TRANS FORMATIO N
3 Mobile handsets
25% 83%
A two-speed smartphone market
With more than one billion units shipped over
one year, for the very first time, the smartphone is
clearly the locomotive driving the mobile market.
Handset sales are showing signs of weakness in
developed markets now approaching saturation, A quarter of smartphones Market share of the Android OS
but this is compensated by booming sales (at shipments worldwide in in smartphones in 2014, thanks
lower prices) in emerging countries, in particular 2015 will be priced below to strong smartphone sales in
China and India which together saw more than $100 (€80), and this will rise emerging countries. Android
500 million shipments in 2014. to 40% by 2020. (Strategy also runs 75% of all tablets.
Analytics, 2014) (Strategy Analytics, 2014)
The vast choice of models at under $200 notably
from Asia has driven down the average selling
price from $319 in 2012 to $263 in 2014 (Strategy
Analytics). This decline will continue as phone Low-cost changing the rules of the game in favor of Chinese
makers go after low-income consumers, as manufacturers
confirmed in 2014 by new initiatives from Google
and Mozilla with the launch in India of the first The multiplication of entry-level offers along with other factors has
Android One models at less than $80 and Firefox enabled Chinese players (Xiaomi, Lenovo) to advance very quickly
OS ones at less than $30! in their home market, which happens to be the world’s largest, with
handsets costing half the price of Samsung, Sony and Apple models
At the top end of the market sales are progressing yet of comparable quality.
more slowly (400 M, +12%), but at higher
prices made acceptable by the relatively weak Now facing a slowdown in domestic sales, these phone makers
competition (Apple and Samsung dominate) and logically speeded their internationalization in 2014. Lenovo bought
the success of “phablets” which carry a higher out Motorola Mobility and Huawei is leveraging its Honor and
price tag (11% of all smartphone sales in 2014, 18% Ascend brands to attack the middle and high-end segments. New
in 2015, IDC). However, this top-end segment players such as Xiaomi and OnePlus have emulated the approach
looks certain to be buffeted by the very aggressive that has worked so well in China: marketing almost exclusively via
incursion of Chinese manufacturers. social networks, exclusively online sales to limit overheads, phones
with good components but selling at half the price of big-name
WORLD: MOBILE HANDSET DELIVERIES (M) brands. The result has been stunning growth making Xiaomi in just
AND PROPORTION OF SMARTPHONES (%) four years the world’s third biggest smartphone vendor on a par
with Huawei, just behind Samsung and Apple.
2000 80% This amazing success is now upsetting the sector’s industrial
smartphones featurephones
Source : Strategy Analytics (2014)
% smartphones balance, in the way that we saw in the worldwide PC market a
decade ago. It has also spotlighted a number of strategic errors by
1500 60% some players who are now obliged to review their business plan.
Samsung has already announced that it will reduce its range of
phones by a third in 2015 and will start sharing components to cut
1000 40% costs and be able to introduce more affordable models. And this
battle is only just beginning: Strategy Analytics predicts that we are
entering “a Chinese decade”.
500 20%
WORLD: SMARTPHONE MAKERS’ MARKET SHARES (BN)
Source: Strategy Analytics, Sofrecom (January 2015)
0 0%
‘11 ‘12 ‘13 ‘14F ‘15F
40% Samsung
112 M
Apple
30%
Xiaomi
Lenovo
20%
Nokia, RIM, Sony, HTC
10% Chinese manufacturers
(Huawei, Xiaomi, Lenovo…)
Worldwide sales of connected watches in 2018, up 0%
from 28 million in 2015, the year of the takeoff. (IDC) ‘11 ‘12 ‘13 ‘14F ‘15F
8 Sofrecom, The Know-How Network4 Mobile usage
520 M
Half of YouTube traffic now comes from
mobiles
The year 2014 was marked by the craze for selfie
images, and videos via mobile are becoming very
popular as well. A survey in August revealed that
The number of Chinese smartphone users (which passed 500 million more than 40% of American internet users said
in 2014), or one third of the global smartphone user base. (eMarketer, they shoot videos with their smartphones several
December 2014) times a week.
