Essential Benefits of the Cloud in the TMT Industry
A key enabler of the digital economy, the Technology, Media, and Telecommunications (TMT) industry has remained relatively resilient to the global pandemic and recent recession and continued to shape how people and businesses across the world are connected. However, TMT is not exempt from sector-specific challenges to remain relevant and competitive. Some of the major challenges currently faced by the industry include;
- Managing the continuously changing and evolving customer behavior
- Strengthening the propositions through innovation and better quality services
- Adopting more agile approaches to technical challenges
- Having a laser focus on security and safety
- Transforming supply chains to soften the impact of disruptions
To tackle these challenges and manage growing operational complexities, TMT businesses require to realign their operating models and enhance their digital capabilities. Cloud seems to perfectly address these difficulties through leveraging disruptive technologies to support re-shaped propositions, improve customer experience, and shorten the time to market, as well as bring massive cost advantages.
Elastic, scalable, secure, and resilient IT environments
Rapid enforcement of remote working, followed by a shift to hybrid working, has brought a wide awareness of the benefits of cloud technology, including remote access to corporate data, applications, and collaboration tools. This has made the cloud indispensable for the TMT industry, particularly in the past few years, as it enables shared models for IT infrastructure and services to create elastic, scalable, secure, and resilient environments. Demand for the cloud is forecasted to grow by high double-digits in the following years, eventually making the cloud the dominant model in the industry to manage and maintain IT operations and resources.
“The cloud represents a ‘once-in-a-lifetime’ opportunity for TMT organizations to be uncoupled from legacy technology infrastructure, and create compelling career paths and employment opportunities for their staff.”
Source: It’s time for telcos to build their cloud possible | Deloitte
More than cost savings
An EY study among 550 IT decision-makers in TMT underlines that although the most common reason behind cloud adoption is known as cost savings, the participants report that their primary motivation to adopt cloud is to meet the business demands for increased speed, agility, and responsiveness.
“Once a TMT company has migrated to the cloud and eliminated its infrastructure constraints, it can embrace a cloud-supported agile development model — one that allows it to pilot, rapidly withdraw, reconfigure and reintroduce new product offerings based on market feedback and with minimal risk.”
In the era of rising customer expectations and fierce competition, migrating to the cloud is a must to stay ahead of the market and gain a competitive edge as a TMT business. According to the GlobalData TMT Industry Merger & Acquisition Report, streaming and cybersecurity, which are enabled by the cloud, were the top themes that drove TMT M&A activity in Q3 2022. The other top disruptive themes that drove TMT market growth were metaverse, IoT, AI, cloud, and digital media.
Aligned with strategic business objectives
TMT business leaders indicate that their foremost strategic objectives are improving customer experience and driving top-line growth, as per the TMT Service Providers Top 10 report by HFS. These objectives require adopting connectivity technologies like 5G, IoT, cloud, and edge computing to facilitate new business models and fuel new means for monetization. These technologies are vital to better monetize existing customer experiences and create more relevant ones. AR/VR, with the potential to deliver a $1.5 trillion boost to the global economy by 2030*, has already begun paving the way for advanced innovation in the industry through digital twins and virtually mapped ecosystems.
“For many TMT companies in particular, the cloud holds even greater potential to transform their business models and gain an outsized edge over their competitors. For these businesses, the cloud has become a primary enabler of new product development and accelerated time-to-market strategies. In a larger sense, by fully leveraging the cloud, these companies are transforming themselves into the adaptive digital enterprises of tomorrow.”
Streamlined innovation for top-line growth
AI/ML, automation, and data analytics have become prerequisites for state-of-the-art innovations and essential drivers for top-line growth. While AI/ML and data analytics deliver advanced customer insights providing the ground for excellent customer experience design, automation boosts enterprise efficiency.
“Tipping the scales in AI: How leaders capture exponential returns” report by McKinsey uncovers that the TMT businesses, which recognized the fundamental breakthroughs in AI learning and succeeded, have something in common: they have differentiated their approach in five steps:
TMT sector leaders have predominantly moved core workloads to the cloud and have already started realizing the cloud benefits. The most pioneering ones are keeping ahead of the game by re-imagining their product enrollments for agility and reshaping their customer experience designs for excellence to proactively respond to customer needs. Unfortunately, TMT companies that stick to traditional work models and rigid product development cycles are bound to lose their market share and fade in today’s utterly demanding markets.
Cloud Data Lake: A highly scalable and cost-efficient business intelligence and data insights platform for beIN Asia Pacific, part of the fastest growing global media and entertainment group beIN MEDIA
Kartaca helped beIN Asia Pacific save up to 90% on data-processing costs, achieve significant cost savings in marketing operations, reduce management’s time and effort on reporting, enable data-informed decision-making, and improve customer experience and fraud detection.
Kartaca provides TMT professionals with all the indispensable tools and technologies to rethink their omnichannel approach, capitalize on digitization and transform their business to sustain profitability. If you work in the TMT industry and require advice, direction, and help with developing your strategic approach to cloud solutions, please check our TMT sector expertise, cloud experience, and contact us.
Kartaca is a Google Cloud Premier Partner with approved “Cloud Migration” and “Data Analytics” specializations.
What are the major challenges currently faced by the TMT industry?
What do TMT businesses require to do in order to tackle their challenges and manage growing operational complexities?
What has made the cloud indispensable for the TMT industry?
What are TMT business leaders' foremost strategic objectives?
How do TMT leaders' strategic objectives align with cloud adoption?
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