CSPs Seek New Revenue Through Marketplaces and AI

Summary

Title: VanillaPlus Managing Editor Gains New Insights at DTW Ignite 24
Summary:
George Malim, managing editor at VanillaPlus, attended DTW Ignite 24 in Copenhagen, where he gained a clearer understanding of how Communication Service Providers (CSPs) can monetize B2B2X models through marketplaces, API exposure, and AI.
Key Points:

1. Challenges for CSPs:
   • CSPs are struggling with the financial burden of continually upgrading mobile infrastructure while earning minimal revenue from traditional services like mobile subscriptions.
   • Past attempts to diversify revenue streams through content and retail have largely failed.
2. Enterprise Market Potential:
   • CSPs need to focus on enterprise markets for revenue growth. For example, the agriculture sector can benefit significantly from technologies like connected soil analysis probes, which enhance efficiency and yield.
3. Marketplaces and Partnerships:
   • Creating marketplaces where CSPs can offer their capabilities alongside other services is essential. This approach allows specialized industries to purchase what they need without CSPs becoming experts in those fields.
   • Partnerships are vital for CSP growth. CSPs need to move beyond just providing connectivity and offer integrated solutions through marketplaces.
4. API Exposure:
   • Exposing APIs to third parties can unlock new revenue streams. This has traditionally been met with resistance due to fears of losing unique value, but confidence in this approach is growing.
   • The announcement by ClearX about offering network APIs through Google Cloud Marketplace marks a significant step forward.
5. Application of AI:
   • AI can help CSPs automate customized services, aiding in the creation of new revenue opportunities. However, the revenue models for AI in this context are still developing.
6. Call for Commitment:
   • CSPs need to fully commit to exposing APIs and supporting marketplaces to foster innovation. Tight control over API exposure limits the potential for creating new services and revenue streams.
     Conclusion:
     CSPs must adapt by embracing marketplaces, partnerships, and API exposure to ensure sustainable growth and profitability. The integration of AI further enhances these opportunities, although it requires careful implementation and new revenue models.
     Author: George Malim, Managing Editor at VanillaPlus
     Read more at: VanillaPlus