Digital Reset

As the telecommunication industry becomes the key driver of industry-wide convergence, new revenue streams (leveraging industry-wide collaborations) have opened for TSPs to bank upon. In India, the entertainment sector is the primary consumer of the internet. Demand for OTT and gaming is rising exponentially, giving telecommunication providers an opportunity to collaborate with such industries or develop products indigenously.

Growth of OTT platforms and gaming industry will receive a thrust due to high speed broadband and AGR definition rationalisation. The next few years will witness new business models and thereby new alliances will emerge between the telecommunication service providers and content providers. Digital Media advertising spends will surpass the conventional media expenditure due to the rise of on-demand content.

Enterprises are expected to bring in a major share of revenue with the emergence of 5G technology. Internet usage pattern varies across demographics, hence customised solutions should be designed to promote internet adoption within a niche and untapped consumer segments based on their needs and aspirations.

Telecommunication operators understand the digitisation opportunity that they have in hand. The game-changing technology revolution has started, and multiple industries are about to witness this journey. The telecommunication sector must continue to build capabilities and act as the backbone in shaping the Indian economy. It will play a key role in bringing the change in the economy with larger alliances and broad basing the telecommunication ecosystem.

Key trends emerging in view of 5G advancements

• Usage of IoT: Enterprises will use IoT to cater to diversified customer needs that will also help manage enterprise operations, optimise costs, and reduce human interference.
• Data storage strategy: Advancements in technology and data management go hand in hand. Hence, managing data is imperative for organisations. Cloud computing shall offer tailored products for data storage and facilitate business operations by integrating devices online, without owning physical assets.
• New revenue streams: As the telecommunication industry becomes the key driver of industry-wide convergence, new revenue streams (using industry-wide collaborations) have opened/shall open for TSPs.
• With the emergence of 5GAR and upgrading of networks in the country, a unified digital ecosystem enabling innovations and facilitating exchange of information is foreseen.
• Change in operating models and revenue streams of numerous Indian industries expected (such as healthcare, education, fintech, e-commerce, and entertainment) to take place, demonstrating the telecom sector’s significant contribution to the GDP predicted at 8 percent for FY 2021-22.