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MATRIXX Software Predictions for 2015

Date post:03-Aug-2015
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1. MATRIXX Software Predictions: Alternative Business Models for Telcos Vineet Sachdev VP, Product Management Executive Forum Predictions for 2015, Santa Clara, 16 January 2015 2. Traditional Telco Business Under Pressure Moodys Negative outlook for EMEA Telcos for the next 12-18 months Infonetics Europe's 5 largest Telcos continue to experience declining revenue Ovum Telcos will lose $386 billion (2012-2018) from customers using OTT VoIP Telefonica Market cap down from $122 to $61 billion in 5 years Juniper Research Margins for 12 international Telcos have fallen by 6.4% over a 3 year period 2TCSV EXECUTIVE FORUM: PREDICTIONS 2015 3. Prediction M: M2M 50 billion smart objects by 2020 Telco revenues from M2M will be $25B in 2018 Revenue opportunities with large enterprises (auto, utility, home automation etc.) Upsell opportunities to consumers Enable shared data for the connected car 3 Explosive growth in M2M will provide new revenue opportunities TCSV EXECUTIVE FORUM: PREDICTIONS 2015 4. Prediction A: Application-aware Pricing 4 DSPs will stop treating all traffic alike A variety of new ways to provide differentiated pricing based on application type and subscriber preference Subscription-rate certain traffic (such as music streaming) Day packs for popular applications (Facebook, Whatsapp, YouTube) Great data on-boarding strategy for pre-paid voice-only consumers Innovative application-based pricing offers will augment the current all-you-can-eat models TCSV EXECUTIVE FORUM: PREDICTIONS 2015 5. Prediction R: Roaming 5 Roaming revenues will reach $90B by 2018 ($42B in data roaming) 2014 roaming revenues were $57B hence, significant growth potential DSPs will offer new easy-to-understand bundles to promote international roaming $5 a day to carry domestic voice/data/SMS bundle X free roaming days per year Offer innovative roaming packages to promote always- connected model while traveling TCSV EXECUTIVE FORUM: PREDICTIONS 2015 6. Prediction S: Sponsored Content 6 DSPs will learn to make additional money by co-existing with the OTT providers Amazon Streaming music/video Social media OTT providers will give new threat to Telcos by providing direct connectivity Walmart/Target/Amazon Facebook pre-paid cards Apple/Microsoft SIM Sponsored content will gain momentum and provide new revenue streams for Telcos TCSV EXECUTIVE FORUM: PREDICTIONS 2015 7. 7 M2M Application-aware Pricing Roaming Sponsored Content M A R S Year of Continued Transformation from CSP to DSP TCSV EXECUTIVE FORUM: PREDICTIONS 2015 8. MATRIXX Software Thank You

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