Digital BSS in Telecom Industry 2023
2023 is the year of reinventing and changing business models. Now, flexibility demand is higher than ever. We pin our hopes on telecom companies in post-pandemic, war, and global crisis conditions. Telcos are at the heart of communication, the most crucial thing for businesses and society.
Meanwhile, telecom enterprises should also keep up with the times by transforming the digital landscape, launching new services, and satisfying dynamic customer demand. A Business Support System, known as BSS, is the most relevant starting point for telco digital transformation. Read on to explore how to approach its modernization to avoid common risks and achieve high ROI.
Why Do Telco Enterprises Need BSS/OSS?
BSS is an infrastructure of digital solutions that acts on a client’s side in contrast with the Operation Support System (OSS). In plain language, BSS is a set of products that help telcos automate their business operations, keep in touch with subscribers and serve them.
Meanwhile, OSS establishes control processes for a network and its equipment. Each system is used by Communications Service Providers (CSP) and is needed to support quality telecommunication services.
BSS has a few primary goals, such as:
making client-related processes well-designed and agile
enhancing customer experience
creating versatile products and offers
finding a suitable solution for any client and domain
supporting cooperation with partners
increasing the ARPU level
Up until now, there has been a consistent expansion of BSS, and it is predicted that by 2028, the revenue generated by these services will reach a substantial $38.2 billion. As a result, the transition from Network-as-a-Service to Platform-as-a-Service and BSS-as-a-Service is expected to be a significant strategic direction for 2023. This shift will prioritize the utilization of low-code / no-code and configuration-driven platforms.
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All You Should Know About BSS: Areas of Influence
BSS is a sort of IT infrastructure connecting CSPs and their subscribers. Hence, it affects all business processes relating to this field. Let’s see how it can change relevant areas of activity for the better.
Digital BSS Telecom Trends in 2023
Migration to the Cloud
Every man and his dog heard the telecom industry migrating to the cloud. In 2023, digital BSS for telecom will continue to expand. This way, enterprises can achieve:
easy software maintenance
low operational costs
The ongoing movement towards embracing cloud and hybrid cloud infrastructure reflects a significant change in how applications are hosted, allowing unrestricted accessibility. This transition encompasses offering various services as a part of the "as-a-service" (XaaS) model. It is projected that this industry will witness remarkable growth, reaching a valuation of $2.4 billion by the year 2029.
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There has been a noticeable surge in the requirement for cloud-based OSS/BSS solutions. It has prompted the industry to adapt and evolve to cater to the growing demand for highly efficient systems. Several factors contribute to this increasing demand, including:
Global acceptance and recognition of personalized cloud-based digital BSS solutions and services by telecommunication operators
The rising adoption of streamlined billing systems that offer improved efficiency
A focus on enhancing and enriching customer experiences
Pursuing business agility that enables companies to respond swiftly to market changes
The need for rapid deployment and scalability, allowing for flexible and efficient resource allocation
5G digital BSS
An advanced digital BSS platform, ready for the new technological era, empowers operators to efficiently capitalize on the data network by introducing creative and tailored offerings that enhance subscribers' digital experiences. The advent of 5G poses a unique challenge for communication CSPs as they strive to support new business models and dynamic usage scenarios without resorting to costly and time-consuming modifications to their backend code.
However, a centralized product catalog integrated within a digital BSS platform enables companies to promptly adapt to network advancements and swiftly respond to changing demands. By leveraging such a solution, CSPs can navigate the complexities of 5G and effectively seize emerging opportunities in the market.
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Open Radio Access Network (RAN) is a widespread tool in 2023. Due to it, different-sized providers can configure already working solutions of famous CSPs to upgrade back-office operations and design advanced services. It’s predicted that RAN will increase competition. The Covid-19 pandemic changed earlier forecasted scenarios of BSS development. Even now, it’s hard to imagine what trends in this area will wait for us tomorrow.
What is Digital BSS? A Complex System or a Set of Independent Solutions
Digital BSS solution covers and connects lots of segments in the telco business activity. So, it manages the entire mechanism for increasing profitability by providing quality services. The global digital BSS market is anticipated to surpass a revenue value of $ 9.6 billion by 2031, showcasing a notable growth rate of 11.9% throughout the forecast period. This projection highlights the robust expansion expected in the digital BSS telecom sector.
Anyway, each controlled area, like Product or Sales Management, needs its digital BSS provider. So, how to understand what BSS is: a united system or some independent solutions? We asked Victor Kmita, CEO at XME.digital, for the answer. He is convinced that the first option is more accurate.
“Telecom BSS includes some standard models and entities. It’s like a body, since the operation of all of its components has the same goals. If one is absent or poorly organized, you cannot provide high-quality services. Sure, later, these components can grow & develop independently, dividing into subsystems. But, anyway, Business Support System architecture should gather all these parts under one roof."
CEO at XME.digital
Sometimes CSPs do not have enough resources to upgrade all components in one shot. Or they want to implement new services in the existing system. In such a case, it’s better to start with the high-priority areas and move towards goals step by step.
BSS Improving: What is the starting point?
#1 Define what level of BSS your business need
There are three types of CSPs that use BSS of varying complexity.
Network Developer. Such CSPs act only as cellular service providers. They’re oriented just in B2C cooperation.
Service Enabler. This B2B-oriented provider applies Industry 4.0 technologies to its activity. It creates platforms and offers connectivity services.
Service Creator. CSPs that prefer cross-industrial cooperation for new B2B services creation. BSS has features that suit every provider's needs: from the simplest to the most complicated.
The ability to define what CSP you are helps you decide what type of BSS your company requires and which one best fits your conditions.
#2 Create a roadmap
Think about your business development strategy: build or update it. Steady digital development tracking allows changing the plan and adopting a BSS to new conditions in a tight schedule.
#3 Boost Your Business Processes & IT Infrastructure
New BSS is not a magic wand. It won’t bring desirable results without a suitable environment. Transform your legacy business processes and software to get the most out of a Business Support System. The extensive knowledge of your conditions and pain points allows you to define the areas of improvement.
#4 Eliminate Your Weaknesses First
"The Telecom industry begins a BSS update from CRM or Billing Systems. Companies having complicated procedures for calculating funds pay attention to the last one. The primary task for other CSPs is to engage clients' subscribers. That's why they improve a CRM system first. When a provider can boast seamless operation of the above components, it usually updates the Service Catalog."
CEO at XME.digital
XME.digital Fast-code Platform for Efficient Telecom BSS Creation & Modernization
OSS/BSS are solutions that need a unified base. Here, it easily supports new digital technologies and allows their usage. Does this mean that the BSS should be improved periodically? - Definitely. But such a process becomes faster and much more convenient due to the XME.digital.
XME.digital is a versatile digital service platform where any provider can create or upgrade all parts of its Business Support System due to configurable frameworks that support 5G, IoT, and Cloud technologies. For over ten years, CSPs have been upgrading here, an Enterprise Middleware, Real-Time Campaign Management sector, Self Service and Sales Portals, etc.
The service creation & execution environment enables 2 to 10 times faster time-to-market for new products and easier integration with other third-party services. Besides, CSP can continue to use source codes for suitable solutions.
This way, the XME.digital fast-code platform tech capabilities are appropriate for every time, goal, and strategy.
Still have questions? Contact XME.digital experts to find better solutions for your business.