Overview:Blockchain in Telecom
Blockchain, a decentralized solution originally developed for the cryptocurrency bitcoin, has evolved beyond its intended scope and offers several other opportunities in many sectors such as government BFSI, healthcare, education, IT & telecom, energy, and industrial. Blockchain can verify data in real time and thus helps in reducing fraud across various industries.
Telecom operators are transforming themselves from legacy telecom service providers (TSP)s to service providers focusing on customer experience and core business segment.
The Telecom Industry involves many vendors, network providers, distributors, partners, VAS providers & customers and has the most complex operations framework. The blockchain technology can be applied to a variety of telecom processes, which can simplify day-to-day operations, increase security, and reduce operating costs.
The report discusses the market in terms of providers, applications, organization size, and regions. Further, the report provides details about the major challenges impacting the market growth.
The global blockchain in telecom market is expected to grow at a CAGR of 77.9% during the forecast period to reach revenue of $1.37 billion by 2024. Rising security concerns, demand for fraud management, and 5G implementation are few of the factors driving the growth of the blockchain in telecom market. For instance, the number of blockchain consortia increased from around 27 in 2017 to more than 60 in 2018.
Market Segmentation Analysis
- The report provides in-depth qualitative insights and validated market forecast or projections based on certain assumptions and historical data.
- The projections and trends featured in the report have been derived using proven research methodologies and assumptions based on the vendors portfolio, blogs, whitepapers, and vendor presentations.
- Thus, the research report represents every side of the market and is segmented based on regional markets, providers, applications, and organization size.
The report covers and analyzes the blockchain in telecom market. The key players are adopting various organic as well as inorganic growth strategies such as mergers & acquisitions, collaborations & partnerships, joint ventures, and few other strategies to be in the strong position in the market.
- The report contains an in-depth analysis of the vendors profile, which includes financial health, business units, key business priorities, SWOT, strategies, and views.
- The prominent vendors covered in the report include IBM, SAP, Microsoft, AWS, Huawei, BubbleTone, Clear, Guardtime, TBCASoft, and Filament among many others.
- IBM, SAP, and Microsoft are the key players in the blockchain in telecom market.
- In 2018, Telefónica, a Spanish telecom company, partnered with IBM for using its blockchain technology for managing the international call traffic.
- In 2019, Tech Mahindra partnered with Microsoft in India for creating blockchain-based solutions for combating spam calls.
- North America held the largest market share in 2017 and is expected to dominate the blockchain in telecom market during the forecast period.
- IBM, AWS, and Microsoft is the main factor leading to the growth in the North America region.
Benefits of the Blockchain in telecom industry
- Blockchain helps in building a network of peers, which consist of service providers, vendors, telecom operators, and other parties for increasing the trust among different partners within the ecosystem.
- Helps telecom companies in generating new revenue opportunities and streamlining internal processes.
- Provides strong encryption to record and store the data on the network in a more secure and verifiable way.
- It makes the information transparent and tamper-proof. Blockchain technology is expected to help the telecom companies in bolstering their network security and reducing the operational costs.