Cloud computing offers an amazing array of advantages to almost all sectors that leverage IT technologies. Telecom sector is no exception to this since it has been leveraging cloud based solutions for dynamic scalability, real-time resource provisioning, backed by its utility based payment model for excellent cost effectiveness.

Benefits of cloud hosting in telecom services

Cloud technology helps telecom players improve their services and gain competitive edge due to cloud’s ability of enhancing agility and efficiency as compared with conventional IT infrastructures.

Following benefits of cloud computing are available for telecom industry:

• Improves quality and performance of services
• Device and network independent access to communication and IT services
• Mitigates upfront costs while boosting TCO

Telecom industry is governed by stiff competition among different carriers that need to struggle for meeting ever increasing demands for various applications and services. Modern consumers of telecom services need to be offered wide spectrum of services irrespective of their devices and locations. It is observed that telecom carriers are seeking efficient and affordable alternatives for delivering IT services in response to consumer demands.

Optimization of network is an important objective of every telecom provider since these are considered as vital assets with strategic significance. Networks are capable of driving financial prospects in terms of profitability of the telecom services. Cloud computing is an ideal resource to extract optimum value from existing networks.

With help of cloud computing, telecom providers can reposition themselves in the value chain by building capability of providing application delivery services that are web based. This will help them achieve a stature that is beyond simple connectivity service provider.

Enhancement of value perception

Cloud offers a broad assortment of advantages for telecom service providers that can enhance value of their offerings for greater business potential. One of the most noticeable features of cloud computing is its ability to eliminate costly on-site infrastructures that need support of hardware and software.

Service providers in telecom sector are looking for ways to consolidate and optimize network architectures and cloud computing can help them achieve these objectives. Moreover, cloud based services can be availed as and when needed so that companies can provision compute power or cloud based infrastructure in response to demand instead of investing in costly on-site infrastructures and then wait for demand generation.

Ability to procure and build infrastructures on demand improves elasticity of services and facilitates easy deployment of solutions. The demand based scalability of infrastructure is also beneficial for improvement of time to market new offers and services.

Encouraging IT independence

Globalization has revolutionized office culture as more and more employees can be positioned at remote offices. The modern workforce needs communicate and collaborate with their colleagues and office teams that may be spread out across continents.

Web based applications can help improve profitability and boost market share of telecom providers. Service providers in telecom industry can improve quality and reliability of their mobile communications, broad-band services, and open source technologies with help of web-based application services.

Cloud enables storage and processing of much larger volumes of data as compared to on-site storage resources. This also frees up local storage space and the processing power. In addition to this cloud computing technology also mitigates overall staffing and maintenance costs of on-premise infrastructures and support prompt updates of software applications, enhancement of system performance, and accessibility as well as reliability of data.

Leveraging managed service market

Managed service market backed by cloud technology is witnessing exponential growth and telecom providers can exploit this opportunity by leveraging cloud based solutions.

Since adoption of cloud facilitates a scalable resource for designing scalable services, telecom service providers can capitalize on these attributes to build managed services and claim significant market share in software based network services. This particular segment is not tapped to its fullest potential.