The current state of telecommunications (and how to maximize it)

Telecommunications (wireless, operators, OTT and others) has been an intense, news-dominating topic recently: China entered the 5G space, which triggered political reactions in the U.S., which in turn created rural area cell phone usage concerns, all of which existed under the possibility of a “new cold war.”

That’s the geopolitical side of what’s been happening in the space. And while important, it’s only become such a hot topic because of the potential that 5G holds in telecommunications.

Potentially a game changer for global service providers, 5G will allow them to implement a whole set of new value-based services, such as virtual reality, autonomous cars, streaming to high-definition devices, Internet of Things and Machine to Machine infrastructure. All of these are promising developments which will drive additional revenue.

These services could be revolutionary for an industry that has traditionally struggled with low revenue growth and ever-increasing data traffic consumption, per Cisco VNI 2018. The latter has led service providers to invest capital into the network to sustain and meet that traffic growth, but without receiving the revenue associated with said growth.

5G is exciting.


5G and corresponding revenue growth are absolutely reliant on the carriers’ ability to accelerate the digital transformation programs that they currently have underway.

It will require intense capillarity in the network, as well as the deployment of mobile edge computing (MEC) all of which depend directly on the use cloud technologies, Software Defined Networking (SDN), Open Source software, within a global service providers’ architecture.

So we find ourselves again at the “digital transformation” of the telecommunications industry. It’s crucially important, but it can feel like a bit like a buzzword lately. (It’s not.)

What does digital transformation look like in telecommunications?

Digital transformations have three guiding principles:

  • Simplification
  • Automation
  • Innovation

These, in turn, can be fulfilled through three specific action items:

  • The evolution of the network
  • A redesign of OSS/BSS
  • Embracing a customer-centric strategy

Helping to advance the dialogue

Localytics has the privilege of working with three of the largest service providers in the Americas. We’ve guided them to new relationships with customers, including 50%+ reductions in churn and 25%+ reductions in contact center staffing via better integration of digital touchpoints. We are a trusted partner in the journey to a fully-digital, customer-centric brand.

In an effort to share our insights through helping some of our telco clients, we put together a white paper on the digital transformation of the industry: Where it’s been, where it’s going, how network service providers can hasten digital transformations, and more. You can access it right here: