Global Telecommunication Trends and the Future of the Sector
The telecommunication sector has been undergoing rapid change in recent years like never before. Advances in technology, artificial intelligence, and diversifying communication channels are forcing companies in this sector to invest significantly in their infrastructure.
Despite the increasing costs, companies are compelled to make investments to offer their customers uninterrupted, reliable, and fast communication and network support, as these investments are necessary to remain competitive in the market. Figures in the global telecommunication sector prove this. While the market size of the telecom sector was 1,805.61 billion dollars in 2022, it is expected to reach 2,652.5 billion dollars with a compound annual growth rate of 6.2% from 2023 to 2030 in the world.
Especially with the impact of increasing video traffic worldwide, telecommunication companies' network operations, 5G infrastructures, IoT solutions, artificial intelligence and automation efforts, cybersecurity, and digital infrastructure investments are determining their future positions.
5G Technology and Its Role in the Telecommunication Sector
The 5G technology is bringing significant innovations to the telecommunication sector. It enhances user experience on mobile devices with higher speed, wider bandwidth, and lower latency compared to previous technologies. 5G not only improves the user experience but also provides more processing load and data to operational support systems/business support systems. It enables telecommunication companies to optimize their network performance and strive to stand out in global competition.
Another innovation that 5G brings to the telecommunication sector is its integration with the Internet of Things (IoT) technology. By enabling billions of devices to connect, 5G contributes to more connected and intelligent solutions. The heavy data flow carried and transmitted by 5G is optimized using machine learning, artificial intelligence, and automation systems, ensuring efficient and reliable communication, unlike traditional network methods. While high-value investments were previously focused primarily on media, digital advertising, and professional services, 5G, now offered to retailers, hospitals, and SMEs, has demonstrated that new revenue streams can emerge through hardware and cybersecurity services.
Impact of the Transforming Structure of Networks on the Future Investments of the Sector
With telecommunication companies rolling out 5G networks to their customers, an increase in fibre usage to support this infrastructure is also anticipated. Additionally, Open RAN (Open Radio Access Network), which enables more effective collaboration between internet providers and devices, can be considered one of the new targets for companies looking to stand out in the telecommunication sector.
When looking at the increase in capital expenditures in the telecommunication sector, it is evident that the evolving structure of networks is a major factor. Particularly in Europe, the U.S., and Japan, the rapid expansion of 5G usage, the carrying of systems to cloud solutions, the expansion of fibre infrastructure for the internet, and the adoption of open-source networks stand out as elements that are driving up capital investments.
Artificial Intelligence and Automation Systems Impact Customer Experience
Telecommunication companies can integrate artificial intelligence (AI) and automation systems into their infrastructure to quickly and proactively address customer issues. By combining AI-powered cameras and sensors with AI-driven network maintenance automation, companies can manage and maintain their network infrastructure more efficiently. It reduces costs in the process. AI algorithms enable self-healing networks and autonomous systems to detect and resolve network issues without human intervention.
Another benefit AI brings to telecommunication companies is the enhancement of customer experience. Telecom companies frequently use AI chatbots to accelerate customer interactions. This allows them to provide fast, 24/7 responses and support, quickly reply to FAQs and improve overall customer satisfaction.
Telecommunication and Smart Cities
Smart cities, which aim to improve people's quality of life and offer an integrated living experience with information and technology, have become a focal point for the telecommunication sector in recent years. So, what role can the telecommunication sector play in addressing issues such as traffic, transportation, energy, planning, and security in smart cities?
Telecommunication companies, particularly mobile network operators and intercarrier operators can ensure the seamless operation of smart city systems by providing high-speed data transfer, low latency, and broad scope. It enables smooth interaction between smart devices, sensors, and in-building applications.
Beyond these, the telecommunication sector can play a crucial role in the digital transformation of cities and smart cities by influencing their functioning in the following areas:
- IoT Connectivity: Telecommunication operators play a vital role in establishing the necessary connectivity for IoT devices and sensors used in smart cities. For example, in cities like San Francisco and Singapore, smart parking solutions have been developed using IoT sensors and mobile applications to help drivers find available parking spaces and reduce traffic congestion in densely populated areas.
- Emergency Service and Disaster Management: The telecom sector is vital in establishing and securely maintaining communication networks that facilitate emergency service and disaster management. From ensuring uninterrupted communication during emergencies to deploying advanced video surveillance systems, the infrastructure provided by telecom companies plays a key role.
Telecommunication and Cybersecurity Strategies
The telecommunication sector must address users' concerns about the collection and storage of large volumes of customer data. Companies can gain users' trust by developing and scaling digitally enabled products and services, such as digital identity and data privacy engineering. Companies that achieve this can build their digital identity services on next-generation networks and technologies, offering new proposals to their users while exploring opportunities to increase revenue diversity and models.
Catch Future Trends in the Telecommunication Sector with Mikrolink Solutions
Mikrolink started its activities in information technologies and digital systems in 2000. Today, Mikrolink offers services at global standards with a local solution approach in America, Europe, Asia and the Middle East-Africa continents. It has expanded its fields of activity from telecommunication solutions to private communication networks, IoT and network security, IT solutions, smart systems, information technologies, cyber security, and data centre solutions.
In 2022, Mikrolink, which provided the entire infrastructure communication of the tournament as the official telecommunication partner of the FIFA World Cup, has shown that it is a global system integrator in the telecommunication sector by managing the entire process from 5G technology to fixed and mobile base station, IBS and network infrastructure maintenance.