Wholesalers
The end of a species?

By Andreas Hipp
Founder and CEO, Incipio
April 2016

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Andreas is one of the most inspiring telecom executives I have ever had the pleasure to meet. He has shown time and again his passion, his creativity and his leadership skills while guiding Epsilon Global Communications, the company he founded, towards success.

He is now moving on with his career and is continuing to support the industry’s evolution through his start-up accelerator (Incipio) and his position on the board of Cirrus Core Networks, which offers an all NFV-based Infrastructure as a Service (IaaS) proposition for Mobile Network Operators.

He is also part of HOT TELECOM’s Special Forces, a group of leading industry experts who help guide our customers’ strategic evolution and new business vision.

Through his article on the future of the wholesale business, entitled:
'Wholesalers - The end of a species?', he shares with us his views on the triggers of the current wholesale market shift, and some of the business evolutions wholesalers need to set in motion if they want to survive and thrive.

I am convinced that, like me, you will find this article enlightening, while also giving you a glimpse into the way forward.

Isabelle Paradis
President, HOT TELECOM


 

Wholesalers - The end of a species?

I will abstain from going through the market or business challenges of telecom operators and the wholesale businesses specifically, as this has been covered in the media and has been a HOT topic at conferences for years, getting worse to the point of unsustainability.

This development is not something uncommon in other markets and industries, which are or have been going through cycles of dramatic changes over the years. Some professions even simply died out. They had no voice or chance to stop evolution and their “species” entirely disappeared. Almost Darwinian!


The interesting part is that, for many years, the telecom industry has complained about the unfair developments impacting their cozy and stable business. Now, they are struggling to get to grips with the fierce competition they face from non-traditional industry players taking their slice of an actually shrinking pie.

Rather than taking action, or even taking action years ago, many remain in a state of complacency or paralysis that has allowed the industry to reach a point of no return and maybe no future. Why has a dynamic and creative part of a sector, such as international wholesale, not realised that the world around is changing and that these changes will significantly affect them one day?

Over the 18 years I have spent in international wholesale, there have been a number of circumstances that I observed from the beginning, that might explain the situation the industry is in today, as it struggles to evolve. I understand it is not easy to look in the mirror and accept that what you see is true and not as pretty as one had hoped. But here I go.

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About the Author:

Isabelle Paradis

Andreas was the Founder and Group CEO of Epsilon Global Communications, which includes Epsilon service provider and Cataleya technology businesses.

During his 18 years in the global telecoms community he has contributed to the evolution of the international markets and technologies, creating innovative businesses, and disruptive business models. He loves technology but people even more and what technology can or must do for them.

He is now continuing to accelerate the industry’s evolution through his start-up accelerator (Incipio) and his position on the board of Cirrus Core Networks, which offers an all NFV-based Infrastructure as a Service (IaaS) proposition for Mobile Network Operators.

He is also part of HOT TELECOM’s Special Forces, a group of leading industry experts who help guide our customers’ strategic evolution and new business vision.



HOT TELECOM has been serving global operators, governments, equipment vendors and telecom investors for over 13 years, providing leading edge market research and consulting services to industry leaders around the globe.

For more information on our HOT INTERVIEWS program, please contact Isabelle Paradis at: paradis@hottelecom.com or at +1 514 270 1636