What is Digital Transformation in Telecom

November 9, 2021

Have you ever wondered what digital transformation in telecommunications really means? They seem like two closely linked terms, yet very few people can accurately answer this question. Become one of them by reading this post!

What is digital transformation in telecommunications?

With “digital transformation in telecommunications” we refer to the set of changes that this industry must implement to offer value to its customers. These innovations lead to the transformation of both business processes and the networks that support it.

It is easy to deduce that the digital transformation of telecoms necessarily passes through 5G connectivity. However, that is only the tip of the iceberg. Thus, beyond renewing the infrastructures, it entails a true renewal of the sector at multiple levels.

5 Benefits of digital transformation

  1. Improve the customer experience. Solve their problems with agility and efficiency, encourage their participation and personalize the offer of products or services.
  2. Optimize the use of data to increase ROI.
  3. It accelerates the processes of the industry, increasing its flexibility in the face of future changes and making it more innovative.
  4. It encourages specialization, allowing the different telecommunications companies to focus on one of its many facets (AI, AR, multi-cloud computing, etc.).
  5. Enhances business success (by facilitating industry connectivity with current and potential customers).

What should telecommunications do to not miss the train of digital transformation?

Before embarking on that journey into the future, telecommunications companies must ensure that they successfully cover the following fronts:

  • Provide a better experience to your B2B and B2C customers.
  • Enhance the efficiency and agility of your services.
  • Make the most of the income they obtain from their digital services.
  • Monetize your assets and infrastructures taking advantage of the current situation. To this end, it can be very useful to automate processes and tasks with AI, develop virtual platforms and make wireless connectivity cheaper.

Digital transformation of telcos: a comprehensive renovation

  1. Replace discrete network elements with virtual cloud infrastructures that be extremely cost-effective to maintain.
  2. Homogenize the security requirements that are required of third parties that provide their digital services through telecommunications companies.
  3. Approach the management of Big Data from a single and coordinated perspective for its external monetization and internal business optimization.
  4. Expand its framework of action to offer open services, in order to fully adapt to a globalized digital economy.
  5. Expand your portfolio of services to include not only your own services but also those of third parties. This implies multiplying your business model to provide various approaches with which to create and capture value.
  6. Open your ecosystem of business relationships beyond the closed framework with suppliers to incorporate new players.
  7. Multiply your channels to suit various vertical markets.
  8. Make your activity more flexible to adapt to the different parts of the business.
  9. Provide 360º management that encompasses the customer experience as a whole.

The digital transformation in telecommunications is much more than a mere technical process. In reality, it is a truly comprehensive revolution shaking the foundations of the industry, ranging from data management to corporate culture. It is a profound and inevitable change whose goal is to optimize the customer experience.

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