20 January 2014
By Paul Fick, Chief Technology Officer, the Jasco
Group
According to
Ovum Research, next-generation broadband and Cloud-based ICT services are two
of the top emerging trends in the telecoms, media and technology space. These
two trends are intrinsically interlinked, as the Cloud requires fast, efficient
and available bandwidth in order to deliver services and enable organisations
of all sizes to leverage its many advantages. Therefore, delivering
next-generation bandwidth, which offers improved speeds and higher quality
essential for the Cloud, is a critical challenge in enabling the delivery of
effective Cloud-based ICT in South Africa and the African continent.
With terrestrial
infrastructure not widely available in emerging markets across Africa, adoption
of fixed-line services has been limited, which in turn has limited the
availability of services and solutions, like the Cloud, which require
connectivity. As a result, mobile technologies have seen massive uptake in
these markets, where the number of mobile devices exceeds the number of people
in many instances. It is therefore a logical next step from mobile phones to
mobile broadband, and the next evolution of mobile broadband will open up the
market dramatically.
In South Africa,
the move towards Cloud-based ICT has been steadily gaining traction, and
mobility, along with the Cloud, are two of the hottest topics currently. While
many consumer services already exist in the Cloud, it is only with the
increased availability and quality of bandwidth that businesses have begun to
take steps. In the Small to Medium Enterprise (SME) market, adoption has been
significant, as the benefits such as a pay-per-use model and the removal of the
necessity to own infrastructure have outweighed many of the problems around
unstable access. Even in the corporate space, as mobility becomes more
important and the mind-set changes from premises-based to the ability to work
remotely from anywhere, these are increasing the pressure to make the move into
the Cloud.
There is no
doubt that Cloud-based ICT is the future and is set to experience dramatic
growth the world over. However, the delivery of next-generation bandwidth is
critical to the widespread business adoption of cloud services, as fast,
reliable and ubiquitous broadband services are essential in ensuring the
required levels of uptime for corporates and large enterprise. Service
providers wishing to capitalise on the move into next-generation broadband
should take heed of a number of pointers.
The delivery of
next-generation broadband requires an alignment with government. Government
currently regulates the entire telecommunications space, and until such time as
this market becomes further deregulated, large-scale adoption can only be
delivered in partnership. It is also necessary to embrace wireless as a means
for delivering broadband technologies. The terrestrial infrastructure in South
Africa, and throughout Africa, is not sufficient to cater to explosive demand,
and the delivery of next-generation broadband will more than likely be driven
through wireless technology rather than fixed lines like copper or fibre. This
will also further drive the trend of network sharing, where infrastructure is
‘rented out’ to service providers on a per use basis, creating wider network
coverage for consumers while minimising the cost to service providers.
As the number of
connected devices grows, we are beginning to experience a phenomenon known as
‘the Internet of things’ or ‘the Internet of everything’, where practically
every device has an IP address, is connected to the Internet, and is capable of
transmitting and receiving data. This is creating additional traffic, further
fuelling the drive towards next-generation broadband. The move towards
next-generation broadband will not only drive further and more widespread
adoption of new services, including the Cloud, it will also require innovative
data pricing plans to encourage usage from consumers, and the provision of
content to drive traffic. As broadband becomes increasingly ubiquitous, driving
increased traffic is key in creating additional revenue. Content services
delivered by mobile providers, as well as innovative solutions to deliver a
variety of content and services, will be key.
With the
country, and the continent, positioned for a move into the Cloud, the market is
changing from one in which organisations purchase solutions and physical
infrastructure, to one in which they purchase services, delivered via the Cloud
to any device. While there will always be a need for infrastructure, for the
majority of enterprises of all sizes, the Cloud is a more affordable, viable and
cost-effective option. There is a huge opportunity for providers to shift their
focus from delivering tools and software to offering solutions and services,
along with expertise. The market is changing, and both carriers and ICT service
providers need to align with this shift if they are to remain relevant,
profitable and competitive into the future.