Smartphones can now film in high resolution and
video sharing is common. This explains the success
of Twitter’s “Vine” video service used to send short
The rise of mobile OTT applications videos (less than 6 seconds) and which attracted
40 million users within a year of its launch (Wall
In 2014, WeChat, Line, Whatsapp and Snapchat saw their Street Journal). The German app “Dubsmash” is
worldwide user base grow by more than 15% per quarter (BI another service riding the wave of this trend. It
Intelligence). WeChat in China had 300 million active users is used to easily create selfie videos dubbed using
by the year-end. Encouraged by their vast audiences, mobile sound extracted from movies or songs (choose the
communication apps are improving and becoming a central feature sound then film yourself over it), and then send
of all smartphones. They are diversifying with new functions them to friends. It was one of the most popular app
such as photo and video transfer, games and purchase of digital downloads during the end-of-year festivities.
and physical goods. This trend creates opportunities to build
new business models around such applications. Some big groups Use of mobile video is encouraged by 4G and the
obviously aware of this are showing a keen interest in their owners, promotion of video content by social networks
as evidenced by Facebook’s buyout of WhatsApp in February and such as Facebook. In January 2015, Twitter
the acquisition of Viber by the Japanese e-commerce giant Rakuten. announced a new video service that allows you to
film, edit and post videos – all on the smartphone!
All these applications face increasingly strong competition. The
latest example is the launch in December 2014 by one of Skype’s
cofounders of the “Wire” application which allows audio, video WORLD: PROPORTION OF YOUTUBE
and text communication, web content sharing and which plays TRAFFIC GENERATED BY MOBILES
heavily on the aesthetics of its platform. There is also competition
from anonymized communication applications which respond to
increasing user demand for better protection of their private online 50%
Source: Techrunch, Reelseo (January 2015)
life. These include the “Whisper” and “Secret” apps with which
users can express themselves anonymously (these companies raised
40%
$60M and $37M respectively of venture capital in mid-2014).
30%
WORLD: USER BASES (MILLIONS) OF LEADING OTT VOICE AND
MESSAGING APPS 20%
10%
800
Source: Sofrecom (January 2015) 1
WhatsApp
0%
WeChat 2011 2012 2013 2014
600
LINE
facebook Messenger
400
86%
Viber The proportion of
smartphone usage time
Snapchat
spent on apps in the USA.
200
Smartphones were used
for an average 2.7 hours
per day in 2014, four
0
minutes more than in
Dec.-11 June-12 Dec.-12 June-13 Dec.-13 June-14 Dec.-14
2013. (Flurry, April 2014)
Sofrecom, The Know-How Network 9T H E P OWE R OF DIGI TAL TRANS FORMATIO N
C A RLOS JO R DA N & PAT R ICK L AV I E L L E
Metanetworks:
a new challenge for telcos
To improve access to services and ensure a differentiating
customer experience, operators – and multiplay ones in particular –
must transform and optimize the rollout and management of
a mix of networks.
A metanetwork for a mega Global governance Deep network transformation
experience
The operator must adapt his To manage the metanetwork optimally
In theory, telecom operators cover governance to the realities of his three actions are essential:
almost the entire national territory, new metanetwork and create
but in practice users sometimes an investment metaplan that - Migrate to all-IP and adopt APIs to
suffer connectivity problems, for encompasses all its parts. This facilitate interoperability between
example in public transport or explains why some European different network bricks.
inside buildings, due to coverage operators have reduced their
holes, slow data speeds or network geographic ambitions in order to give - Choose an efficient, flexible cloud-
saturation. The challenge of total themselves the means of consolidating type architecture.
coverage is now changing as the their multiplay positioning. Vodafone
focus shifts to service continuity and is one example: after spinning off - Employ data analysis techniques
an exemplary customer experience. its business in the United States it to monitor QoS, adapt the network
This is only possible if operators put bought out some European cable configuration and improve
together and manage in a unified operators in order to focus on fixed- performance.
manner a kind of “metanetwork” line services, notably in Germany and
composed of numerous interconnected Spain. Telefónica, Orange and BT have The challenge for operators is to make
technological bricks: landlines (PSTN, adopted the same logic. these transformations simultaneously
DSL, FTTx), wireless (WiFi hotspots, while maintaining current activities,
shared WiFi, WiMAX, etc.), cellular Optimal use of resources ensuring customer confidentiality
(2G, 3G, 4G) and satellite links. All this and data security and respecting the
requires heavy investments at a time Operators have several ways of obligations imposed by their license.
when traditional revenues are under rationalizing the investments
intense pressure. needed to optimize the creation and
management of a mix of networks:
Unified management of this “jigsaw”
network with the aim of providing - Network sharing to reduce both
continuity of service and an CAPEX and OPEX.
enchanting customer experience is far
from simple. - Techniques to optimize fixed and
mobile traffic transport (off-load,
femtocell, etc.) can help decongest
the network and improve QoS.
