These changes and updates are not something that comes as a surprise to companies dedicated to the Telecommunications area, known as TELCO, since they have had to maintain a constant transformation in the way they offer their services and in the approach they give to them, adapting new sales strategies and adding new technologies that allow them an expected growth and a consolidated positioning in the markets worldwide.
This new year 2023 does not seem to be the exception as far as technological development is concerned, as major capital changes are expected to occur within some sectors that have been working with innovative ideas for some time now, such as Artificial Intelligence, Virtual Reality and Metaverses.
That’s why we’re doing an analysis to show you the most important TELCO trends for 2023 so that you can get your company up to speed as soon as possible.
Augmented Reality (AR) and Virtual Reality (VR)
It is estimated that by 2023, companies offering services related to AR and VR will have an exponential growth due to the active demand that currently exists for this technology. Users want to learn more about all that AR and VR have to offer, and therefore, this trend is consolidating as a profitable opportunity for telecommunications companies.
Equipment offering Augmented Reality and Virtual Reality needs to work with a much wider bandwidth than that used for a conventional navigation system. Therefore, it is expected that this imminent growth for these types of companies will be of vital importance for telecommunications. They will be the companies that will allow them to provide much wider web connectivity services with data plans that offer a more powerful bandwidth, capable of keeping AR and VR equipment connected at all times and without any inconvenience to the satisfaction of their users.
The Internet of Things (IoT) and Secure Interconnectivity
Over the years we have seen how more and more domestic and all kinds of equipment are designed to be “smart”. That is, they have, among other things, the ability to connect to the network and provide various functions that facilitate the daily lives of their users.
By 2023, it is expected that there will be a fairly large growth in this sector and that there will be a greater availability of internet-connected equipment, such as climate control devices, surveillance cameras, autonomous vehicles and even smart cities.
For TELCOs, the fact that there are more and more devices that need a constant and secure connection to the Internet for their proper functioning is nothing more than an excellent opportunity to expand.
Companies will have to expand their data plans, acquiring new equipment and making use of technologies such as 5G and satellite networks, to be able to provide IoT users with secure, functional and highly stable networks.
In addition, TELCOs may face the dilemma of whether to be mere facilitators of these new IoT products or whether to enter with a concrete commercial offer. This dilemma between simply providing the communication or installing the turnkey service for its user will be increasingly recurrent for telecommunications companies.
Artificial Intelligence (AI)
Artificial Intelligence is one of the most interesting and important technological branches that have emerged in recent years. Its adaptability and development over time has not ceased to surprise users who passively or actively use it in their daily lives.
It is expected that in 2023 the rise of Artificial Intelligence will continue to increase and that, little by little, new services will begin to appear that offer applied uses in any aspect of life. From AIs that help with everyday tasks to others that continue to develop artistic and educational tools in fields as diverse as music, languages, painting or photography.
For telecommunications companies, once again, it is essential that they begin or continue to develop stable environments that enable the functionality of artificial intelligences within their network services. But, at the same time, they must establish direct contacts with the companies developing these artificial intelligences in order to be able to create joint services that are beneficial both for themselves and for their users and customers.
Infrastructure and Sustainability
It is estimated that by 2023, new infrastructures will be built to expand the networks and services of telecommunications companies to the most remote corners of the planet, even in the most rural environments far from large cities.
This growth in infrastructure is expected to be much more sustainable and to set a new trend by focusing on environmental care. Under this prism will be required to be the development of the necessary facilities and equipment that use these networks. The development of much more sustainable technological tools will bring great advantages for all business areas, not only in the short term, but also over time, as they will eventually be able to offer higher performance and better connection quality than traditional infrastructure.
With this expansion, there is no doubt that there will be significant economic growth for telecommunications companies, which will be offering their services to a greater number of customers every day without this being a problem for the new generations, but rather an opportunity.
Cloud Services and Data Distribution
Cloud computing services will continue to be extremely relevant in 2023. More and more companies are joining the use of Cloud services to organize their workspaces, more efficient management of customer data or for the provision of certain services, such as those derived from the trends mentioned in the previous points.
It is expected that during 2023 companies offering cloud services will continue to increase the number of users and customers, growing the cloud computing industry to unprecedented levels.
Due to this expected growth for this type of service, it is important for telecommunications companies to make improvements in connectivity, storage infrastructure, distribution and data security. All with the aim of making users feel much more comfortable when working connected to the Internet and sharing information about their business projects.
Again, Telcos will have to choose whether to be mere enablers or to put their own architectures at the service of their customers.
Cybersecurity and Encrypted Communications
The increase in computing capabilities, derived from technologies such as quantum computing and the securing of data, both processed and stored, which have been mentioned in the previous trends, requires, even more so, that all valuable services must be completely secure and unbreakable, thus guaranteeing the information of users and customer companies in the TELCO sector. It is for this reason that Cybersecurity and Encrypted Communication will continue to be, even more importantly, a challenge for operators and all suppliers that are part of the value services they provide to their customers and to key entities and organizations.
Conclusions
We have seen that there are different areas or markets that will experience a great impact and technological development during 2023. All these technological advances will require infrastructure and services that only TELCOs will be able to guarantee to their users. But, just as telecommunications companies went from offering telephony to content platforms to differentiate themselves from their competitors, and from there to specific services such as alarms or insurance, they will now have to deepen their strategy of moving from being facilitators to implementing new products and/or services. To avoid having to constantly invent the wheel, the alliance with companies in each of the sectors they want to enter will be fundamental.
The sooner they start updating and adapting to each of the changes that are manifesting themselves, the sooner they can ensure that they become key players and co-creators of a much more advanced future, in harmony with the technological growth that users and potential customers are demanding of them.
Juan Martínez, Director of Telco and High Tech in Grupo Oesía