Naorus Abdulghani, Group Chief Technology Officer at BeyondONE, presented the company's development of a new business model that utilises the vast amounts of data they collect. He offered a comprehensive overview of data, discussing the vast volume it entails, the challenges and fragmentation within the telecom sector, and the valuable insights that emerge when this data is analysed.
How has the telco industry evolved?
Before delving into the full story, it's essential to examine the changes in the telecommunications industry. Telecommunications is a vast, interconnected sector that is crucial for enabling global connectivity and sustaining the digital economy.
This industry has a long history and experienced substantial growth, particularly in the mid-1990s when the internet became publicly accessible, leading to the dot-com boom in 1995. Telecommunications serves as the foundation upon which many other technologies and industries are built.
Today, telecommunications companies are more than just providers of connectivity; they play a central role in the digital transformation of numerous sectors. The volume of data generated through telecommunications is enormous and supports a wide range of industries, including smart cities, IoT, digital banking, e-commerce, finance, and more.
Naorus Abdulghani - BeyondONE (NA): “It’s estimated that there are around 5.5 billion mobile users globally today, and this number continues to grow. The volume of data generated over the past 40 years - if we examine the period from 1980 up to 2027, just over four decades - is truly staggering.”
Data generated by the telco industry continues to grow
Over the past seven years, the volume of data has nearly quadrupled, and it is projected to double or even quadruple again within the next three years. One significant factor driving this data growth is the adoption of 5G technology, which has become a major catalyst behind the surge in digital services and data consumption, as people increasingly demand faster connectivity in their daily activities.
In 2023, revenue from data generated within the telecommunications sector reached approximately $1.74 trillion
In North America, the focus is on data-driven services, with mobile penetration at an impressive 105% and users consuming an average of 15 gigabytes of data per month
In Europe, the emphasis is on building robust infrastructure, advancing 5G deployment, and supporting Industry 4.0 initiatives, with mobile penetration slightly higher at 115%
In the Asia-Pacific region (APAC), priorities include accelerating 5G adoption and integrating AI and IoT technologies at the forefront of development, with a mobile penetration rate of around 98%
In Africa, the focus shifts to mobile-first innovations, particularly in sectors like banking and finance, where a mobile penetration rate of 82% indicates significant potential for growth
Naorus further explained trends in Latin America, where BeyondONE is currently operating. In this region, the emphasis is on infrastructure development and leveraging data-driven telecommunications. The mobile penetration rate in the region is approximately 110%.
In LATAM (Latin America), specifically in Brazil and Mexico, mobile penetration stands at 110%, and internet penetration is remarkably high, ranging between 75% and 85%. This reflects a region actively developing its digital infrastructure, with significant efforts underway to upgrade that infrastructure over the next five years.
Data usage in Latin America has been steadily rising, with growth rates of approximately 25% to 30%. This data explosion is fostering the emergence of key sectors like FinTech, e-commerce, and smart cities, all built on the vast amounts of data generated by telcos.
In the GCC (Gulf Cooperation Council), some of the highest mobile penetration rates globally are observed, at an astonishing 175%. Users in this region consume an average of 30 to 32 gigabytes of data per month, making it one of the most data-intensive regions worldwide.
In the GCC, internet penetration is even higher, at 98% of the population. Data consumption per user averages around 30 gigabytes per month. The focus in this region is on 5G deployment and driving innovation, particularly in FinTech and healthcare.
These trends highlight the transformative potential of telecommunications across different regions, each with its unique priorities and opportunities.
Challenges to address to fully utitlise the data
While the growth and development in the telecommunications sector are promising, significant challenges persist for telcos and MVNOs.
Fragmentation
One of the primary issues is the fragmentation of data systems.
By "data systems," Naorus referred to the infrastructure that supports consumer services. At MVNOs, this is often termed "multiple boxes" - disparate systems storing vast amounts of fragmented data. This fragmentation affects operational efficiency and hinders real-time decision-making. For example:
Billing information is stored in one system
Customer details are housed in another
Transaction data resides in yet another system
Efforts to address this issue often involve creating a framework around these systems, but this approach only scratches the surface rather than fixing the root problem - fragmented data.
NA: “This fragmentation poses additional challenges in achieving seamless integration and generating unified customer insights. Information about a customer may exist in one "box," while billing or transaction details are stored elsewhere. Efforts to build tools like a Customer Data Platform (CDP) or Customer Data Management (CDM) system are hampered by these silos.”
Infrastructure
Naorus highlighted that while cloud-native technologies are being adopted globally, regulatory restrictions often limit data movement across borders. This requires innovative solutions to maintain service quality locally. Naorus emphasised that local infrastructure must operate efficiently to meet customer expectations within these constraints.