- Standards such as LTE-Advanced
can optimize spectral efficiency.
- Network virtualization enables
dynamic network configuration and
brings down operating overheads.
- Platform standardization
and sharing simplifies the
interoperability of applications.
10 Sofrecom, The Know-How NetworkI N T E RV I E W
Self-optimization (SON) is the future
of cellular networks
“The Self-Organizing Network (SON) solution
boosts network management efficiency and
the quality of customer service.”
More precisely, what can these three access, QoS, coverage and energy
Arnaud Vamparys functions do and how are they used? consumption.
VP, Radio Access Networks and
Microwaves, Orange A. V. In practical terms, self- In Tunisia and France, we
configuration is a very important when have observed user bandwidth
deploying new sites or frequencies; it improvements of around 20% and a 50%
speeds the commissioning operations. reduction in call drops due to lack of
Mobile operators are planning to handover areas2.
switch from semi-automatic network Similarly, self-regeneration
optimization to full self-optimization. considerably reduces the time needed SON can also be configured to adapt the
Why? to deal with sites subject to incidents. energy consumption (day/night, special
It even helps compensate the coverage events, etc.). These tests are repeated on
A. V. The heterogeneity of cellular “holes” that appear when such sites are all our different networks.
networks makes them increasingly inoperative.
complex to manage. Operators have What is Orange Group’s position as
to deal with a multitude of equipment Self-optimization is useful in many regards SON?
vendors, network components, situations. For example it can
technologies and frequencies. They simplify the network challenge of A. V. SON is still not fully mature. We
have to manage different types of major sporting events such as the are still testing it in several countries
network simultaneously (2G, 3G, 4G, Tour de France cycle race, since the where we operate.
WiFi) and to aggregate as many as five network adapts automatically to
spectrum bands (for 4G). the “displacements” of traffic as the Deployments will run from 2015 to
competitors move ahead. After the 2017. Not all our countries need all
And customers insist on tailor-made event, the technical crews recover the functions, it depends on their context.
services and uninterrupted availability! network in its original state. We are in the process of referencing the
network parts that could benefit from
The SON solution provides a What are the main benefits of this SON automation.
global, unified view of the network new technology for the operator?
configuration, real-time access to Europe and Africa will be given
complete and accurate data, remote A. V. The most important gains are in priority, in zones where we already
intervention functions, and automated terms of Quality of Service (QoS) and have a good 3G network and where we
use of available tools. Its three accessibility: less voice break-up, better are rolling out 4G.
principal automatic functions are self- data rate adaptation, better coverage,
configuration, self-optimization and and so on. Achieving excellent QoS
self-healing. without SON technology requires a lot
of manual effort in exchanges and in
These make operational network the field. SON technology can reduce
management substantially more operating overheads by almost a third!1
efficient, resulting in a higher level of
customer service and satisfaction. To verify the reality of the cost
savings, each function is tested on a Read the full article on
The system exploits the native features zone previously configured to serve tinyurl.com/sof-SON2
of recent network equipment or other as a reference. We measure the
software used parallel to the network. improvements in terms of network
Sofrecom, The Know-How Network 11T H E P OWE R OF DIGI TAL TRANS FORMATIO N
DI DIE R L E L IÈ V R E
Network Functions Virtualization:
a new network service model
NFV is a solution that brings flexibility and cost savings, enabling
network infrastructures to absorb traffic growth and adapt
dynamically to service evolutions.
