- To play a leading role in the rapidly developing Internet of Things, operators must evolve beyond merely providing connectivity
- Ericsson's comprehensive set of professional services and modular IoT solution enable operators to become IoT service enablers and service creators
- IoT Transformation enables operators to rapidly reach new customers, capture revenues beyond connectivity, and monetize assets ranging from apps to data
Telecom operators have a tremendous opportunity to play a leading role in the rapidly developing Internet of Things (IoT), but to do so they will have to evolve beyond merely providing connectivity. Ericsson (NASDAQ: ERIC) IoT Transformation is a new professional services offering designed to help operators make the most of their existing network and data assets. After completing a transformation journey, operators will be equipped to rapidly reach new customers, capture revenues beyond connectivity, and monetize assets ranging from apps to data.
The IoT is quickly becoming a reality and its impact on both industries and society is going to be profound. Ericsson forecasts that the number of IoT connected devices globally will more than triple from under 5 billion today to 15 billion by 2021. A recent IDC study predicts that global IoT spending will reach USD 1.3 trillion by 2019 and the McKinsey Global Institute concludes that the IoT will have a potential annual economic impact of up to USD 11 trillion by 2025.
To help operators make the most of the IoT's vast potential, Ericsson offers a comprehensive set of professional services and a modular IoT solution. The services include go-to-market strategy definition, process re-engineering and organizational business consultancy; device and application verification; enterprise onboarding, solution integration and customization; application development and maintenance; operations and field services.
Our scalable IoT solution consists of secure, tried-and-tested software components that are already being used by customers around the world. These include our Evolved Packet Core, Service Enablement Platform, Device Connection Platform, Ericsson Expert Analytics and enterprise billing and settlement solutions, standardized APIs and industrialized or customer-specific applications as required.
Jean-Philippe Poirault, Head of Consulting & Systems Integration at Ericsson, says: "The emerging IoT - part of the Networked Society we have spoken about for many years - represents a very significant opportunity. By providing connectivity, operators can address approximately 15% of the potential revenues on offer. But they can do more. We would like to help operators move higher up in the value chain to become IoT service enablers and service creators. They have the assets required to do so, and we have the capabilities and the expertise required to help them complete the necessary transformation."
The IoT revolution is creating new business ecosystems that are more complex and interdependent than ever before. As a result, Ericsson believes that operators will not succeed in implementing their IoT strategies if they focus only on the technologies or solutions required. Instead, a transformation of this type requires that operators carefully define their target operating model and consider the implications for both their own business processes and structures and their customers.
As the global telecom partner of choice, Ericsson has years of experience of helping operators launch new offerings and adapt to changing market conditions. Our combination of global reach and local presence means that we are uniquely positioned to help operators prepare for the IoT. Ericsson's 66,000 services professionals will help to define a winning strategy, drive a successful transformation and develop, maintain and manage IoT solutions on behalf of operators. Together we will create an agile and continuous cycle of improvements and innovations, in synch with the evolving IoT ecosystem.
During Mobile World Congress 2016 in Barcelona, Ericsson will showcase its unique industry insights, the latest innovation and inspirational discussions that enable powerful new business opportunities. We are in the midst of the societal transformation we call the Networked Society: a society in which mobility, broadband and cloud empower every person and every industry to reach their full potential. Opportunity is everywhere, and companies are transforming according to the role they have chosen to play in the value chains and ecosystems of the Networked Society. Join us in our Hall (Hall 2, Stand 2N60) to learn about 5G, the Internet of Things and cloud, and to discuss the impact digital transformation can have on people, business and society.
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Founded in 1876, Ericsson has its headquarters in Stockholm, Sweden. Net sales in 2015 were SEK 246.9 billion (USD 29.4 billion). Ericsson is listed on NASDAQ OMX stock exchange in Stockholm and the NASDAQ in New York.
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