Building a Successful DSP Ecosystem through Converged Partner Management

Digital disruption has impacted all types of businesses, creating new avenues for growth, while at the same time, bringing new challenges for achieving the goals and facing the competition. Over the last decade, digital revolution has transformed the communications service provider (CSP) landscape creating a need for them to achieve market differentiation in response to the evolving customer profiles and face the emerging challenges from disruptive services like OTT. To turn the declining revenues from legacy voice and text messaging and the high CAPEX associated with network innovation into an opportunity to achieve top-line and bottom-line growth, service providers need to evolve as Digital Service Providers (DSPs). The new net neutrality regime and the emergence of advanced technologies like Internet of Things (IoT) and Artificial Intelligence (AI) in the 5G era call for innovative customer-centric strategies.

The evolution into a DSP can be achieved in two ways. The first is a Do-It-Yourself (DIY) approach wherein the CSPs create an ecosystem within the organization which can grow as per the market changes and expand whenever the need arises. This approach is highly resource-oriented and in most cases requires a complete overhaul of the existing business models of service providers. The rapid pace of digital innovation driven by the latest trends such as Cloud, IoT, AI and Mobility makes it nearly impossible for a CSP to build in-house capabilities around such developments. The second approach is to build a partner ecosystem wherein the CSP will leverage the capabilities of its partners for technology and service innovation to deliver tailor-made services to different types of customers. The partnership model will create a competitive DSP ecosystem that is highly sustainable because it thrives through vendor-supplier relationships and revenue-sharing models.


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