Simplify infrastructures to cut A pragmatic approach Do technological innovation and
costs and improve quality of operational performance always
service The network transformation has go hand in hand?
several facets:
The complexity associated with a We are now verifying that
multitude of different networks (2G, - Migration to all-IP: this is in virtualization innovations actually
3G, 4G and later 5G) and the extension progress and consists in replacing generate savings by simplifying
of the radio spectrum used oblige old equipment by IP equipment. operation, cutting energy costs and
operators to rationalize and simplify shortening time to market. The first
both core network and access network - Virtualization: this has started feedback from service platforms and
infrastructures. This simplification, in the information systems and network core elements is encouraging
referred to as Network Functions service platforms and will be and several operational trials have
Virtualization (NFV), consists in extended to all network functions been conducted in Europe with
separating hardware infrastructures from the core network to the good results. The easiest functions
from software applications and access network. to virtualize -─ security, firewalls,
functions. customer authentication, gateways -─
This virtualization is in fact will be treated first, progressively as
In short, we will be able to “run” associated with the arrival of LTE equipment is renewed. Purchases will
software on standardized hardware and LTE-A, so it will focus only on be made in “virtualized mode” rather
in a so-called cloud mode on “Virtual these new technologies; 3G and 3G+ than traditional mode.
Machines”. This changes the network infrastructures will remain with the
topology (datacenters, points of current technology.
presence,…) in wireline and cellular
networks. Operators will then be able NFV can also reduce operating
to deliver more services over their expenses. Energy consumption in
networks, and very efficiently since particular: virtualization allows
the network will reconfigure itself network consumption to be managed
dynamically in the event of faults. The dynamically. It can direct customers
operator can guarantee availability to available technologies in 2G,
rates higher than today. 3G, 4G… zones, switch off parts of
the network at night, and allocate
software resources to user groups
dynamically as their needs change. If
all this is done correctly, networks can
be more energy-efficient and deliver
better quality of service by supplying
capacity to users on demand.
Read the full article on
tinyurl.com/sof-NFV2
12 Sofrecom, The Know-How NetworkI N T E RV I E W
Bringing digital into the heart of our organizations
“To support change our
approach is to count
on individual initiative
and motivation,
collective intelligence
and adaptability.”
Pascale Vieljeuf Régina Sneifer
Marketing and Digital Change Management & Capacity
Strategy Director Building Program Director
Does digital impose structural What are the fundamentals of How should talent be organized
changes on enterprises? the digital-driven transformation? in the Enterprise 2.0?
R. S. Digital technologies are radically R. S. Digital tools facilitate remote and R. S. Many companies are betting
changing our lives and engendering a networked collaboration; they improve on big data and digital technologies
societal phenomenon that finds its way transversality, develop groupworking to transmute into an Enterprises
into the workplace too. Whether small, and allow close interaction with players 2.0. Our approach to supporting this
mid-size or large, all companies are now outside the enterprise in increasingly transformation goes well beyond
impacted and their traditional bases complex ecosystems. These new tools the actual digital tools: we work
are called into question: hierarchy, can even underpin innovations able to efficiently organize talent; we
management, organization and working to enrich the customer experience. encourage individual initiative and
methods. Enterprises are constrained Having said that, and without motivation, collective intelligence and
to follow the movement driven by denying their importance, digital adaptability. The role of the enterprise
customers and their own staff. It’s services are of secondary importance is to create the conditions that allow
change or die! But how? The answers in the groundswell of change. The this individual initiative and creativity
are not yet written in stone, but one fundamentals remain unchanged, even to express themselves and lead to
thing is certain: they cannot avoid unchangeable: adhesion to a common innovations. This is where the keys to
rethinking their organization. project, sharing of common values, change lie.
full commitment of the personnel,
How can enterprises adapt? careful distribution of resources, and P. V. It will be interesting of see how
the ability to control complex, dynamic the “digital natives” of the 1980s, or
P. V. Digital obliges enterprises to be environments. the even younger “generation Z” of
more attentive to their environment the 1990s, will overturn, in a positive
and to adapt unceasingly. Their P. V. The cohesion of participants way, our ways of working. No doubt
operating modes are the most also requires active and open by focusing on enterprise projects
important aspect, even more than communication to ensure that everyone and stronger cooperation. Enterprises
their market vision and action plans. supports the enterprise project and must find ways of seducing them, then
It is rather like the training of a top- the way it is to be implemented. This holding them by creating attractive and
notch athlete: he works to create the is particularly true when working in dynamic working and technological
conditions for success, the ability to extended enterprise mode: greater environments.
react with strength and clear judgment. opening to adjacent ecosystems and
Digital necessitates greater reactivity in partners, occasional use of external
a fast-moving ecosystem; uncertainty experts, and virtual collaboration
must be exploited as an ally; agile mode through think tanks.
operation is vital to be able to pivot
with this ecosystem. The right to make
mistakes must be recognized in order to
ensure continuous progress and not to
discourage initiative.
