What’s Next for the Telecom Industry in Europe?

Oct 11, 2019

telecom analytics metrics

As the telecom industry in Europe faces a mixed financial outlook driven by rapid change in technology, telecom service providers have reached a strategic crossroads. Due to the proliferation of new and advanced technologies and the data deluge, players in the European telecom industry are faced with shrinking profit margins as well as the impact of pricing regulations and consolidations.

What is clear is to us in our analysis of the future of the telecom industry in Europe is that to gain a front-liner advantage and sustain the dynamic shifts bound to happen within the industry, Europe’s telcos cannot afford to remain just passive observers, but are expected to take proactive measures to tackle the seismic shifts in business processes. To do so, they must devise a clear strategy, deciding how they will grapple with these changes now—or stay well prepared to miss out on future opportunities.

Are you a telecom industry player? If yes, how is your company seeking to improve results today and in the future? Talk to our analytics experts to learn how we can help.

Analyzing the Future of Telecom Industry in Europe

telecom industry

Complex Business Models: What our Analytics Experts Think

With the growing need for mobile networking services, players in the telecom industry are expected to grow their market share by a considerable percentage through mobile networks and fixed-line networking services. However, a small fraction of telecom operators will continue to struggle to drive profits by capitalizing on such opportunities. But it seems like both the fixed-line and mobile networking service providers in the telecom industry share an equal chance to witness a dip in market share even in the most optimistic scenarios. As such, cost-cutting will hold a top spot in the business agenda of telecom companies. This signifies operational and commercial costs, as well as CAPEX, will be on the chopping block over the next few years.

Changing Operating Models: What our Analytics Experts Think

Improving network quality by addressing all network issues is poised to be the most prominent goal for businesses operating the European telecom industry. With the transformations in business, network, and operating models there is a huge possibility for sales, marketing, and customer service to evolve based on whether the companies continue to expand their services or sell network access to enhance market value.

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Holistic Approach to Telecom Analytics: What our Analytics Experts Think

The global telecom industry is on the cusp of a major transformation and is changing faster than ever owing to the rapid developments in technology and business processes. Legacy revenue systems that are driven by over-the-top (OTT) service providers will disappear, forcing operators to consider new strategies to address customer needs and identify new revenue streams. While many have embarked on the journey to digitize business processes, the sector remains vulnerable to quickening shifts in terms of technological advancements, growing competition, and changing customer needs.

We believe to succeed in today’s telecom industry, businesses must rethink their strategies and business models to analyze the impact of regulations and customer needs on business growth. Trying to bet on too many different possibilities can blur the consequent financial implications while failing to take steps that will help improve outcomes. Preemptive moves will help avoid the slide toward becoming mere network providers. As such, telecom industry players should continue to focus on reducing costs, digitization initiatives, simplifying products and IT processes, managing capabilities and executing appropriate HR strategy. Now is the time for players in the European telecom industry to set the right foot forward and define the strategies that would help them align their resources to business objectives.

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