Comm. Smart Cities and IoT supplement Smart Cities and IoT | Seite 23
Smart views
Telcos could become the future
‘town square’ – a meeting place
for people to co-create and
innovate
It is easy to see why there are parties
who support the vision of telcos as
connectivity providers – this is, after all,
the bread and butter of the industry. This
view would see operators scaling up their
current services to achieve economies of
scale, thereby potentially growing their
bottom line. Incidentally, this is also the
view that frightens telcos the most. In such
a scenario, telcos would be relegated to
simply becoming providers of data rather
than being impactful agents in society.
Additionally, we are seeing increased
competition from network providers that
are building their own proprietary networks
to provide data connectivity.
A growing number of industry watchers
argue that telcos should become solution
providers. This entails creating end-to-end
enterprise solutions and networks that
connect people and organisations. On
the surface, operators can redefine their
role in society and move further along the
value-chain, thereby creating new revenue
streams. Digging deeper, however, we
see this would be a dangerous route for
telcos to take. Managing the infrastructure
network would require telcos to develop,
offer, operate, and maintain capabilities
about infrastructure that lie far outside their
core expertise.
Fortunately, the future of smart city
development will create a new role that will
need to be filled – that of the integrator. In
this manner, telcos could become the future
‘town square’ – a meeting place for people
to co-create and innovate. It is here where
we see the future of telcos. Given that smart
cities will involve different players from
countless industries, managing all of the
parties will become a task in its own right.
Telcos could serve as the nexus of all
21
major stakeholders providing a unified
and holistic integration of multiple sectors.
To achieve this, telcos will need to form
deep partnerships with the major players
involved in smart cities. What makes GCC
telcos optimally positioned for this role is
their close relationship with their respective
governments, which can empower telcos
to oversee the integration of the numerous
components in a smart city.
There has never been a more exciting
time to be part of the telco sector. The
advent of smart cities opens many doors
for an industry looking to diversify revenue
streams. It is essential that operators move
strategically to secure a strong foothold in
their geographies. What happens in the
coming years will likely lay the foundations
for the future of operators in a more connected and prosperous society. The time to
act – and integrate – is now.