The technology is here and consumer interest is high. Operators are now gearing up to introduce full service broadband to the masses, providing users with the maximum convenience of any service to any device, anywhere.
New markets, segments and services are opening up new opportunities and revenue streams. But to make the most of the opportunities opened by full service broadband, many operators may have to change the way they do business.
Hans Vestberg, executive vice president and head of Global Services at Ericsson, says: "Operators need to find the right business models for the future. This process will not happen overnight, it could take several years. That is why it's important to start now."
The transformation to full service broadband affects different aspects of the business. It may involve how operators develop new services and offerings, and how they handle new partners such as content providers.
For many operators the transformation may take the shape of a technology shift, where they must build out broadband capacity. Others may choose the route of acquisition as a way to rapidly increase market share and gain access to infrastructure. Add to this the continued quest to cut costs, which could lead to restructuring of operations and overhauls of support systems.
While the business transformation takes place, operators have to maximize the use of their existing assets and continue with their day-to-day operations. During periods of critical change it can be hard to keep that focus.
Vestberg says: "Ericsson is in a unique position to help operators make this transformation without losing focus. Whether we take on the role as prime integrator or managed-services partner, we have an end-to-end approach and can guide an operator in the best possible way to meet these new challenges."
From a services perspective, Ericsson can provide an array of offerings, such as consulting, managed services, network deployment, and systems integration designed to support network migration, operation, and expansion, as well as development of strategies, business models and partner agreements. With more than 24,000 employees around the world, Ericsson Global Services is the only organization with the ability to build, operate and manage any network, or integrate any network technology, regardless of the equipment currently in place, anywhere in the world.
Vestberg says: "Australian operator Telstra is a good example. It embarked on an ambitious broadband transformation program in 2005, with Ericsson as its partner. The project saw Ericsson as the prime integrator for the technology transformation, which included planning, deploying and integrating a new high-speed network, allowing Telstra to focus on essential marketing preparations. The partnership proved a great success and the network was launched after just 10 months, which is a major accomplishment.
"At the end of the day, Ericsson knows how to support an operator's business objectives. Large technology transitions require a lot of technology expertise and can be costly for operators to maintain in-house. Ericsson is the partner that can provide the technology, the knowledge, and the resources to make it happen."