COVID-19 Winners and Losers In the Telecommunications Industry

  • Alyx 

COVID-19 will result in winners and losers in the business world. The winners will be those that have evolved, as nobody really believes we will eventually return to the way we operated pre-COVID. For telco customers who are winners in their own sector, what telecommunications services will they demand more of, and what less? For telco customers who are struggling, what can they do to survive?

Demand has and will continue to rocket for cloud-based Unified Communications (UC) applications such as Microsoft Teams, Cisco Webex, and Zoom. This should create greater demand for ubiquitous high capacity broadband access services. It will also be a key driver in the take-up of both the NBN in Australia and 5G generally.

There will continue to be increased demand for mobile services generally. Additionally, users prefer to use the same devices everywhere they go and so there will be increased demand for bring-your-own device solutions. For example, in the office your mobile phone connects to the corporate WIFI and operates like a fixed handset. When you leave the office, your handset re-connects to the mobile network but delivers the same applications, seamlessly.

VOIP has and will continue to gain greater acceptance – both private network VOIP and VOIP carried on the public Internet. A question mark will hang over hosted PBX. There are some advantages offered by this product such as lower complexity to establish and maintain, and better security, but the customer needs to buy and maintain fixed handsets, which is a substantial cost and creates service management challenges. Security and disaster back-up will be increasingly important, but also much more complex. The demise of the old PSTN and ISDN will accelerate.

Where does telco expense management (TEM) fit into this picture?

For businesses that are doing well in the age of COVID-19 and so have money to spend on new technology and solutions, the available solutions have become much more diverse and confusing. A TEM professional can be an independent source of advice and ideas for customers. A TEM professional can help the customer implement the most appropriate and cost-effective solutions.

For businesses that are struggling, it is increasingly important to squeeze the maximum possible value out of their existing solutions. Factors such as the roll-out of the NBN mean customers cannot stay where they are. A TEM professional can help these cost conscious customers maximize their current infrastructure and so defer investment.

Would you like a no-obligation audit of your existing contracts and how you can reduce your overall telecommunication costs? Contact us today.