Operators Should Not Be Innovators

Carlo Longino has an interesting post up suggesting some things to do to improve the uptake of mobile content. It’s more about changes in broad attitudes than specific examples. For example, citing the need for innovation Carlo wrote: “Operators need to realize that they’re not, and never will be, the key innovators in mobile data. Nor should they be.” He claims operators need to empower other people to innovate — and I tend to agree with him. A few years ago I asked a senior executive of a major bank why his company wasn’t pushing the envelope in terms of financial services, and he replied that people don’t want innovation from a bank, they want security and certainty. I think the same can be said of operators — people don’t want whizz-bang services from operators, they want a network that works. In terms of improving the network innovation is good, but beyond that it’s not the main thing people want from operators.
Of course, there’s other sides to this, including (I think) a falling return on investment for providing straight network access. So while it might be best for the content industry if operators concentrated on their networks rather than trying to run mobile content businesses, the carriers may not think it’s the best thing for them.

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