AI-Video Can Boost Telcos’ Industrial Solutions, but Requires Careful Partnering

M. Rogers

Summary Bullets:

• Telcos have a good opportunity to leverage AI-video systems in their wider industrial solutions portfolio as the market has rapidly matured.

• Rather than develop solutions in house, telcos should look to partner with existing vendors due to the complexity of developing AI video algorithms and integrating with industrial systems.

The use of AI-enabled video surveillance systems continues to rise across Australia as well as globally with a myriad of use cases like public safety, facilities management, crowd management, asset management, and more. However, these systems also generate a large amount of video data, which requires significant bandwidth and storage capacity to process and store. This makes the video or video surveillance as a service an attractive market for telcos and managed service providers as they seek to expand their revenue base as traditional service margins decline. However, the market for AI-video solutions is rapidly maturing and diversifying, with a growing field of specialists developing specific vertically aligned use cases for AI-video from retail, to government, to mining, education, and more. Further, video systems are increasingly integrated with other IT and operational systems such as physical security, communications networks and IoT platforms creating a complex ecosystem of solutions, vendors, use cases, and monetization models to navigate.

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The Enterprise Customer Segmentation Matrix

R. Pritchard

Summary Bullets:

• Since customer databases are available for mass business markets alongside providers’ existing major enterprise knowledge, service providers have traditionally segmented target markets by number of employees.

• Service providers are realizing they need to be more sophisticated and are trying to identify factors like digital maturity and proportion of knowledge workers.

More often than not, enterprise telecoms service providers segment the market in terms of employee numbers. Typically, they divide the market into SOHO/micro (0-5 employees: owner-managers don’t count as employees), SME/SMB (from 6-250 employees), and corporate/enterprise (250+ employees). Of course, these definitions vary from one service provider to the next, and often, specialist markets such as the MNC segment and public sector are addressed outside of the employee count model. The main drivers behind this are: (1) ‘this is how we’ve always done it,’ (2) ‘we can get databases of the target market by employee numbers,’ (3) and ‘any other approach is too difficult.’

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