TECH SUPPLIER Jul 2019 - Market Note - Doc # US45340819

Delivering Partner-Enabled Digital Services: New Business Models Change the Face of BSS for Communications Service Providers

By: Karl WhitelockResearch Vice President, Communications Service Provider Operations & Monetization


This IDC Market Note explains how change in network and IT technology is redefining the business strategy that communications SPs can now use for meeting customer needs. Such strategy change involves B2B2C business models for engaging the capabilities from multiple partners working together to provide customer value well beyond what any supplier can singlehandedly deliver. With market change and business strategy updates, existing systems and processes are no longer fit for purpose. Why is such change necessary? Non-telecom companies such as Rakuten are proving that using partner ecosystems to deliver customer value increases satisfaction and significantly reduces churn rates when compared with traditional business models. Existing business management systems were not designed to address these new ways of doing business.

"The global communications market has evolved considerably over the past 25 years, but mostly from the advent of new network technology deployment. With the current wave of technology refresh from 5G LTE and more, business models radically shift to ecosystems of partner collaboration for delivering end-to-end customer value. Operational readiness engaging with new business management systems is now a must. Failing to recognize the limitations of existing systems for enabling an ecosystem approach to business is the Achilles' heel for every communications SP business plan," says Karl Whitelock, research vice president, Communications Service Provider Operations and Monetization.



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