Increasing trends toward online entertainment and video streaming through over-the-top content providers (OTTs) is posing a serious threat to traditional Communication Service Providers (CSPs). Brad Bush, an EVP and Chief Marketing Officer for GENBAND, believes that the only hope CSPs have for staying profitable in the digital economy is through integration. The bottom line is CSPs need to embrace APIs into their strategic monetization portfolio.
Current internet trends involve embedding and context, according to Bush. CSPs relying on Freemium models are still lacking necessary revenue, and as network capacity is reaching critical levels, CSPs need to consider innovative monetization techniques, such as exposing large data sets through an API. In addition, Bush suggests that CSPs should consider building their own OTT applications to develop competitive services.
According to Bush, the communications industry is nearing a "New Real Time Communications System," in which he suggests a user could literally purchase a clothing item they think is fashionable from within the show they are streaming. APIs are in the background of all this syncronicrity, enabling purchases per specific user accounts, offering location-based services, and much more. A method of integration into this ecosystem is for CSP to sell device & subscriber analytics to big data aggregate providers.