Operators face enormous challenges as the internet comes of age. Further commoditisation of traditional services, intense rivalry in the broadband market and heavy-handed regulation could all trip them up. But the argument that operators are heading for a grim bit-pipe future is overstated.
Operators still have an opportunity to compete with the internet giants in particular markets. They can avoid being tagged as “dumb pipes” by collaborating with those companies and contributing their own unique skills and resources to application development.
This Economist Intelligence Unit white paper has identified five sets of strategy options, or “strategy typologies”, which operators should explore in seeking the optimal business models to take them forward.