T2 Use Case Project Overview V1
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An overview of the 2009 Telco 2.0 Project on Use cases.
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T2 Use Case Project Overview V1
- 2. A new ‘two-sided’ operator has 3 revenue streams Side 1: Upstream Customers Side 2: Downstream Customers End-User Service Business Voice, messaging, media and data delivered to and paid for by end users – as now. A Distribution Platform Business Allows third-party service providers to distribute voice, content & data services as part of their proposition to end users across multiple distribution systems: internet, broadcast, multicast, SMS, circuit voice etc. A VASPlatform Business Allows third-party service providers to better interact with downstream customers by providing enabling services 1. Developers 1. End-User Services $$ Retailers 2. Millions of Customers Thousands of Segments New B2B Platform Services Government Media 2. Distribution Platform $$ 3. Advertisers 3. VAS Platform $$ Utilities Financial Services
- 3. Potential Growth Opportunity: up to $375 billion p.a. Source: STL Partners/Telco 2.0 Analysis, ‘Two-Sided Telecoms Platform Sizing’; ‘Future Broadband Business Models’
- 4. Distribution Platform - six main product areas Source: STL Partners/Telco 2.0 Analysis, ‘Two-Sided Telecoms Platform Sizing’; ‘Future Broadband Business Models’
- 5. VAS Platform - seven service capabilities Source: STL Partners/Telco 2.0 Analysis, ‘Two-Sided Telecoms Platform Sizing’
- 6. Senior Telco execs appreciate the need for new business models “I don’t like the word ‘carrier’. We operate customer platforms, billing systems and so on. A carrier is not what Vodafone wants to be…We need to find the right models for all the new content and applications.” VittorioColao, CEO, Vodafone, 2009 “We have to find a way for applications to work across devices, platforms and operating systems…I think we should use standard APIs... that would allow developers to access platforms worldwide.” Ralph de la Vega, CEO, AT&T, 2009 “The challenge is not the technology. The challenge is not the applications. The challenge is the business model.” Chairman Wang Jianzhou, China Mobile
- 7. What next? The need for, and theory and concept of, the ‘two-sided’ business models are now understood and accepted by many senior strategy executives in Telcos... ...but a deeper, practical understanding is required. The Telco 2.0 ‘Two-Sided’ Business Model Use Case Project will provide detailed examples of specific actual and potential examples of the practical application of the theory.
- 8. The Use Cases provide: A detailed and workable illustration of the new business model in operation Insight on how existing ‘best practice’ can be enhanced Direction to investment prioritisation
- 9. To be published in a new Telco 2.0TM Strategy Report and presented at the Telco 2.0TM Executive Brainstorm Events (see http://www.telco2.net/event/). The 5 ‘Two-Sided’ Business Model Use Cases Telco 2.0 ‘Use cases’ are detailed “business level” descriptions of illustrative commercial models for new Telco 2.0 B2B platform services across the most accessible opportunity areas: Marketing and Advertising 2.0: Exploiting Telco data Mobile Broadband 2.0: Managed data offload service Digital Money 2.0: Mobile Banking for the unbanked in mature markets Digital Utilities 2.0: Smart Grid Voice and Messaging 2.0: SME productivity platform