The tower industry is changing rapidly, and so is the TowerCo business model. At Telecom conferences around the world, the theme is similar: to future-proof the business, TowerCos must identify new revenue streams and tighten the net to ensure that they are optimizing the revenue opportunities that they have now.
New tools in digitization, digital twins and ai-based analytics can help companies make sure they’re making the most of their existing assets and identify new revenue streams. In fact, digital twins and digital data can provide another product for TowerCos.
Optimizing Assets
Before starting new lines of business, tower companies should make sure they’re optimizing revenue from the assets they have now. Digitization of their assets make business operations safer and more efficient. From drone-enabled data acquisition with AI-based analytics to detect tower inventory, flaws and empty space serving multiple users in the organization and providing a 3D simulation environment, TowerCos get tremendous benefit from digital data. That includes ensuring accurate billing based on what’s really in the field – which leads to better margins and better customer relationships.
For nation-wide, or global players, a digital portfolio can provide one, condensed source of truth and insights that can help TowerCos make more informed and effective business decisions, leading to improved operational efficiency. With the help of sophisticated analytics tools, Digital Twins enable TowerCos to get critical business insights by site or across an asset portfolio. Clear and accurate data on tenancy ratios, for example, makes it easier for companies to meet or exceed ratio targets and show value. (See our blog post on tenancy ratios here).
Platforms like vHive make it easy to identify vacant space on an asset available for sale. Automatic overload calculations ensure that each asset is optimized without increasing risk. And as mergers and acquisitions continue at a record pace, a digital portfolio allows companies to make accurate valuations and negotiate the best deals, while smoothing the process for regulators and stakeholders. (See our post on mergers and acquisitions.)
Getting Ready for New Business Opportunities
Knowledge is power: and a digital asset portfolio is a major tool in finding new revenue for tower companies. Subex suggests that companies may use vacant space not only for new telecom equipment, but for traffic monitoring or video cameras, or for advertisements. Relationships with energy services companies or fiber networks could also provide new lines of business to explore.
New technologies, trends and products can result in new revenue streams for tower companies. The organizations with a deep understanding of their portfolio assets will be poised to take advantage of new opportunities quickly, staying out in front of the competition.
Data as a Product
Digital data is valuable to multiple stakeholders, and TowerCos who have invested in digitization of their assets may find that the data offers new revenue opportunities. Customers say they need accurate data to better plan for the 5G rollout and new technologies. Insurance companies can estimate costs and process claims more effectively and efficiently with digital data. Local authorities need accurate data for regulatory approvals, or even development in the surrounding areas.
Digital twins are a major asset to TowerCos : but the data, analytics and insights offer value for the entire ecosystem. Providing that data can help tower companies increase their revenue and their value.
Tower companies are large organizations with a long history of doing business, and some have been reluctant to adopt new methods and new technologies. As we look back at the last year however, (see our blog post here) digitization, innovation, and change are the forces driving the tower industry right now.
In a rapidly changing environment, future proofing the tower business means being in position to pivot and take advantage of new revenue streams as soon as they develop. Digital portfolios and deep, AI-powered analysis provide tower companies with the clarity and insights they need to be nimble, regardless of their organization’s size and history.