Is There a Cloud Hanging Over Your Business Model?

Although cloud has practically become mainstream in the IT world, its promise extends well beyond technological efficiency. It offers the potential for numerous industries to open doors to more efficient, responsive and innovative ways of doing business. And perhaps no companies are more ready, willing and able to tap the power of cloud than those in the communications sector.

Given our reliance on the telecom, Internet, cable, satellite and managed services businesses that communications service providers build and manage, the "cloud path" they pursue will significantly affect us all. From what I've seen in my dealings with business leaders around the globe, the communications service providers, who operate all these connecting networks, have a unique advantage over other players in the cloud marketplace.

A new IBM study focused on Cloud and the telecom industry also indicates a definite "Cloud-shift" ahead. While only 24 percent of the telecom respondents currently use cloud for sweeping innovation, more than half plan to rely on Cloud for business model innovation within the next three years.

Cloud has the ability to give this industry a whole new slate to work from. Here are some early examples of how it is being tapped for business innovation:

In Europe a number of communications service providers have started offering cloud-based gaming to TV customers. Typically these Cloud-based gaming-on-demand services allow subscribers to simply access games through their TV channel, allowing them to begin playing immediately-- without the need to download games. Since the service is cloud-based, users don't need to acquire a console, PC or additional software.
Combining mobile communications and Cloud computing for the remote management of 'smart home' appliances is another example. Combining these capabilities can also enable manufacturers and service providers to collect data from appliances that can be used to inform product development and maintenance and provide better services to consumers.
AT&T also recently announced a collaboration with IBM to become a cloud service provider to enterprises. While this particular offering is noteworthy in that it will tap AT&T's private network rather than the Internet, it is another great example of how Cloud is transforming the telecom industry.

When it comes to cloud-enabled business models, there's still a lot to figure out, and to help them in these efforts IBM is enhancing its SmartCloud Solutions Portfolio for Service Providers with a series of new offerings. For an industry which is urgently seeking new sources of revenue, Cloud computing has the potential to bring some welcome relief, as well as exciting new services for consumers and businesses alike.