Blockchain is arguably the most talked about technology in the digital age, and one that will underpin a global market worth in excess of £20 billion by the year 2024.
At the heart of this is the diversity of blockchain’s decentralised ledger technology, which continues to impact on numerous markets outside of cryptocurrency. Take the financial market, for example, where blockchain is being leveraged to build on mobile trading innovations such as the MT4 platform so that investors can transfer assets between one another rather than transacting through a centralised hub.
This also includes the communications sector, which has already begun to benefit from blockchain’s transparent shared ledger approach. We’ll explore this below and consider the primary ways in which blockchain has influenced the market.
1. The Streamlining of Internal Processes
The provision of communication services includes a number of moving parts, from supply chain management to billing and roaming.
In this respect, the modularity provided by blockchain and smart contracts may prove extremely effective, particularly if it’s leveraged to streamline communication service providers (CSPs’) operations.
In the case of roaming, for example, the application will allow for faster identification of visiting subscribers. We’ve also seen a number of brands utilise blockchain to improve the efficiency of their supply chain and the interaction between suppliers and distributors.
Overall, it’s clear that blockchain has the potential to streamline all internal processes and operations in the CSP (News - Alert) industry, creating greater efficiency for the parties involved.
2. The Development of Trusted Digital Services
Like in any other sector, customer service is an increasingly important consideration for CSPs in an age of social media and online interaction.
Fortunately, these firms can deliver a variety of customer services built on blockchain, many of which will translate into additional revenue streams in the process.
Micropayments offer a relevant case in point, as this financial transaction model offers significant convenience to customers while also providing a new way of generating income.
By using blockchain to underpin this type of payment model, CSPs can create far greater transparency for customers while also improving their security when shopping online.
3. Collaborating in Ecosystems
A growing number of CSPs aspire to become digital service enablers in the modern age, as this sector of the market continues to experience pronounced growth.
The application of blockchain is central to the accomplishment of this goal, as its vast and transparent nature lends itself to the effective management of virtual transactions that involve numerous parties.
Prominent examples exist in the form of advertisement sales and digital rights management, as these relatively complex arrangements tend to involve a number of different participants.
On a similar note, blockchain may yet change the nature of machine-to-machine communication, by underpinning more efficient data collation and sharing. In conjunction with artificial intelligence (AI), blockchain could also help CSPs to successfully harness data from unstructured sources such as social media.
