In conjunction with MWC Barcelona 2022 which will be taking place from the 28th of February to the 3rd of March, Tara Neal, Executive Editor of The Fast Mode spoke to Andrew Walker, Global Communications & Media Industry Lead at Accenture on the company's plans and showcases for this year's event.
Tara: What do you think MWC 2022 will be all about? And what are your MWC 2022 plans?
Andrew: With more than 60,000 people expected to attend the show, it is exciting to think about the in-person conversations and experiences attendees will have. In fact, we have designed the Accenture booth (Hall 4, Booth # 4B100) around the top trends and themes that we will think will be most relevant this year. Check out our list below of what we think will be the hottest topics:
1. 5G Sustainability - As 5G networks and 5G-enabled technologies become more prevalent, we expect the sustainability opportunity of 5G to be high on the agenda for CSPs. According to the Canadian Wireless Telecommunications Association (CWTA), 5G technologies can help Canada achieve up to 23% of its emission reduction targets by 2025, and CTIA - The Wireless Association has found that 5G technologies can contribute up to 20% towards U.S. emission reduction targets by 2025. Not only is 5G poised to be the greenest generation of network technology yet, the sustainability of the technology should also address challenges like governance and security, as well as consumer accessibility to close the digital divide.
2. The Comms Industry and the Metaverse - Conversation around metaverse environments and the convergence of physical and digital worlds has exploded in recent months, spearheaded by the leading players in big tech. It is set to be the backdrop for a cultural and business model evolution. In fact, the metaverse market is predicted to reach $814 billion by 2028. Our own research found that in 2021, businesses were doubling down on virtual and augmented reality, with 88% of global organizations investing in technologies to create virtual environments and, among those, 91% are planning to invest further.
Engineers, developers, creators, policymakers, and telco partners all need to join up to build these new worlds. As an example, at Accenture, we’re deploying 60,000 VR headsets and have created an enterprise metaverse, called the “Nth Floor,” where employees from around the world can meet for presentations, socialize as teams and participate in immersive training.
3. Success of the Mobile Ecosystem - Vertically integrated industry solutions, such as automotive, banking and manufacturing are critical to the success of the mobile ecosystem for both consumers and enterprises. Coupled with an ecosystem partnership approach with different industries, CSPs have even greater opportunities to create greater long-term value for their business and customers. Take the financial services industry as an example of this mobile ecosystem opportunity, alongside some of its challenges. To a large extent, the mobile ecosystem is the backbone of its digital payments landscape. Many operators have entered the financial service space over the past five to ten years, building fintech businesses with strong new assets and significant revenue growth. The success of digital payments will require the convergence of fintech organizations and mobile operators to power payments and digital identity. This collaboration is critical to address the recent explosion in mobile wallet-based payment solutions that offer convenience to consumers.
The automotive industry is another example of how CSPs are partnering to enable successful mobility. At MWC, various auto manufacturers will showcase the future of mobility with autonomous driving as one of the core topics, alongside green mobility and other connected car services.
4. Open RAN - One of the most hotly debated topics in the industry at the moment is Open RAN. This technology allows service providers to speed up 5G network development through its open architecture. By opening up the network and bringing in cloud capabilities, carriers can run their networks more efficiently and in ways that were not possible in the past. Longer term, this is expected to be a game changer for large and small providers - yet today, it’s the newer providers such as Rakuten that are driving innovation in this area. However, it’s only a matter of time before the larger, more established players seize the opportunity.
Also, at MWC Barcelona, we will have a number of Accenture representatives speaking at a variety of panels, which can be found at this link.
5. The Promise of 5G - 5G continues to be a hot technology that we have seen a lot of activity around in recent months. In addition to the great capabilities that 5G will offer, it is also expected to have a transformative impact on global economies. According to recent economic modeling analysis, the impact of 5G on the U.S. economy alone could drive up to $2.7 trillion in additional gross output (sales) growth between 2021 and 2025. This is a significant opportunity, and telecom providers can benefit greatly because they play an instrumental role in putting the global 5G backbone. They have a unique opportunity to capture new revenue opportunities based on all the exciting capabilities that 5G has to offer.
A good example of what 5G can do for industries is our work with TIM Brasil to successfully implement a private 5G network for Stellantis’ automotive plant in Goiana, Brasil. The 5G network integrates artificial intelligence, video analytics, cloud computing, and Internet of Things into Stellantis’ manufacturing processes on the shop floor to automate its quality processes. This pilot project, when fully implemented, is expected to greatly improve productivity for the Stellantis factory, while reducing operational expenses. In fact, we’re short-listed by the GSMA for a GLOMO Award at this year’s MWC Barcelona.
Tara: How has the pandemic impacted the operational and business landscape of the tech segment you are operating in?
Andrew: The pandemic, combined with technology disruption in general, has created disruptions of seismic proportions, altering the way the world population lives, works and plays. This has created challenges for companies because not only has the way they have traditionally done business changed, but so too have their end customers. Those companies that started the process of digital transformation prior to the Covid-19 clearly reaped the rewards, while others were left trying to catch up and get on the digital transformation wave.
However, while the pandemic certainly caused great chaos and disruption, it also brought great opportunities across nearly all industries and market segments for companies to transform themselves into more efficient and profitable businesses. From adopting innovative new technologies such as AI and machine learning to new as-a-service business models that enable new and recurring revenue streams, we have seen companies learn to unlock new opportunities they never thought existed in their traditional business. We expect to continue to see this trend over the next several years.
Tara: What emerging trends/technologies have you observed in your tech segment in recent months?
Andrew: Another major trend we see taking place is around small to medium sized businesses (SMBs). Based on our research, this segment represents the biggest opportunity for carriers to go beyond connectivity, and this market is huge and untapped. SMBs are growing at a rate not seen in decades and are employing more people than ever before. They are doing business differently - virtually, even with customer care.
As more SMBs embark on digital transformation, they’re boosting their investment in IT products and services. In fact, SMB spending on new technologies and related products and services is projected to climb more than 6% between 2020 and 2025. A lot of this momentum can be attributed to COVID-19 which, despite slowing IT spending in the short term, created a greater sense of urgency among SMBs to become more digital as they witnessed the pandemic’s impact on their business.
Andrew Walker is senior managing director and global Communications & Media industry lead at Accenture. In this role, he is at the leading edge of helping our clients embrace and accelerate the need for convergence and transformation, and to help companies create new and winning strategies for growth, profitability, and competitive advantage.
