4 Trends Shaping Cloud Communications In Europe
This is a guest post by Iain Sinnott, Head of International Carrier Sales at ...
21 Mar, 2023
This is a guest blog post by Alan Percy, CMO at TelcoBridges.
Since the start of the pandemic, 93% of enterprises increased their use of cloud communications tools1 – and to great success. One study found that businesses using cloud comms saw higher ROI (47%), happier customers (46%), and improved employee productivity (32%).2
Understanding Cloud Communications
Fast-forward to today and cloud communications are no longer a temporary adaptation; they’re a habit. We all know how to hop on a Zoom call, and remote work is taking over as the norm. This shift has even impacted real estate, with thousands – if not millions – of businesses downsizing their offices and moving to a remote or hybrid work environment instead. Everything from how we hire people and where we find them to how we collaborate in the “office” has changed, thanks to cloud communications.
Businesses and consumers alike now expect flexible voice and video solutions, so I think it’s safe to say that the telecom landscape is undergoing a massive transformation. Here’s what I think that means for telecom providers and why it’s time to go all-in on cloud communications.
Core Components Of Cloud Communications
VoIP (Voice over Internet Protocol)
Enables voice calls over the internet, eliminating the need for traditional phone lines.
UCaaS (Unified Communications as a Service)
Combines communication tools like messaging, voice, video conferencing, and file sharing into one integrated platform.
CPaaS (Communications Platform as a Service)
Provides APIs to embed communication functionalities like SMS, video, or chat into apps and software.
How Cloud Communications Differ From Traditional Telecom
Infrastructure
Traditional telecom relies on on-premises hardware, whereas cloud communication is hosted virtually.
Scalability
Scaling a traditional system often requires costly upgrades; cloud communications can expand seamlessly with minimal effort.
Flexibility
Cloud systems support remote work and device independence, whereas traditional systems are location-bound.
The Role Of The Internet & Cloud Infrastructure
The backbone of cloud communications is the internet, supported by robust cloud infrastructure such as AWS, Google Cloud, or Microsoft Azure. These platforms ensure reliability, scalability, and global reach, making it possible for businesses to adopt a more dynamic and interconnected communication strategy.
How Telecom Providers Can Leverage Cloud Communications To Stay Competitive
For all of us in the industry, the push for cloud comms wasn’t a surprise. We all knew it was coming – but instead of taking 10+ years to gain popularity, the pandemic made it happen in months.
Hyperscalers grabbed most of the market at first, but now regional service providers are in a position to keep up with the bigger players. These providers already own the local telephone numbers and have a direct relationship with their customers. They’re gaining ground by offering cloud services supported by hands-on, personalized customer service – something hyperscalers typically lack – and educating customers about these services.
Despite these advantages, I’ve spoken with telecom providers that still aren't sure about offering cloud communications. Moving customers to the cloud can seem complicated, so the hesitation is understandable. Luckily, we’re making network transformation easier and easier with new conversion technologies. Some of the tools we offer at TelcoBridges include:
- Media gateways, which convert older digital technologies like T1, E1, and DS3 connections to SIP-based IP. This enables providers to migrate customers with older circuits or interconnected trunks to cloud technologies.
- Signaling gateways, which convert the legacy SS7 protocol – a packet-switched network – to SIGTRAN, enabling customers to leverage cloud-based communication platforms.
- Session border controllers (SBC), which resolve interoperability issues between multiple providers. This normalizes any technical differences and serves a single version of SIP.
Key Risks In Cloud Communications
Besides regulatory changes, I don’t foresee many threats impacting the industry in the next few years. Among the most pressing concerns are:
Regulatory Compliance
Frameworks like STIR/SHAKEN aim to combat spam and fraud but impose strict compliance demands, leading to operational headaches.
Security Threats
Data breaches and unauthorized access can undermine trust and business operations.
Integration Complexity
Adapting legacy systems to cloud solutions can result in downtime or compatibility issues.
Opportunities In The Cloud Communications Landscape
Despite the risks, the move to the cloud is opening doors for telecom providers to innovate and grow:
New Revenue Streams
As regulations enforce better standards, services like identity authentication and fraud prevention become monetizable solutions.
Strategic Partnerships
Cloud platforms encourage collaborations with tech innovators to create robust, scalable offerings.
Service Innovation
The cloud supports real-time communication tools, AI-driven analytics, and improved customer experiences.
One thing is clear: the telecom market is moving to the cloud. Now’s the time to jump on cloud communications so you can position your company for success in this ever-changing industry.
Why Now Is The Time To Transition To Cloud Communications
The telecom industry is evolving rapidly, with cloud adoption at its core. Embracing this shift now ensures:
Future-Ready Infrastructure
Staying competitive in a market driven by connectivity and innovation.
Adaptability To Change
Cloud communications allow businesses to pivot quickly in response to regulatory or market shifts.
Customer Retention
Enhanced services, improved security, and seamless experiences keep customers loyal.
As part of the TelcoBridges team, I’m thrilled to play a big part in changing how businesses communicate. If you want to learn how we can help you move your customers to the cloud, give us a shout. And if you’re looking for more cloud comms news, the CCA has a lot of great insights – check out their articles or become a member today.
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