Market drivers
The telecom market is in these years about to change dramatically. New technologies, new trends and new business models has meant that the market is moving away from the classical approach where a few large operators focussed on large products and into an open market place where many different players delivers different solutions.
Some of the drivers for this market change are the following:
- Decreased profit margins on basic phone services – the result of competition and consumers demand for flat-rate
- The growing need for FMC services
- The use of outsourcing - to minimize OPEX and controlled investment in infrastructure - to reduce CAPEX
- A need for new business models are arising in the network operator value chain – the existing business models are an impediment on economic growth
- The value chain is growing due to a number of players are seeking their place in the total value chain
- Threat from new IP service providers - Skype, Google, MSN and Yahoo and many more
For Xentronik this is of high importance as it opens up for innovative companies and their solutions for a market where everyone is trying to differentiate themselves.
How we fit into the above
In order to gain footprint on the above competitive market Xentronik has set out some objectives in order to meet the demands of the changing market as follows:
- New markets – The telecom market is changing and new players (MVNO's, ISP's, Whole Salers and many more) with less telco experience are emerging on the market claiming their parts of the market. Xentronik has developed concepts and possesses market experience and technical competencies that will help enable those new emerging operators to break into the market with revenue increasing products with less pain and at much lower cost. Business models have been adjusted over the years to accomodate for any need an operator may have in order to keep their CAPEX and OPEX low while focussing more on the customers than on the technology.
- New products and services (applications) – Xentronik has developed the CTiBridge concept which allows us to offer already existing services alongside with an almost unlimited number of other services that can be build using CTiBridge. CTiBridge has also made it easy for other third party developers to leverage on the deployments and integration expertise that has been build into the use of CTiBridge. We have added API’s on top of our existing solution pack which will make it easy for third parties with limited telecom knowledge to implement their services in an operator network.
- New service layer technologies – CTiBridge comply with the technologies expected to hit the market and be adopted by the network operators and thus suppliers. With the current and future offerings, operators will most likely never be at risk of coming to an end of lifecycle after having introduced our solutions. Today our services and service framework already cover all network technologies from classical IN based over OSA/Parlay and JAIN/SLEE to SIP and IMS. Thus our software code can be used again and again giving the network operators trust in buying from us.
- New User client technologies – User Clients will play an important part in the future IMS based networks and will contain more standardized mass market features then seen in the current GSM, UMTS and IP world. The combination of terminals with our central network centric services will generate a strong offering. There will arise an almost unlimited amount of convergence possibilities through this.
- Cross-network services – Both Xentronik’s current and future value proposition will allow network operators to offer cross-network services to their end users providing a huge advantage and value add to those. This creates a huge opportunity for increasing ARPU while keeping churn down.
- Cross-boader services (Global hosting) – The technologies used by Xentronik in combination with the services offered provides the means in future to offer services through and while partnering with network operators in thus these are hosted by Xentronik and can be provided across networks by means of establishing connection to Xentroniks global hosting centre. This is achieved by using standardised protocols and TCP/IP based interworking with networks. Network operators can thus obtain N-1 services with a minimum integration effort thus greatly saving CAPEX and OPEX while minimizing their risk of failure to a minimum.