Business Model Innovation
for the Digital Economy

What is the Telco 2.0™ Initiative?

Telco 2.0™ is a collection of research, brainstorming and
consulting services designed to catalyse change in the
Telecoms-Media-Technology sector.

Telco 2.0™ is a collection of research, brainstorming and consulting services designed to catalyse change in the Telecoms-Media-Technology sector.

The Initiative stimulates new ways of thinking about Business Models, Service Portfolios and Technical Architectures.

Created by boutique analyst and consulting company, STL Partners, the Telco 2.0™ Initiative was launched in May 2006 and is supported by the GSM Association, among other organisations around the world.

Since we launched the concept of the 'Two-Sided Telecoms Business Model', the approach has been finding increasing resonance at senior levels in both mature and fast growth markets.

Why does it exist?

Key challenges for strategists who work in or with the telecoms industry are:

Conventional Answers are Unsatisfactory

Leading strategists now agree that today's predominant 'one-sided' telecoms business model does not provide sufficient answers to these questions, for telcos or for other players in the digital economy. Something new is needed.

Challenges to the Telecoms Industry

IP has changed the game and many growth markets are maturing rapidly. The lines between industries are blurring and everyone is after the same consumers. This is causing disruption in the telco industry, for operators and their partners. Greater levels of creativity are needed to address the following issues:


The Opportunity

Fortunately telecom's companies possess a whole host of assets that could be exploited much more to support new, sustainable market growth. The key is for telcos to create open platforms that help other service providers (enterprises, SMEs and government) interact with end-users in more efficient ways than they can today.

Telco 2.0™ 'two-sided' telecoms business model

Telco 2.0™ 'two-sided' telecoms business model

We call this the 'two-sided' telecoms business model, delivering value to and generating revenue from 3rd party service providers as well as end-users. The 'two-sided' business model has consequences for the design of existing services such as conventional voice, messaging and data/broadband products (e.g. see Voice & Messaging 2.0 "What to learn from - and how to compete with - Internet Communications Services") and also creates opportunities to create new revenues and B2B Platform Services.

Our analysis shows that in 10 years time this new business model could deliver up to 30% growth in annual revenues to operators and dramatically enhance the value of the industry to the wider 'digital economy' (Please see: Future Broadband Business Models "Beyond bundling: winning the new $250Bn delivery game" and The 2-Sided Telecoms Market Opportunity "Sizing the new $125Bn platform services opportunity")

To realise this ambition we need to re-think not only our organisational and technology structures, but also how we collaborate across a wider ecosystem.

How to get involved?


Who to contact?

Enquiries to: contact@stlpartners.com

TELCO 2.0™ MANIFESTO