Sofrecom, The Know-How Network 13T H E P OWE R OF DIGI TAL TRANS FORMATIO N
Innovation seen from… …Asia
Smart Home verticalization
strategies for ASEAN operators
connected homes and help property offer that is centralized, tested and
developers to propose added value standardized. Orange has made
in their buildings. They can manage this choice and launched its “Smart
projects on behalf of owners. The Home” service in Poland in 2013 and
Thierry Dubois partnerships with other economic in France in 2014. This innovative
Director, Sofrecom’s Asia Hub players induced by this positioning service has strengthened the loyalty
create the impetus needed to conquer of Orange’s customers and boosted its
new territories and build new brand image.
revenue streams.
What attracts operators to smart A third emerging model, B2B2C
home services? In the B2C model, the smart home this time, could also be considered:
tends to become an integral part teaming up with a telesurveillance
T. D. The countries belonging to of the multiplay value proposal: it company or an energy supplier
the Association of Southeast Asian becomes an additional functionality makes the operator’s smart home
Nations (ASEAN) can be divided into alongside telephony, TV and web solution appear relevant and credible.
two broad groups: first, markets with access. It adds value to the household Similarly, selling services through an
well equipped, tech-savvy consumers Internet access and stimulates alternative distribution channel such
very receptive to new home sales. Two scenarios are possible as do-it-yourself stores is a way of
monitoring and smart metering according to the maturity of the reaching new customers.
services, then others experiencing market. In the first case, residential
fast urban expansion and intense broadband access is widely deployed Why should operators invest in
building activity for which smart and competition is fierce (Singapore, smart home services?
home services need to be studied at Malaysia), so smart home services
enrich an existing convergent offer. T. D. Innovations in intelligent
In the second, broadband access is devices help to boost brand
still being deployed according to a recognition and user fidelity.
“The smart home national master plan, in which case
a smart home offer is differentiating In parallel with the emerging
is the first step to a because it is an innovative value- connected home concept, a much
whole new world of added service. vaster trend driven by the “Internet
of Things” and its corollary “Big
intelligent services.” The operator’s ability to make simple
what is in fact rather complex gives
Data” and “Machine-to-Machine” is
gaining momentum. We find more
him the key role of guaranteeing a and more communicating devices in
unique, impeccable, rich end-to-end operators’ product catalogs, and as
an early stage as a real opportunity. customer experience. Service quality they become more intelligent they
In both cases the profusion of necessitates excellent network need to be managed, monitored and
equipment and technologies imposes management and supervision. supervised. Doing this also enhances
good organization, standardization Grouped offers reduce the cost for the the operator’s global value proposal.
and coherence. user of access to smart home services
of which the most popular are today In view of operators’ core business
How can these operators position telesurveillance (e.g. monitoring of and today’s unstoppable digital
on the smart home value chain? domestic personnel activity) and transformation, the smart home
energy budget control (e.g. air- appears as a first step towards a
T. D. In the B2B model, ASEAN conditioning spending). whole new world of intelligent
operators position as service services ranging from management
aggregators on vertical markets Another possible B2C positioning on of a single building to transportation
such as smart home, e-health or a fragmented smart home market and energy and smart cities.
smart grid. Exploiting their business is as a solutions integrator (devices,
expertise in datacenters, connectivity gateway, platform, applications) to
or device management, they design guarantee a genuinely integrated
14 Sofrecom, The Know-How Network…Silicon Valley
Digital innovation: a state of mind
served by an agile ecosystem
What characterizes innovation the “Fab Force” initiative.
today?
