Build-versus-buy decisions are in flux in telecom service provider, enterprise and consumer markets. The general movement is in the direction of leasing rather than owning, buying rather than building. At the same time, in some product segments, such as mobile backhaul, the opposite trend also is happening. Where leased transport had been dominant, now mobile service providers are shifting to “dark fiber” approaches that resemble “owned” capacity. Continue reading
When big existing markets shrink, big new markets are required to replace those lost revenues. As recently speculated, average revenue per connection, which might represent $4 a month, could drop to $1 a month by 2020. Some quick math: there are 4.4 billion machines or devices now connected to each other or to servers. This will likely grow to 10.3 billion by 2018, a study sponsored by Vodafone predicts. At $48 a year, that implies potential revenue of about $211.2 billion of connection revenue. Let’s assume average ARPU for an M2M device of about $2 a month, or $24 annually, in 2018. That implies revenue of about $247.2 billion. That’s a market large enough to be very interesting for mobile service providers. Continue reading
Discontinuities — distinct or sharp breaks — in the telecom business are relatively rare. Most trends develop relatively slowly, even if the cumulative effect, over a decade or so, can be as significant as a change of 50 percent to 70 percent in revenue sources or products. The principle is that a series of smaller quantitative changes eventually accumulates in a significant qualitative change. Consider the matter of fixed network voice services in the U.S. market. Compared to 2000, U.S. incumbent telcos in 2013 served about 42 percent of accounts sold in 2000. In other words, over about a decade, U.S. fixed network telcos lost half of their voice lines. Continue reading
Razorsight Chief Analytics Officer Chris Checco just did an informative Q&A with Data Science Weekly, where he was able to elaborate on his background, as well as his thoughts on the evolution of cloud-based predictive analytics.
A humble intellect, Chris describes himself as ” . . . just a data geek with some business skills who thrives to help others make informed decisions.” Continue reading
CEO Charlie Thomas is featured in the latest online edition of insideBIGDATA, where he discusses the advantages of Razorsight’s cloud-based platform, and elaborates on the effectiveness analytics brings to revealing customer behavior — essential intel in the never-ending battle against customer churn. Continue reading