July 4

The FASP4 framework for the telecoms sector

Telecoms

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How can you think clearly about the different sources of value and competitive advantage in the telecoms sector?  How can we think about where the market turbulence we see around us might be headed?

fasp4 framework telecomsTo think strategically about anything often means isolating the different drivers and understanding the influences on each driver.  In telecoms, there is a lot going on, so without a consistent interpretative grid it can be hard to see the forest from the trees.  We end up looking at things purely on the company- or market- level, but each of those entities are already incredibly complex, making insight harder to achieve.

I would like to share one of the interpretative grids that I use.  Consider it a lens, if you will, to view the industry through.

Here is a simple framework, which I call the FASP4 framework – designed to make it easier to think about the sector.  It is not rocket science and I’m not the first to propose this kind of thing, but its kinda memorable and I will hope to show in the next few posts how using it consistently will generate fresh insights into market dynamics.

As you see from the diagram, the framework is a four-layer model of the industry. We have:

  • Face” – brands, retailers, call them what you will, who manage the customer relationships and bring together or integrate multiple products and services for simple consumption
  • ACE” – Applications, Content, Experiences: the product-development layer, creating valuable digital goods and services
  • Space” – which is the network activity of providing digital connectivity over physical space.
  • Place – the rights-of-way and basic infrastructure providing access key geographic points: customer premises, cell site towers, and so on.

Over the next few blog posts I will explore the different economic characteristics and strategic imperatives of each layer in the FASP4 framework.  This will put us in a great position to start to think about the long-term merits of the various developments we see in the market. (P.S. sign up for email updates to be sure of seeing all the articles about the FASP4 framework as they are released!)

Does this model make sense? Are you concerned that I missed an element or a nuance? Comments welcome…

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About the author 

Richard Medcalf

Strategist, consultant and business leader with 15 years experience in helping companies thrive in an Internet world. Formerly a partner in strategy consultancy Analysys Mason; now at Cisco Systems, developing new strategic partnerships with leading telecoms players.

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