Ericsson offers a fairly simple argument for why big service providers have to consider moving into other areas of the information ecosystem, including perhaps most importantly edge computing: growth will not be found in the consumer connectivity business.
Simply put, growth rates in the consumer communications business are forecast to grow only about 0.75 percent per year to 2030, enterprise revenues are flattish, while the broader information technology business grows at a compound annual growth rate of 12 percent per year.
Business customer revenues in many markets have been slow growing or have slipped overall for many decades, in large part because customers are able to satisfy their needs with lower-cost, but higher performance, alternatives.
The service enabler role shows the biggest growth opportunity for service providers and includes providing digital platforms on which businesses can configure and integrate value-enhancing digital capabilities into their processes, Ericsson argues.
That is a huge challenge, but offers high rewards, if connectivity providers can create service platforms, system integration and content management roles.
Service enablement also logically includes becoming a supplier of edge computing facilities, managing devices, software and data. It is likely easiest to see how that works in terms of service providers becoming suppliers of edge computing infrastructure or internet of things infrastructure that incorporates edge computing.
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