The global economy is undergoing a transformation, with changes expected to continue through the second half of the year. Network technologies play a crucial role, as communication is as important as electricity in this macroeconomic environment.
In times of economic uncertainty, people may not buy that VR headset for games but they will still invest in their businesses. This is where telecommunications companies should focus their efforts.
As businesses re-evaluate their priorities, they may delay investing in more speculative aspects of 5G, while at the same time, looking to accelerate their move towards cloud computing due to cost savings and greener power consumption.
Telecoms companies are expected to double down on technologies that directly impact customer experiences and revenues, such as billing capabilities, subscription services, and credits. This refocusing will influence the development of the metaverse, which requires an unprecedented level of connectivity.
According to Niall Norton, General Manager & Amdocs Networks Division President, the real value of the metaverse lies in changing how businesses operate—for example, by making smart factories more cost-efficient or using holographic technology for training purposes.
The transition to the metaverse will happen gradually over the next two to three years, allowing the internet to be used in more engaging ways. Technologies that solve similar business problems will converge, driving true change in the form of incremental solutions.
Smart cities are a prime example of how the metaverse can drive changes at multiple levels. By creating a digital twin of a city, one can monitor and manage various systems such as power lines, sewage, traffic flow, and crime. This kind of functionality requires a vast network of monitoring devices and connectivity, making telcos a critical component of the value chain.
As the metaverse continues to develop, new opportunities for monetization will emerge, with creators able to offer their content in various formats and resolutions. In turn, telecoms companies can create content stores and self-service capabilities to facilitate distribution and transactions.
To be successful, telcos must provide solutions that simplify processes and make user experiences as seamless as possible. With every major industry now relying on network components, connectivity is key to enabling not only business growth but also contributing to a greener, more sustainable future.
Indeed, the metaverse is an accumulation of functionality enabled by an array of platforms. While there is still much progress to be made, the potential to reshape industries, create new opportunities, and address broader societal challenges is exciting.
