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Blockchain will revolutionise the telecom sector
Blockchain will revolutionise the telecom sector
Blockchain

Blockchain will revolutionise the telecom sector

By Fabio Lugano - 22 Apr 2019

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The increasing integration of the blockchain in operating systems (OSS) and in the corporate management (BSS) of the telecom sector will lead to a growth in its application of an average rate of 84.4% from 2018 to 2023, as indicated by a study by Research and Markets.

A BBS management platform can radically redefine the business models of service providers (CSPs) because they could immediately offer their services on each network, without issues relating to intermediation or the creation of complex agreements.

The blockchain would allow the creation of a single global market for telecommunications services where CSPs could instantly publish product features and costs allowing consumers to purchase services regardless of the network they use.

The market would then explode, bringing together service offerings from different networks, without the need for individual CSPs to agree with network operators on complex, costly and cumbersome contracts that would limit the variety of offerings and make them much more expensive.

The blockchain would allow the unambiguous identification of the service provider and thus its correct remuneration. Being part of a global community would allow individual CSPs to develop mutual cooperation agreements that would go far beyond mere communication services, from common marketing policies to language services, often breaking deep barriers in the provision of these services.

Currently, many international mobile services require either to change SIM cards, purchasing the one of the country offering the service, or to use international SIM cards, which can support services in more than one country, but which often do not offer adequate services or are very expensive.

On the contrary, the widespread application of the DLT would allow, on the one hand, the development of e-SIM with advanced international services not linked to the single network and, on the other hand, the connection of a multiplicity of IoT services with the offer of personalised services linked to the use of single technological objects.

The impact of this type of innovation will be higher in those situations where the telecommunications market is not very efficient, with only one or two operators, as is the case, for example, in the Middle East. In these areas of the world, the possibility of accessing global services will lead to a real revolution in telecommunications, with a very high expected increase in turnover.

Fabio Lugano
Fabio Lugano

Graduated with honors from Bocconi University, Fabio is a consultant for companies and wounded shareholders of the Banche Venete. He is also the author of "Scenari Economici", and lecturer and analyst of cryptocurrencies since 2016.

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