Analyst firms tell us that investment in next generation Operational Support Systems (OSS) and Business Support Systems (BSS) are markets valued at around $40bn USD globally while, at the same time, investment in legacy OSS/BSS is around half that. The former is growing, the latter shrinking. If, like many eCS clients, you supply technology in one of these domains, you’re competing for a part of a sizeable pie.
While support system investments, in an immediate sense, are measured in operational terms (do they make it easier to do business?), the outcome of investments is eventually assessed on the CSP’s balance sheet (do they make more money?) It remains a fact today (although things are changing) that for many, the core parts of their traditional BSS stack – mediation, rating, guiding, billing, customer care etc. still reflect an approach that was conceived to address the challenges of a landscape that is now outdated; namely the communications market of the mid to late 1990s which is when, in large part, the early versions of today’s still extant BSS products were originally coded.
Today, those challenges are barely recognizable, let alone relevant. The telecoms industry has moved on. And infrastructure has far from fully kept up. The problem is growing; with the latest generational changes in operational technology, 5G, IoT, XaaS for example, new investments in support systems are becoming unavoidable. Workarounds are enough. In many cases, there’s simply no more shelf-life to be had.
This reality is a challenge for telcos and an opportunity for eCS’ customers. It’s a challenge because the new telco landscape requires entirely new infrastructure solutions, and building those demands investment in products, first, from suppliers. It’s an opportunity because innovative products that can be proved to deliver innovative Use Cases can be game-changing for CSPs and infrastructure vendors alike.
At eCS, we’re deeply familiar with both sides of the equation which puts us in a unique position not just to generate leads for our clients but to broker a critical conversation. Because we speak to thousands of operators every month, we understand the requirements driving the transformations of their stacks and what they’re looking for as they evaluate progressive support technologies. From ongoing interactions with our many vendor clients, we understand how products are evolving and, not least through years of experience, how they can most effectively be positioned to the telco buyer.
Telco infrastructure transformation today isn’t a matter of like-for-like replacement of old systems with new. The moving parts in this evolution will not simply involve new processes for handling old functions. It’s the functions themselves…the way the telco operates, and how it generates revenues, that are changing.
If you believe that your company’s technology can enable the new business models that CSPs are now adopting and you want to get a foothold in the market, please give us a call to further discuss this blog, and how we can help you to achieve your targets.