Cloud: Computing, telecoms industries set on collision course
March 6, 2015
Grazed from Reuters. Author: Editorial Staff.
Telecom network gear makers are on a collision course with Silicon Valley computing giants as software and cloud computing have begun to change the way operators from AT&T to China Mobile run their networks. The shift, while in its early stages, involves relying on ever cheaper computer boxes and powerful software that promises to make networks more flexible and efficient.
As networks move to relatively standard hardware, formerly entrenched equipment groups must increasingly compete for contracts with the likes of Cisco, Hewlett-Packard and VMware, as well as a slew of startups. Relying more on software to run networks could boost the gear makers’ profit margins one day, but will also force them to search for new sources of revenue…
They must learn skills such as acting more as consultants or finding business beyond their traditional telecom operator clients…
Read more from the source @ http://www.reuters.com/article/2015/03/06/telecoms-mwc-collision-idUSL5N0W81N620150306