TIME Germany | MANAGER MAGAZIN | 26 June 2013

O2 and E-Plus escape into alliance of losers

The German mobile communication operators O2 (Telefónica) and E-Plus (KPN) want to merge. With such a merger, Deutsche Telekom and Vodafone would face a new market leader. But this is rather a desperate deed: Rising capital costs for networks and licenses combined with falling turnovers, caused a dramatic drop in prices and new competition by free suppliers like Whatsapp is enforcing this approach. “Neither can reach the critical mass on its own," comments consultant Dr Michael Opitz from Arthur D. Little.


Big Data creates cross industry technologies

Beside marketing and distribution, Big Data will offer an added value for many industries.  The development of the analytics is useful to the automotive and energy industry and for the further evolution of medical technology. But in order to benefit from Big Data, it is important to know how to make the data usable. "It is essential to identify the strategic value of certain data”, explains Dr. Klaus Schmitz from the global strategy consultancy Arthur D. Little. “Companies need to analyze their own and adjoining value chains to match their information requirements with innovative sources of information.”

TIME UK | Infrastructure Journal | 20 June 2013

Will 4G pave the path for growth?

Didier Levy from Arthur D. Little questions whether 4G will reverse the trend of recent falls in revenues from European telecom operators (down by 3.8 per cent in 2012). Indeed, 4G should be recognised as a vital opportunity for telecom operators to realise growing usages in the market, in order to provide an additional 10 years of capacity to mobile networks in Europe. This will facilitate a rapid spread of 4G across Europe where it is expected to achieve considerable commercial success. However, it is argued that although 4G seems likely to become increasingly important to the market, it is unlikely to improve the sector’s revenues. Moreover, revenues are expected to continue to fall in Europe even despite 4G, with an average predicted 1.8 per cent fall per year by 2016. Thus, while 4G may not be able to steer telecom operators back onto the path of growth, the new technology still presents a valuable advantage for operators when striving to innovate in their services, offerings and networks.

Energy & Utilities Germany | HANDELSBLATT | 18 June 2013

A grid per region

In Germany, more power from alternative and decentralized power sources reach the grid. This presents energy providers and network operators with various challenges. Due to the turnaround in energy policy in Germany, the distribution network has to balance supply and demand without a notable loss of comfort for single households. It is being tested in different pilot projects to see how a smart grid can cope with these demands. "The pressure to find decentralized solutions further increases," says Dr Matthias von Bechtolsheim from Arthur D. Little. “We are currently developing a range of intelligent decentralized energy supply concepts.”

TIME UK | The Gulf Times | 17 June 2013

Fibre rollout fastest in Qatar, says report

Qatar’s nationwide rollout of fibre, driven by private investment and in partnership with some of the country’s leading businesses, is being hailed as a huge success in harnessing its modern communication technology. As a report by Arthur D Little shows, Qatar has been placed top worldwide for the ‘fastest fibre rollout’ since the start of deployment in 2011. This is bringing increasing visibility to the region in global discussions on high-speed broadband infrastructure deployment, yet significant challenges still need to be overcome, and this requires intensive government participation. Thus, based on a global market survey, ADL has identified five National Fibre models that governments around the world have adopted to reap the benefits from fibre. The most successful models involve a hybrid approach; identifying the best model for specific national market conditions and the correct application of that model. It is no longer possible to modernise and upgrade the copper-based network; fibre networks are now needed not only for fast service, but to also underpin the micro layer of the latest mobile backhaul networks. ADL’s study is exemplified by the case of Ooredoo, who are contributing to Qatar’s fibre success, for instance through their proposed ‘Business Fibre’ plan.

Technology & Innovation Management UK | Realtimes | 15 June 2013

Transforming tomorrow’s workspaces - How businesses are adapting to virtual working

Issue 2

Building upon Arthur D Little’s latest Global Innovation Excellence Survey, the article challenges businesses to consider “how well are you innovating”? With results from the survey showing that top quartile innovation performers can get up to 13% more profit from new products and services than average performers, and with the news that they can also shorten their time to break even by 30%, the article offers five ways to ‘crank your innovation engine’. Above all, the article asks companies to see innovation as a process that can be managed and monitored, rather than resulting from ideas that occur as a kind of ‘mystical gift’. Moreover, if innovation is treated like a science, as evidenced in the five steps, rather than an art, it can produce significantly improved results. As Arthur D Little’s survey highlights, there is a huge amount of innovation waiting to be unlocked. If management starts to believe in its organization’s innovation capability and a culture of ‘nimble innovation’ is formalized, then this potential can be realised.

TIME Austria | WIRTSCHAFTSBLATT | 11 June 2013

Differentiate, but how?

Global consultancy Arthur D. Little recently published a new study about the telecommunication industry together with the French brokering house Exane BNP Paribas. It examines the industrial chances for new mobile communication standard LTE. The title of the study sums up the uncertainty of the industry: “4G – going faster, but where?” To remain competitive, the industry has to be much more differentiated, stresses Dr Karim Taga, CEO of Arthur D. Little Austria: "The previous business model of the mobile communication operator will not last. Without additional offers like cloud service or on-demand media, telco companies will not be able to differentiate from their competitors and the desired rise in prices will not be successful."

Energy & Utilities Germany | Energie & Management | 05 June 2013

South-Eastern Europe in the focus of energy suppliers

Following the decartelization of the distribution networks and the market liberalizations for electricity trading, energy suppliers could become the most competitive companies of the sector in the western part of the Balkans. According to a Arthur D. Little analysis, energy suppliers’ structures and work routines must change as part of a performance unbundling. The countries involved, such as Albania, Bosnia-Herzegovina, Macedonia and Serbia, should create unique organizational economic conditions and arrange the connections between the companies in the form of a service level agreement. All companies should primarily tend to the criterions efficiency, restructuring and implementation of modern IT systems. Because electricity trading in the Balkans is still in its infancy, the affected companies should expedite creating a corporate strategy that includes level-headed risk management.

TIME UK | Mobile Communications International | 01 June 2013

LTE: Will faster = richer?

The article outlines a recent Arthur D little study which sought to determine the views of the industry on the impact of 4G LTE on European operator revenue trajectories. European operators’ 3G networks are expected to hit a ‘capacity wall’ and 4G LTE is posited as a great tool to surmount this. However, the 12th joint ADL & Exane BNP Paribas concluded that while 4G will quickly become essential, it will not revive the sector’s revenues. ADL’s ‘TIME’ practice Director, Didier Levy asks ‘so what can operators do?’ Overall, mobile operators will continue to suffer from a tough market environment but there is lot that can be done to improve their revenue and cash-flow outlook: the article identifies five main levers to do this. While 4G is not expected to stimulate significant growth for telecom operators, it will certainly offer some commercial success and will provide opportunity for operators to take advantage of this new technology to innovate.

TIME UK | Information Week | 31 May 2013

U.K. Fiber Failures Hinder Economic Growth

An article on Arthur D. Little’s warning that Britain risks falling seriously behind its European neighbours in terms of serious uptake of fiber broadband technology. Karim Taga, Managing Director of Arthur D. Little, is quoted as saying “The U.K. is one of the least-penetrated economies in Europe.” Andrea Faggiano principal in Arthur D. Little’s TIME Practice added, “The challenge of how to attain the clear national economic benefits of the latest fiber infrastructure while managing the considerable investment required is still unclear in many markets.” The article uses results from a new study that Arthur D. Little released on the state of fiber network markets in Europe.

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