Summary
As connectivity revenue faces continued commoditization, telecom chief executives are weighing where to place their strategic bets for growth in the year ahead. Five priority areas stand out where operators can build durable competitive advantage beyond the core connectivity business, from enterprise services to new digital revenue streams.
Operators can deepen their business-to-business segment contribution by targeting small and medium enterprises with 5G-enabled technologies, edge cloud infrastructure, and managed cloud and security services. Five adjacent growth categories telecom operators are building — content, commerce, analytics, mobile money, and digital banking — show examples of how leading Asian operators have scaled each.
Beyond new revenue lines, operators are using digital sub-brands to sharpen customer experience for younger, digitally native consumers, while engineering-led telcos with strong in-house technology capabilities are exporting their expertise to other operators as a service. There is also a strategic case for telecom operators to position themselves as aggregators of third-party content and services, consolidating demand across otherwise fragmented digital ecosystems and strengthening customer retention in the process.
- Business-to-business connectivity, cloud, and security services
- Content, commerce, mobile money, and digital banking adjacencies
- Digital sub-brands aimed at younger, digitally native consumers
Which of these five opportunities should telecom leaders prioritize to build sustainable growth beyond the core connectivity business?
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