In the recent past, telecom industry has been hampered by the drop in the land line business globally. Cloud computing is considered as a significant source of expansion for telecom operators witnessing stagnant growth in traditional services. It also enables telecom operators to optimally use underutilized networking resources and benefit from existing business relationships.Moreover,the increasing trend of connected devices have offered the telecom operators an opportunity to capitalise on the growth of cloud services as providers as well as adopters of the technology. Telecom operators globally are aligning themselves in the cloud value chain by managing cloud connectivity, leveraging network assets to enhance cloud offerings, and advanced delivering cloud-based solutions and services. Telecom cloud typically include software (SaaS), platform (PaaS) and infrastructure-as-a-service (IaaS) models.

Telecom Cloud Market: Drivers and Restraints

Rising trends of enterprises shifting to cloud infrastructure have increased the demand for telecom cloud services alongside. In addition to this some of the prominent drivers for telecom cloud market are factors such as increasing demand for over-the-top cloud services and low administration and operational and costs provided by cloud infrastructure, among others. On the other hand, factors such as stringent telecom regulations, and risk of cyber threats may act as a major restraint for the telecom cloud market.

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Telecom Cloud Market: Segmentation

Telecom cloud market can be segmented on the basis of service model, offerings, application, end user, vertical and regions. On the basis of service model the telecom cloud market can be segmented into Software-as-a-Service (SaaS), Platform-as-a-Service (PaaS), Infrastructure-as-a-Service (IaaS), Business Continuity as a Service (BCaaS) and others. On the basis of offering the telecom cloud market can be segmented as solutions and services. Whereas the application segment in the telecom cloud market may include billing and provisioning, traffic management and others. End user segment in the telecom cloud market can be categories into SMEs and large enterprises. The vertical segment may include retail, healthcare, BFSI, transportation, media and entertainment, government, and others. Regionally, telecom cloud market can be segmented into North America, Latin America, Eastern Europe, Western Europe, Asia Pacific excluding Japan, Japan, and Middle East and Africa.

Telecom Cloud Market: Regional Outlook

Telecom cloud market is dominated by the North America, and Western Europe region. North America dominance is attributed by U.S. and Canada, as telecom companies based in these countries are significantly investing in data centres, as well as SMEs and large based in the region are rapidly shifting towards cloud infrastructure. On the other hand, Asia Pacific Excl. Japan, and Japan is expected to grow at a significantly as compared to the other region in the telecom cloud market and will see a good growth rate in the future. Eastern Europe, Latin America and MEA is expected to see a moderate growth rate in the telecom cloud market.

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Telecom Cloud Market: Competition Landscape

Among the prominent players involved in telecom cloud market, companies such as AT&T, Inc., Verizon Communication, Inc., Vodafone Group PLC, among others are Is focusing on organic as well as inorganic strategies to strengthen their position in the telecom cloud market. For instance, in October 2016, Vodafone launched a cloud-based marketplace offering specific business applications to small-and medium-sized enterprises in different sectors such as hospitality, construction and others. Additionally, in March 2016, AT&T launched ‘AT&T Collaborate’, which is a cloud-based hosted voice and collaboration solution which provides tools, such as instant messaging and presence, audio, video and web conferencing, and content sharing.

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