The Journey from Telco to TechCo. Discover how network automation drives the future of telecommunications.

The telecommunications sector is at a critical juncture, which many analysts have described as a seismic transformation. Operators (Telcos) are facing a double pressure. On one hand, the complexity of their networks is increasing massively with the deployment of 5G and hybrid cloud architectures, which makes traditional management methods unsustainable. On the other hand, revenues from regular telecommunications services (voice, data) are falling, as competition is fierce due to commoditisation, and tech giants compete aggressively, monetising high-margin services over the networks that Telcos have built.

Given this scenario, simple survival is not enough. The way forward is transformation, evolving from a Telco to a “TechCo”: an agile, innovation-focused organisation that uses network automation to solve business problems and create new sources of revenue. This change goes far beyond operational efficiency and is a fundamental pillar for the digital future.

The Mindset Shift: From Managing the Network to Managing Value

In the not-so-distant past, Telcos were defined by their technical prowess. Their success was measured by network reliability, signal quality, and speed. The model was simple: build a network, manage it, and sell services based on connectivity.

A TechCo measures its success differently. Its mindset is not “managing the network” but “managing value”. The network is no longer just a passive asset but an active business platform that allows for the agile offering of superior experiences and innovative services.

Automation is the key to this change. It’s not a simple IT project but a strategy that touches all aspects of the business through four pillars:

• Operational Efficiency and cost reduction (OPEX): Automation eliminates manual and repetitive tasks that consume time and resources. This not only frees up teams to focus on innovation and more complex problems but also allows for a significant reduction in operational costs. The network can self-manage, predict failures, and resolve them proactively, which translates into a reduction in incidents and an increase in overall efficiency.
• Improved Customer Experience (CX): In today’s market, service quality is a critical differentiator. Automation allows operators to monitor network performance in real-time, identify bottlenecks, and dynamically optimise traffic to ensure a seamless experience. Problem resolution becomes faster, and customers enjoy a more reliable and consistent service.
• Innovation and agility (reduction of Time-to-Market): Network automation simplifies the launch of new services. Instead of weeks or months, a service can be activated in minutes. This speed is vital to respond to market demands and compete with the agility of digital platforms. The ability to rapidly launch personalised services allows Telcos to be more competitive and attractive to their customers.
• New sources of revenue: Automation not only optimises what already exists but also creates entirely new opportunities. By automating the network, operators can expose their capabilities to third parties through APIs, creating new business models such as Network as a Service (NaaS). This allows them to monetise the network in innovative ways, for example, by offering on-demand connectivity or personalised services to B2B clients, opening up a revenue stream that goes far beyond monthly data fees.

In summary, the transition from a network-centric mindset to a value-oriented one is a fundamental step. Automation is not just a tool to optimise processes but the engine of a cultural change that allows operators to be more efficient, agile, and innovative. By adopting this vision, telecommunications companies can ensure not only their relevance in the current market but also open a path towards the creation of new value, offering differentiated and personalised services that their clients truly appreciate.

Artificial Intelligence: The Engine of Transformation

While the automation of tasks and processes is the basis for achieving efficiency, the true transformation into a TechCo requires a next level of evolution: autonomy. It is no longer enough to automate reactive tasks (“if a failure occurs, restart the system”); the network must be able to predict, analyse, and make decisions on its own. This is where artificial intelligence (AI) and machine learning (ML) become the engine of change. In the context of networks, these technologies are not an end in themselves but the brain that allows the network to go from being a static infrastructure to a dynamic and self-managed system.

Autonomous networks, as defined by the TM Forum, are based on the system’s ability to perform the following actions without human intervention:

• Self-configuration: The network adjusts and configures itself in real-time to adapt to new conditions, optimising resource use and improving service quality. Technologies such as Self-Organising Networks (SON) are a clear example of this.
• Self-healing: Upon detecting an anomaly, the system is capable of diagnosing the root cause of the problem and applying a solution automatically. This drastically reduces resolution times and prevents failures from affecting the customer.
• Self-optimisation: AI analyses large volumes of operational and customer behaviour data to predict failures, optimise network performance, and improve the user experience. This proactive approach allows problems to be anticipated before they occur.

On this path to autonomy, it is essential to have a solid data foundation. As the saying goes, “there is no AI without data”. A coherent data strategy and an architecture that allows for the collection, processing, and enrichment of information from multiple sources (network systems, ticketing, inventories, etc.) is the backbone that supports the AI’s ability to learn and make intelligent decisions. This “data democracy” is what transforms information into knowledge, allowing the network to become truly autonomous.

Start your journey to the autonomous network

The transition from Telco to TechCo is no longer an option but a strategic necessity. Companies that cling to traditional operational models and manual network management run the risk of losing competitiveness, agility, and, ultimately, business value. The path is clear: embrace network automation as a lever for efficiency, customer experience, and the creation of new revenue streams.

However, this journey is not without its challenges. The transformation requires a strategic vision, a clear roadmap, and the necessary experience to navigate the complexity of system integration and the implementation of advanced technologies such as artificial intelligence. A partner is needed who not only understands the technology but also deeply understands the telecommunications sector and its processes.

At Optare Solutions, we have been witnesses and protagonists of many of the sector’s evolutions over the last 23 years. Our exclusive experience in the automation of processes and systems for the telco sector positions us as the ideal partner to guide you on this journey. We have been active members of industry forums such as the TM Forum since 2005, which allows us to apply global trends and standards to the reality of your business, generating tangible value.

The future of telecommunications is autonomous and intelligent. Are you ready to take the next step?

We invite you to delve deeper into this conversation. If you wish to understand how automation can transform your business, optimise your operations, or explore new ways of monetisation with NaaS and 5G, contact our experts. It’s time to leave complexity behind and start building the future of your business.