What are we doing?

yesterday i posted something on my other blog about The Value Chain. I just realized that it is also a very relevant topic to discuss on this platform. As a start a small quote from the Telco2.0 blog:

Are telcos communications companies?

The return-to-work week at the beginning of January is always a time for reflection and self-examination. We continue the theme of “What industry are we really in?” with some thoughts about personal communications.

The question for operators is: to what extent they should be innovators in their core voice and messaging products? After all, these services still account for the majority of the revenue of most telcos, be they fixed or mobile.

It’s an old debate, but one which in 2007 will take on a lot more significance as the march of technology releases us from the constraints of legacy infrastructure. Broadband has become mass-market in developed countries. Some smaller operators like Telio already have all-IP infrastructures. The leading-edge incumbent operators are getting close to launching IP-based replacements for much of their legacy equipment. Mobile operators are making similarly heavy technology investments to enable fixed-mobile products. Wi-Fi marches on and the power, QoS, security and provisioning issues start to ease. WiMax reaches the market, and creates new possibilities in markets with weak or no fixed access.

Customer expectations are rising

The rising Digital Youth generation of users aren’t going to stick with 1990s telephony and messaging products forever. The decision time is approaching:

  • Invest in core communications service innovation, define differentiated software and devices, build channel.
  • Partner with someone else who has these capabilities, and be a platform enabler for payments, service, logistics, etc.
  • Exit the services space, and focus on pipes — or diversify into other areas.

At the moment we see a confusing mix of these in the market — as our survey results have confirmed. So, if you do engage in services innovation, where should you focus your money? We think we’ve got a slightly different angle on the problem.

So you understand the problem operators around the planet are facing. The Telco2.0 blog in their post gives the answer. I believe it is not their job to give the answer..

My goal is to give tools so that the operators can make the decision themselves.

Many operators have lost their focus their Value Chain has become a Profit Chain. Serving not the customer but themselves.

We need to create TRUE VALUE again. How to this? Watch the powerpoint: 3D Value Chains

Enjoy!

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