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Resilience to recession real, but expect reduced revenues in recovery

The Insider
TM Forum

The telecoms industry may have shown resilience during the recession but the focus on driving efficiencies and reducing costs looks set to continue, according to Ovum.

A new report, entitled Telco Strategies for Recession and Recovery (March 2010), examines how the economic downturn has impacted service providers and how they are shaping up for recovery. Ovum warns that although the economic downturn hasn’t resulted in the downward pressure on telco top lines that many expected, revenue growth is in decline for many mature market operators, and slowing for those in emerging markets.

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Martin Creaner
TM Forum

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Where will the money come from?

Where will the next tranche of telecoms revenue come from. The conventional wisdom is that we will continue to grow and grow the available fixed and mobile bandwidth, and we will then monetize this through the delivery of multimedia entertainment services. I just don't buy this vision of the future.


Stephen Fleece
TM Forum

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Broadband innovation policies in the USA

Next week on Tuesday March 16, 2010, the United States federal government (FCC) and current administration will unveil the nation's first National Broadband Plan for this nation. I'm eager to see how the administration is going to play several fundamental policy decisions that will determine the next chapter in Communication Service Providers (CSP) collective ability to make a decent return for shareholders.
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Google is no whisp of an isp
A report released this week by Arbor Networks states that Google now boasts a network bigger than all but two of the world's ISPs. Don’t say you weren’t warned! The search giant looks like it’s just one step away from becoming an ISP itself. If it were, hypothetically speaking of course, it would now be the fastest growing one in the world and the third largest globally. The two leaders carry substantial volumes of Google transit themselves. More than half of its own traffic over its own network is sent directly...
Posted to The Insider by The Insider on 03-18-2010
Filed under: Google , isp , bandwidth
Comments:2
Recent Comment by The Insider
How remiss of me, thanks Jonah for bringing that to my attention. Wow, that's one big, fat duck isn't it? I may not sleep tonight!


AT&T's Lurie on Customer Experience
Quick blog post here...  I read a great interview article with Glenn Lurie (AT&T's iPhone deal guy) in Fierce Wireless and includes Q&A on CSP culture and Customer Experience "LGBUPS model--very similar to what we call touch points across the Customer Experience Lifecycle... http://www.fiercebroadbandwireless.com/story/ts-lurie-taking-risks-and-changing-business-models/2010-03-16 Lots to learn from this interview. Stephen twitter: sfleece_tmforum
Posted to Customer Experience by Stephen Fleece on 03-17-2010


Risk Professionals: Hang Together, or Hang Separately
"We must, indeed, all hang together, or most assuredly we shall all hang separately" - Benjamin Franklin. What do these things have in common? Insurance Fraud Management Audit Business Continuity Management Revenue Assurance Security Is it: They all have something to do with managing risk? They are all subgroups that sit within Enterprise Risk Management (ERM) per the eTOM? Not much? Communications Providers had better do them well or suffer terrible consequences? ...
Posted to Enterprise Risk Management by Eric Priezkalns on 03-17-2010
Filed under: risk , ERM , enterprise risk management


Test Blog Post 0941
TM Forum is the world’s leading industry association focused on improving business effectiveness for service providers and their suppliers. Serving the information, communications and entertainment industries, the Forum provides practical solutions, guidance and leadership to transform the way that digital services are created, delivered and charged. TM Forum is the world’s leading industry association focused on improving business effectiveness for service providers and their suppliers. Serving the information, communications...
Posted to Testing Group by James Phillips on 03-17-2010


Flat-rate interconnect? I’d like to see that!
There’s a revolution starting in the USA that could have a dramatic revenue impact on all operators in a few years. The Federal Communications Commission (FCC) ’s National Broadband Plan, formally released yesterday in Washington, provides a roadmap for revamping the Universal Service Fund (USF) and Intercarrier Compensation, two long-standing hot-button issues for telecom service providers. A story, published in Light Reading mentions that, ‘Sharon Gillett, Wireline Competition bureau chief for the FCC, said the broadband...
Posted to Revenue Management by Tony Poulos on 03-17-2010
Filed under: interconnect , flat-rate , wholesale , intercarrier


