This IDC Market Perspective elaborates on the long-term impact of COVID-19 on European telecommunications market segments. The COVID-19 crisis is triggering significant changes in consumer behavior, enterprise business operations, and societies. Telco companies have an opportunity to accelerate their digital transformation plans and follow through on their technology investment plans as new business models and use cases emerge in the future digital economy. The COVID-19 crisis will be a game changer for telos in their role as future digital value creation ecosystems that will disrupt supplier, partner, and customer relationships. It will reshape the position of telcos in the digital economy and their relationships with partners and customers. It is an unprecedented opportunity to reinvent themselves and drive digitalization at scale in OTT-dominated markets.
"While we see massive traffic uptakes in the short term, the anticipated economic contraction might be offset by the proliferation of new technologies such as 5G, IoT, and AI that boost the uptake of the digital economy by 2021," said Martina Kurth, associate VP, head of Telco 2025 Research in Europe.