How do we train our personnel or
G. N. Digital innovation is stimulated recruit the right people?
by the falling cost of market entry. Georges Nahon
New entrants can immediately G. N. One way of rapidly acquiring Corporate Vice President
exploit the powerful datacenters specific talents is to buy other North America
initially created to meet the needs companies. All companies become
of the Internet giants. Innovation is platforms for data exchange and
also driven by a new generation of cloud-mode digital transactions with
entrepreneurs, former employees APIs for everyone. How can a telco innovate?
of these Internet companies or from
top American universities. Venture How can telcos position to counter G. N. Operators continue to offer
capital to finance digital services is OTTs? their customers new products and
not hard to find: there are numerous services derived from their own
speculative investment funds and G. N. It was telcos that created the innovation or commercial and
participative financing schemes. And foundations of wireline and mobile technical partnerships. They must
the application in the USA in 2015 of Internet. In doing so they have invest in breakthrough technological
the “JOBS Act” Title III (Jumpstart allowed OTTs (who have the big projects, even in the absence of
Our Business Startups) should free advantage of instant global reach) identified synergies. This is perhaps
up a lot of investment cash from to launch compelling services. OTTs where tomorrow’s Next Big Things
individuals. have a startup culture, agile and will be found, in areas just adjacent
Can we anticipate disruptive
technologies?
“The sheer speed of digital change makes
G. N. Startups are agile and ready
to adapt their business models; big it difficult to anticipate disruptive
companies are more ponderous.
The danger for operators lies technologies.”
with entrepreneurs creating new
categories of services on the fringes
of their existing businesses. These
so-called “full stack” startups develop without complexes, and access to to the core business. “Good ideas
everything from A to Z in-house. multiple financing sources. Their often look like bad ones at the
Uber and Airbnb are good examples. innovations can have devastating start,” remarks Ben Horowitz of
impact on established businesses, as the successful capital investment
Can we foster a startup ecosystem? we have witnessed with Voice over IP company a16z1 in the Silicon Valley.
challenging traditional telephone and
G. N. This is precisely what Orange WhatsApp replacing SMS.
is doing with its “Orange Fab”
accelerators in the USA, France, Operators will counterattack by
Poland, South Korea, Ivory Coast, giving priority to the infrastructure
Japan, and soon Israel. development that will make their
networks as powerful as possible.
In the Silicon Valley, we are already They can also develop new OTT
in our fourth campaign in two years services themselves with the goal of
and we have opened our model to worldwide coverage from the start. Read the full article on
big companies such as VISA, Hilton, tinyurl.com/sof-innov2
AXA, Leroy Merlin, FNAC, Moët
Hennessy and Safran-Morpho: this is
Sofrecom, The Know-How Network 15T H E P OWE R OF DIGI TAL TRANS FORMATIO N
Innovation seen from… …Middle East
CXM: tools to anticipate
and resolve causes of user
dissatisfaction
After a hectic period of high-speed What solutions do operators need
Abdelkader Dali broadband rollout and acquisition of to meet this challenge?
Managing Director, new customers, operators are now
Sofrecom Middle East focusing on earning customer fidelity A. D. We need new analysis
through excellent service quality. techniques to exploit in more detail
To succeed they must imperatively the data generated by networks.
find new ways of measuring network Measurements will be made
In the Middle East’s hyper- quality. This is a vital challenge in a using mobile devices equipped
competitive markets, does network market dominated by prepaid. with software that emulate user
quality always guarantee a behavior to verify that coverage
satisfactory customer experience? How can you get a more accurate and bandwidth are at the expected
vision of what customers feel and level. The same tests will be done
A. D. Users today are permanently switch from QoS to QoE? on competitors’ networks to see
connected to the Internet and expect if there is room for improvement.
continuity of service in all situations. A. D. It is important to “put yourself In a predictive approach we will
However, operators often find in the customer’s shoes”, to simulate also analyze repetitive network
themselves in a paradoxical situation: in real time his behavior, usages and congestions, zones exposed to risks,
the reports from network technicians interactions with the operator in and the methods of planning the
show excellent quality indicators, order to determine precisely which bandwidth increases needed to adapt
part of the network is degrading the architecture to new services.
the perceived quality. The causes Optimizing the perceived quality also
can then be found and eliminated. means optimizing the configuration
In a sense, emotional criteria are in terms of the traffic capacity of
“The prime network becoming as important as rational network equipment and monitoring
ones. the quality of networks.
quality criterion is
now the customer’s The paradigms are changing.
