The shift in value from products to services has been ongoing for several years now, and has opened up a whole new world of professional services and Managed Support Services. It’s the strategy of some of the world’s most innovative companies: IBM, for instance. And yet there are many areas that are still untapped, and have the potential to impact the true customer experience.
2011 marks the 10th anniversary of Carrier Ethernet services launched by the Metro Ethernet Forum (MEF). The technology has penetrated deep into global communication businesses, both as a service and as a network infrastructure cornerstone, with the entire business ecosystem investing in this technology. Here are a few statistics that show just how deep the services have been integrated.
• Businesses are upgrading their networks from lower-speed T1 and Frame Relay circuits, which in turn is driving the demand for Ethernet bandwidth (source: The Vertical Systems Group)
• The combined, global revenue from Ethernet and IP/MPLS/VPN services will be up to $78B by 2015 (source: Infonetics Research)
• Revenue from wholesale Ethernet services is growing faster than that of retail, at a 19 percent compounded annual growth rate until 2015 (source: Infonetics Research)
• Growth in service provider investments in carrier Ethernet equipment continues to outpace that of other telecom equipment, with annual global spending expected to reach $37.5B in 2015 (source: Infonetics Research)
Operators today are involved in a vicious cycle of adding bandwidth in order to support bandwidth hungry applications, which in turn is spawning even hungrier applications. This is driving operators to deploy next generation technologies such as LTE, which is proving to be one of the biggest “spends” in the history of telecommunications. The problem is that the operator’s Average Revenue Per User (ARPU) is not increasing at the same rate as the demand for mobile broadband, driving the need for operators to innovate to maximize revenue and optimize CAPEX and OPEX.
TM Forum Management World took place in Orlando this past week, and Aricent took part in it in a variety of ways, including facilitating one of the “Intensive Debate” sessions. For ours we put forward a provocation to the participants: how can carriers and others in the telecom business apply lessons and strategies from improving Customer Experience Management (CEM) to the emerging field of machine-to-machine (M2M) communications?
What’s common to Bill Gates, Bjarne Stroustrup, Linus Torvalds, and James Gosling? You know who they are; they are all famous software engineers known for writing code. But how many famous software test engineers do you know? Probably none. A comparison of the results of a Google search for famous software developers vs. famous software testers will show that most people don’t know either. Why is this? Because testers don’t create anything, right? Wrong. Testing is as much a part of the creative process as is development. It’s even becoming a “hot” topic, even a strategy.
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