@ 4G World: Operators need to partner, find balance with over-the-top providers

CHICAGO—Wireless operators have the opportunity with next-generation networks and services to partner with over-the-top providers in new ways to make “a heck of a lot of money,” Sanjay Beri, VP and GM at Juniper Networks, told the 4G World audience at today’s keynote speech.
Delivering a mobile security suite to enterprise users at $1 per month could reap an operator with 87 million subscribers an extra $500 million in annual revenue, Beri said. But beyond the business play, today’s youth are a target market for service providers. This “Gigabyte generation” consume content constantly and in a variety of ways. Yet their relationships are with over-the-top providers like Google Inc. and Facebook. Service providers need to leverage their network assets to change the balance of power, partnering with the over-the-top providers to form new partnerships that benefit the service providers, new media companies and end users.
Beri went on to explore four new revenue models. Operators are beginning to charge for service controls, like tiered subscriptions and guaranteed delivery; they are exploring two-sided business models, where they can sit between a content provider and end user; long-tail applications, like dog collars and pill bottles with embedded chips that can transfer information over the network; and the Internet of things, where machines talk to each other and the network.
From the end user’s perspective, people want an integrated user experience, so their tablet talks to their smartphone and refrigerator and Android television set, Beri noted. Going forward, wireless service providers should be able to leverage the intelligence of the network to take advantage of mobile advertising and other opportunities without disclosing personal information, much like Facebook and Google do today, Beri said.