Welcome to the age of Customer
perception of service.” Experience Management (CXM)! The
prime network quality criterion is
now the customer’s perception of
service, so operators need ways of
acquiring a 360° vision of it. All large
yet customers in some zones regional operators now appear to
complain that service is far from agree on the necessity of rethinking
perfect: sluggish downloads, less- their metrics and satisfaction
than-perfect voice quality, irregular indicators. They have created specific
Internet access and streaming. In CXM departments which now face
short, variable and unsatisfactory two questions: how to proactively
service and an increasing gap detect and clear incidents, and how
between the operator’s quality to correlate network performance
metrics and the quality actually with service delivery performance.
experienced by end-users. Why? And of course how to train their
Simply because today’s quality employees for this new approach.
indicators do not correspond to the
real customer experience.
16 Sofrecom, The Know-How NetworkVA L É R IE CH A P U I S
Even in the digital world, the human remains
THE differentiating factor
“Digital” has become a powerful lever for differentiating
and industrializing customer service. Yet it remains clear
that customer enchantment requires a savvy mix of automated
and human interactions.
Digital: a paradoxical godsend A smartphone can engender a available and in which carriages on
“phygital” (physical-digital) experience a given route. The information is
In today’s ATAWADAC world – Any by providing the link between the updated in real time using the SNCF’s
Time, Any Where, Any Device, Any physical space and the virtual space. open data (among others) in addition
Content – businesses face a kind iBeacon indoor positioning technology to feeds from rail passengers who
of paradox: there is a multitude of is a popular choice: the American provide good quality real-time data
inexpensive digital ways of interacting retailers Eagle and Macy’s use it to free of charge. The SNCF can then
with consumers, yet as their digital provide a personalized customer analyze passengers behaviors and help
abilities grow their brand loyalty welcome and improve service through them improve their experience.
declines. recommendations, specific geolocated
offers, recording of loyalty points, easy Video chat, or “someone by my
A digital relationship, but a human information searching, and more. side”
experience
Mobile apps and Big Data for a The use of video in guidance services
Digital services are definitely “must tailor-made service helps increase confidence and
have”, yet what keeps subscribers proximity. This is the promise of
loyal is still human contact. Recent Although often criticized, the Mayday, Amazon’s 24/7 video chat
studies confirm that a large majority telephone is still the most-used tech support service available with
of consumers see humans as the communication means, in particular the company’s Kindle Fire HDX
key factor in a satisfactory brand to resolve problems. To optimize mini-tablet and Fire smartphone. In a
relationship (although the contact it Movistar employs personalizing click a user can connect to an expert
may be via digital channels). The synergies: its Mi Movistar app enables able to take remote control and help
systematic provision of gateways to people to call customer service, but resolve his problems. Boasting an
real-life advisors reassures consumers, first it informs the teleadvisor of their average connection delay of less than
which in turn drives sales. This is recent activity, which obviously helps 10 seconds, Mayday now handles 75%
illustrated by the e-commerce sites to provide an adapted response. of customer questions. However, this
which have doubled their turnover by system also illustrates the limitations
introducing human channels: click- In French stores, the geolocated of a purely digital relationship: how
to-call improves site performance application Critizr encourages a does a user get help when the video is
(average basket value) by as much horizontal conception of the customer not working?
as 20 to 30%, and click-to-chat relationship enabling consumers to
substantially increases the conversion report their problems and remarks in In the end, digital will be seen as a
rate. real time directly to the right person. plus if it simplifies direct contact with
This person can then reply and even an enterprise, but not if it appears
Smartphones driving “phygital” take corrective action directly. as a hindrance spoiling the user’s
experience. Much of the time human
In bricks-and-mortar stores where 50 Finally, predictive analysis opens the assistance is necessary to guide,
to 75% of purchase decisions are still way to co-creation of an impeccable facilitate and pacify.
taken, human and digital interactions customer experience. France’s
are different: here digital means are national railroad operator SNCF
employed to complement human provides a good example with its
assistance. free Tranquilien “onboard comfort
assistant” app which is able to show
which trains have the most seats
Sofrecom, The Know-How Network 17T H E P OWE R OF DIGI TAL TRANS FORMATIO N
IN T E RV I E W
Digital B2B
frees up corporate innovation!
“The transformation of working modes is
also an essential growth lever.”
Virginie Jacquet
Consulting Director
How can enterprises position to What role can telecom operators play How can operators implement these
benefit from the growth of digital in this transformation? new solutions?
usages? What are the best strategies?
