





How to benefit while maintaining competitive advantage
Network sharing has obvious benefits. Why then have so few projects been successful? Although complex, the technical issues can be resolved. The real challenge is to make cooperation between competitors work. Taking a business-focused and structured approach will improve the chances of success.
The benefits of network sharing include improved coverage, reductions in capital and operational expenditure and potentially increasing the speed of network rollouts. It also enables smaller players to "leap frog" more established operators, as well as allowing some operators to expand in already-saturated markets.
Yet many network sharing deals are not successful, for a variety of reasons. It is a complex undertaking, with some aspects on par with mergers and acquisitions. Each party needs to realize the effect that sharing will have not only on their network, but on their business as a whole. The key to a successful network sharing agreement is a business-focused and structured approach that involves every part of a telecom operator's organization.
Each partner must help to create a joint program and foster cultural alignment between the cooperating organizations. It is not enough to delegate responsibility to a joint technical team. The entire company must support the project, with an emphasis on actively managing tensions, identifying an appropriate operating model and establishing the role of key delivery partners.
In short, telecom operators considering network sharing agreements need first of all to address the initiatives by anchoring the program with the business and then ensuring that these goals are aligned with technological and operational feasibility.
A structured approach to network sharing – How to benefit while maintaining competitive advantage
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