Where will the money come from?
Where will the next tranche of telecoms revenue come from.  The conventional wisdom is that we will continue to grow and grow the available fixed and mobile bandwidth, and we will then monetize this through the delivery of multimedia entertainment services (High Definition Video and Music and Games).  I just don't buy this vision of the future.  For better or for worse, the world has grown to believe that on-line video and music (and possibly games) should be free.  There are so many 'free' multimedia downloading...
Posted to Martin Creaner's Blog by Martin Creaner on 03-15-2010
Comments:5
Recent Comment by Martin Creaner
Some very good comments here.  I fully agree with David that its all about adding value and continually innovating.  And adding value very often is about the low investment stuff such as re-packaging of an existing offering rather than the high investment stuff.  Also like Robs thought about competitive/combative type marketing opportunities.  The key to making the Pepsi Versus Coke type example work is (a) being on-line, and (b) being able to offer a tangible instant reward that has a much higher value...


Resilience to recession real, but expect reduced revenues in recovery
The telecoms industry may have shown resilience during the recession but the focus on driving efficiencies and reducing costs looks set to continue, according to Ovum. A new report, entitled Telco Strategies for Recession and Recovery (March 2010), examines how the economic downturn has impacted service providers and how they are shaping up for recovery. Ovum warns that although the economic downturn hasn’t resulted in the downward pressure on telco top lines that many expected, revenue growth is in decline for many mature...
Posted to The Insider by The Insider on 03-15-2010
Filed under: revenues , recession , downturn , resilience , M&A


Broadband innovation policies in the USA
Today is a more personal blog entry, and it involves a bit of public policy opinion.  Please note that my views expressed here do not represent the views of the TM Forum, its Directors, nor members. Next week on Tuesday March 16, 2010, the United States federal government (FCC) and current administration will unveil the nation’s first National Broadband Plan for this nation.  As a US citizen, I’m eager to see how the administration is going to play several fundamental policy decisions that will determine the next chapter...
Posted to Value Chains Initiative by Stephen Fleece on 03-12-2010
Filed under: Google , OTT , video , FCC , USA , innovation , policy
Comments:1
Recent Comment by Stephen Fleece
FCC released plan today... download.broadband.gov/.../national-broadband-plan.pdf


Forget H1N1, now there's a brain cancer epidemic coming?
Maine (USA) legislators continue their determination of a bill requiring mobile phones to carry health warnings about the dangers of brain cancer. Supporters of the bill claim that Ignoring the health risks of heavy cell phone use invites a cancer epidemic, despite the fact that there is little scientific evidence supporting the claim. "We can do nothing and wait for the body count. That's what happened with smoking before warnings on cigarette packs were mandated”, David Carpenter, director of the Institute...
Posted to The Insider by The Insider on 03-12-2010
Filed under: Maine , warnings , brain cancer , epidemic


Dumb Pipe vs. Smart Pipe: A Futile Discussion?
My background is not in telecom or software development, but business. Perhaps that is why I get lost in translation when our industry discusses the future role of Communications Service Providers (CSPs) in terms of dumb pipes or smart pipes. In my view, the discussion should probably go in a different direction.According to Wikipedia, the term smart pipe refers to “an operator’s network which leverages existing or unique service capabilities as well as the operator’s own customer relationships to provide value above and...
Posted to Leadership Blog by Monica Zlotogorski on 03-12-2010
Comments:2
Recent Comment by Tinniam Ganesh
The issue of dumb pipe vs smart pipe is to an extent the result of having data plans with the "all-you-can-eat" model. Hence the smart phones end up hogging the bandwidth and the CSPs just providing all that is used. The alternative is for the CSPs to provide differentiated services by studying usage patterns and charging a premium value for those services which require a very high QoS. This will bring make the CSPs a lot smarter by way of differentiated service.

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