Telcos Drive their transformation with De-layering, platform thinking and human-only skillset!

The future of telecom lies in embracing platform models and forgetting the legacy mindset of being a monolithic, integrated firm. Global de-layering trends points to four main segments, each with its own investment thesis, playbook, business model, and enabling technologies:

1. Infrastructure: The flagship for stability, attracting long-term investors with its scalability, low growth, and capital-intensive nature, think wholesale network services, NaaS offerings, and infrastructure leases, extended partnership with hyperscalers, all driven by telco-cloud, AI-Ops, NFV(virtualisation)and SDN.

2. Platforms: high-risk, high-reward zone for investors with a global outlook. Building open platforms, fostering developer ecosystems, and charging XaaS fees or usage-based prices fuels innovation through partnerships and services like data analytics and security, cloud computing, APIs, and containerization are the keys here.

3. Digital Services: Where agility and rapid prototyping meet disruption. Attracting investors comfortable with high growth, this segment thrives on subscription models, partnerships, and AI-powered personalization and automation, cloud-native architectures, analytics and AI are the game-changers.

4. Industry Focus & Verticals:The domain of customer loyalty and tailored solutions, Investors in specific verticals and trusted brands accept lower initial returns for long-term gains, recurring revenue models, outcome-based pricing, and premium services, driven by specialized solutions and systems, IoT, and blockchain, create lasting value.

Orchestrating Value, Unlearning Silos:

The shift from value provider to value orchestrator requires telcos to break down silos and partner within their own layers and with global players like hyperscalers and cloud ISVs, adopting ecosystem-led growth mentality, this is where the human element comes in.

Balancing the Technical and the Human-only skillset:

Technology and business model shifts are crucial, but it's the people behind them who drive innovation and transformation, to navigate the de-layered landscape, telecom organizations will invest on skillset development, encompassing both technical and non-technical competencies:

Individual competencies: Adaptability, resilience, decision-making, planning skills.

Teams competencies: collaboration, communication, emotional intelligence, networking.

Leadership competencies:Talent management, strategic execution, coaching, leading through change.

Organisationals competencies:Business acumen, organizational awareness, risk management.

De-layering demands new business models, agility, experimentation, and customer focus & empathy, balancing technical and non-technical skillsets is a strategic priority for most of telecom organizations navigating this transformative future.