V. J. Enterprises can find new growth V. J. Operators who have anticipated
V. J. Consumer usages and expectations paths by working closely with an fixed-mobile convergence and very
are changing. And this trend is operator to develop innovative solutions high speed broadband can now develop
accentuated by services invented by specific to their activities. cloud-based offers.
disruptive players which can overturn
the business models in many sectors, Among the digital innovations derived Leaving aside the technical aspects,
for example banking, commerce and from such partnerships we might operators must be able to comprehend
automobile. mention the auto insurance sector customers’ real needs and aggregate
which now offers premiums based on telecoms and IT services. This means
Digital innovation is a good response to real mileage as measured by a mobile federating their traditional partners as
market turbulence because it enables app. well as new digital players within an
enterprises to propose new services and open, agile ecosystem.
increase their efficiency. Operators can also assist enterprises
transforming their working modes. The more imaginative operators are
The transformation of working modes already exploiting these new tools to
is also an essential growth lever. Digital Indeed, IT “consumerization", “digitize” their sales force and optimize
services can enable staff mobility while ubiquitous mobile communication and customer relationship management.
encouraging collaborative working as a new collaborative usages all impact
means of increasing market reactivity. enterprises which must adapt to this Some go even further. The operator
technological and cultural revolution. Singtel offers its myBusiness portal
as a digital marketplace that notably
For example, nomadic workers provides intermediation services
can be equipped with business between its 375,000 cloud solution
apps for collaboration and unified users.
communication. They will be able to
securely access the company’s IS, any
time, any place, and using any device.
18 Sofrecom, The Know-How NetworkP HI LI P P E LOIS O N & S Y LVA IN M A RT Y
4G: the fine line between innovation
and profitability
Monetizing 4G mobile is a challenge. Operators need to find a strategy
based on more than just price: they must exploit 4G through service
convergence and differentiation on key segments such as B2B.
4G increases the risk of This approach appears to be paying to many compelling services,
de-intermediation by OTTs off today in terms of ARPU in the including horizontal solutions such as
most advanced markets1, but not videoconference, online collaboration
Operators face increasing competition necessarily everywhere. Europe’s data and digitized workstations2 and
notably from new “Over The Top” (OTT) consumption trends are similar, but vertical solutions to support new
players who are securing a durable the impact on revenues is much more usages such as telemetry, retailing and
place in the market thanks to the modest. In France in particular, price healthcare.
explosion of smartphone usage and the competition from low-cost offers has
migration of cellular networks to IP. prevented operators from monetizing Helping the development
expanding data usages as they had of emerging economies
In a repetition of what we saw with hoped.
the Internet, applications such as Finally, 4G launches in regions
WhatsApp and Viber are making Building durable revenues means without landline networks offer great
consumers believe they are entitled making users pay for access potential for operators.
to “all free and unlimited”. Many
smartphone users now consider this to Operators seeking long-term growth On the African B2B market3 for
be the norm. strategies must understand that the example, the development of fixed-
veritable opportunity of 4G lies in the mobile substitution solutions around
As high 4G bandwidth is likely to convergence of wireline and mobile cloud services may revolutionize
engender more apps like these, services. They should position as working modes in the coming years.
operators find themselves obliged to providers of reliable access to an open
count on data service revenues, to ecosystem offering users seamless
reinvent their business model and to enjoyment of rich content and
find new growth paths. services.
Increasing usage does not always The big winners will be operators who
mean increasing revenues have wisely invested in high-quality
fixed and cellular networks and
Operators inventing new usages developed service partnerships.
are getting the best return on their
network investments, not the ones Cloud, storage and streaming solutions
who simply apply premium charges to are examples of ways of making
their “unlimited” bundles. users pay for access; they enable the
operator to distinguish himself clearly
Multi-SIM offers allowing the same from low-cost rivals and to build user
data bundle to be shared between fidelity.
several devices are one good way
of spurring users to consume more Exploiting 4G to aid business
data. Operators apply price-bands to “digitization”
monetize this multi-SIM data traffic:
usage restrictions kick in once the To date the enterprise market has
data allowance has been used up, been the best segment on which to
encouraging users to move up to the monetize 4G mobile’s advantages.
next price band. High bandwidth opens the way
Sofrecom, The Know-How Network 19You can also read
