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Are your business systems ready to monetize 5G?

In a recent discussion with Nokia, John Abraham, principal analyst at Analysys Mason, explained why he believes many service providers are ill-equipped to properly monetize 5G enabled use cases and business models.

According to John, some of the key obstacles are related to the legacy BSS and monetization solutions used by service providers today, particularly those for business and enterprise services. These solutions are limited in their ability to support the flexible ordering, provisioning and real-time monetization capabilities that new 5G-driven services and business models require.

With 5G, service providers are planning to bring a range of new services into the marketplace, either directly or through partners. One common theme for these new services is that 5G will expand the definition of a service well beyond traditional connectivity.

Many service providers are looking to gain a more significant position in the value chain by offering an assortment of 5G services with partners. In this new role, they will be evolving their approach from standalone, self-contained offerings to a new elastic, programmable, and secure platform that facilitates partner interactions.

Some 5G use cases related to smart cities, connected health, industrial automation, and cloud gaming are widely discussed today. But 5G will enable an extensive range of use cases that vary significantly in terms of complexity, delivery, and life span. Additional use cases will emerge over time. Many of these use cases will require service providers to partner with enterprises.

As 5G emerges, service providers need to be prepared for new business speed, scale and innovation — along with growing demands for premium digital experiences. In the era of digitalization, this trend touches consumer and enterprise services and sets a new pace for service launches.

To keep up, service providers need to build a digital, AI-driven, and open ecosystem that enterprises can instantly leverage to innovate with digital services for their customers. This calls for new, highly flexible monetization capabilities. Some markets are closer to introducing 5G services than others. You need to act today to ensure that your business systems are ready. With the introduction of 3G and 4G, many service providers worried about the network technology first and network operations second. Consequently, they often overlooked the importance of updating their BSS environment to monetize the new technology.

By starting to plan and to roll out a 5G-ready monetization solution today, you will be able to reap benefits such as higher average revenue per account (ARPA) immediately for more traditional B2C and B2B offerings, as well as for emerging IoT use cases. You will also be ready to launch and monetize 5G-enabled business models and use cases from day one.

Share your thoughts on this topic by joining the Twitter discussion with @nokia and @nokianetworks using #5G #innovation #monetization #bss #mwc19