2015 saw proposed reduction of the number of traditional telecoms operators in several countries. In 2016, Mark Windle, head of marketing at OpenCloud predicts that this will provide an opportunity for operators new and old to innovate and capture market share. Be that MVNO advances, changes in tariff prices or NFV taking off on a global scale, next year will be a year of rapid change for telecoms.
#1: NFV FINDS ITS FOOTING
Headline news such as the TalkTalk hack have served to put the security of cloud-based services into question. These questions extend to the use of the cloud and NFV within the telecoms industry. However, despite these concerns, 2016 will be a year of progress for these technologies as operators realise they are invaluable when used within their networks, providing agility, flexibility and the means to innovate their core services.
#2: VIDEO CALLING SWITCHES ON
The rise of the smartphone and 3G mobile connectivity meant video calling was supposedly the next big thing in telecoms. Yet, aside from occasionally using FaceTime, most people don't make video calls on their smartphones, and especially not spontaneously - such activity is reserved for planned Skype calls via a computer or tablet (and even then on Wi-Fi, not using a cellular connection).
Mark Windle,
Head of Marketing,
OpenCloud
Voice over LTE (VoLTE) deployments have started, and a notable uptick in new deployments is expected in 2016. The technology also includes provision for Video-calling over LTE, often referred to as ViLTE. Assuming the dialler on the smart phone is correctly designed, video-calling will become as simple as Apple's FaceTime. Moreover, as a standard capability it won't be restricted to one particular brand's phone, giving it the ubiquity such a service requires. However, it begs the question of whether it will ultimately acquire the same reach that telephony has today?
#3: JUMPING ON THE WIFI-CALLING BAND(WIDTH) WAGON
In 2016, mobile use of video streaming services will push networks to the point where all the extra bandwidth delivered by 4G has been consumed. Consumers will increasingly seek alternative connection via WiFi and mobile operators will be keen to support them. Off-load of voice (and video-call) traffic over WiFi will become more important, and will tend towards a more integrated 'native' experience rather than via the use of a separate app. Within the network, the service-layer equipment that delivers these services will be extended to become access-agnostic; enabling the same service experience regardless of how the subscriber is connected.
2016 Trends and Outlook Polls
#4:OPERATORS GO FULL THROTTLE
Despite impressive 4G data speeds, the rise in bandwidth consumption next year might see some operators put the brakes on. Shortly after the launch of 3G mobile broadband, a number of operators toyed with offering mobile broadband at different prices for different speeds. Manipulating pricing may help manage demand and offer some upside for revenues, however it will require significant dialogue between operators and regulators in order to agree how this will work.
This links to the industry's journey towards 5G and the internet of things (IoT) where the characteristics of the connection, such as peak speed, guaranteed speed and latency will be varied, and charged differently according to service type. Therefore, in 2016 operators will also need to consider flexible implementation of the service control, charging and policy triangle to allow experimentation with various charging models in the near future.
#5: INTERNET PLAYERS STEP INTO THE RING
In an industry that discusses 'disruption' daily, it is not often we see a consumer brand upset the telecoms status quo. Arguably, no brand has stepped forward to truly challenge the monopoly of incumbent operators in the UK - yet in 2016 we shouldn't be surprised to see a major brand step up to the mark.
In the mid-2000s, Disney launched a mobile service in the US; that didn't pan-out too well, but times have changed. Is 2016 the time for Google Fi to make an impact in the European market, or perhaps Amazon to launch a direct rival service?
About The Author:
Mark Windle is the Head of Marketing at OpenCloud
