Blockchain represents a $ 1 billion opportunity for telecom companies, but they must proactively take on the significant commitments needed to position themselves for such revenues, according to GlobalData.
The company states that the telecommunications industry is preparing for the challenge. For example, BT, Colt, HGC Global, Telefonica and Telstra are involved in an experiment that uses blockchain for wholesale regulation. Verizon is an investor in Filament, a blockchain company that could eventually help the carrier manage the drone delivery and monitoring services.
Yesterday, CBCcom, PCCW Global, Sparkle, Tata Communications, Clear Blockchain Technologies and Cataworx announced a blockchain proof of concept trial.
Blockchain, according to Accenture, could create a $ 1 trillion ecosystem. The company – whose estimate is quoted by GlobalData – defines the blockchain as a technique that "allows several interested parties to securely and securely access identical copies of distributed data.
In other words, blockchain is an efficient process for securely updating information on widely distributed systems.It is flexible because there is no central hub through which all data must flow.
L & # 39 The main use of technology to date has been in cryptocurrency, but it is thought that the blockchain fits perfectly with the needs and the underlying physical nature of telecommunications networks.
However, significant preparation is needed for telecommunications companies to exploit Opportunities: GlobalData research director Ron Westfall, who wrote the report, stressed the need for a long-term commitment and integrated in DevOps.
Westfall also focused on the need to align the blockchain with the BSS of the network.
"Blockchain is primarily a software-driven implementation," he told FierceTelecom. "Stages can include blockchain integration into existing BSS platforms to align blockchain identities with revenue management platforms including billing / recharge policies, unified catalogs, and customer / partner management data. Physical requirements are low while adding server resources to the cloud or on-prem could be required. "
Those are significant steps. There are, however, equally significant rewards. The press release indicated the elimination of roaming charges and the acceleration of the related services market. Westfall added that the blockchain can also lower local rates and tackle the previously untapped "international traveler market" and promote efficiency in the infrastructure / infrastructure and financial and industrial platforms register.
C & # 39; is promised both for internal uses and for customers of the blockchain. The wholesale settlement, one of the applications to which the proponents aim, is internal. External applications are supportive, at least during the first days.
"In terms of customer service offerings, blockchain capabilities increase and enhance existing services [such as] by allowing mobile services to avoid roaming charges and expose the large number of new customers," wrote Westfall.
It is too early to say whether the blockchain will be more successful.
"At this point both internal and customer-facing applications have the same promises," wrote Westfall. "Of course we will know more by the end of the year!"