Regulations
Another challenge mentioned is the ability to innovate within a highly regulated environment, particularly in terms of data sharing across borders. Regulations such as GDPR add to the complexity. The cloud further complicates matters, as some providers are often limited to specific countries or regions, preventing data sharing between them.
Network fragmentation
Another issue is the fragmentation of networks - 3G, 4G, and 5G - and the challenges involved in migrating from one technology to another. This adds another layer of complexity. The fragmentation of these networks poses significant challenges, but there are potential solutions that could help address some of these issues.
Operational costs
Fragmented systems lead to significantly higher operational costs, as handling everything in-house is often not feasible, requiring third-party vendors for expertise. However, integrating these vendors increases costs, extends delivery timelines, and hinders innovation. Co-ownership of resources complicates decision-making, leading to delays and a gradual slowdown.
What principles did BeyondONE base their business model on, and why is data at the centre of future-proofing their business?
Naorus highlighted that BeyondONE tackles these challenges differently by prioritising customer experience, adopting a more flexible and customer-centric approach compared to companies that focus solely on personalising or imposing predefined solutions on their customers.
NA: "We focus on creating a hyper-personalised customer experience, where customers immerse themselves in a journey and feel a sense of belonging to a community that encourages them to return and engage further. Currently, only about 25% of telcos are equipped to deliver this level of personalisation, leaving 75% unable to offer such capabilities. The result is siloed systems, lower customer satisfaction, and the need to ramp up customer service support - creating a continuous loop of inefficiency."
He highlighted that the data landscape is rapidly expanding:
286 exabytes of data, projected to grow to 700 exabytes by 2025 driven by IoT, self-driving cars, video streaming, and mobile app usage
The rise of super apps and multi-app platforms contributing to data flows
AI’s growing role in enhancing data usage and integrating into customer journeys
5G user base projected to grow from 1 billion to 4.4 billion in 3 years with 30 billion IoT devices connected by next year
75% of telcos face data efficiency issues, creating a $300 billion opportunity
There is a massive wealth of data and rich information to tap into. Data systems will be crucial in leveraging this information and driving market disruption. Currently, 79% of consumers are seeking personalised experiences, but only 25% of telcos are meeting these demands. AI-driven customer journeys could reduce churn by around 20%.
Expanding into new sectors presents enormous potential and by leveraging data insights and cross-industry partnerships, telcos could unlock:
$1.1 trillion opportunity from IoT in the coming years
$600 billion opportunity in healthcare by 2027
$1.2 trillion opportunity in FinTech, OTT, and AI
Naorus believes there is a massive amount of revenue to be made. He mentioned earlier that $1.74 trillion is generated from data within telecommunications, and by expanding into other industries, this figure could roughly double.
How does BeyondONE innovate?
NA: “We call ourselves trailblazers. Our mission is to create a more colourful, inclusive, and connected world for our users. We believe that through technology, we can develop human-centric capabilities that people can truly enjoy. We are rethinking personalisation from the ground up. While creating products for our consumers, we always start with their needs.
We believe the digital world remains highly fragmented. For example, when you travel, you often need to open four to five different apps - one for your ticket, one for your hotel, one for transport, and so on. This is not a journey; it’s a fragmented experience. Many companies try to solve this problem by simply offering multiple services in one place, like booking a car or a hotel, but that still doesn't solve the fragmentation.
At BeyondONE, we believe in technology that simplifies life and helps people make more meaningful connections. Our mission is to simplify people’s lives and empower them to focus on what truly matters.”
How do they do it?
Naorus continued by explaining that BeyondONE uses technology to deliver the right products, to the right people, at the right time, for the right reasons, and in all the right places. This approach is grounded in digital solutions based on API-driven architecture. The company offers hyper-personalised solutions that provide real value to consumers, with a human-centric approach. The system is platform-based, and supported by a strong MVNO foundation.
BeyondONE operates on top of Virgin Mobile in the GCC and Latin America and also partners with Friendly, a brand offering mobile capabilities, FinTech solutions, and eSIM services. There are additional capabilities and services in development that will further enhance the offerings provided to consumers.
Central to this approach is data, which BeyondONE believes is critical for making informed decisions and providing the best solutions. They focus on micro-segmentation, segmenting data at all levels to meet the unique needs of each individual.
Segmentation is applied at the business, marketing, and consumer levels. At the consumer level, the focus is on identifying the right product, timing, value, and cross-selling opportunities. These insights are essential for uncovering new revenue streams and determining the next business opportunities to target, enabling the company to present tailored solutions to its customers.
How does BeyondONE handle its data?
NA: "In order to deliver the desired customer experience we need to harness the data. We have a solution for managing local and global data, which we integrate through our data warehousing. This allows us to provide segmentation that makes sense and move forward with a more hyper-personalised approach. As we continue to evolve, we transition into what we call the platform engine or mobile engine, which adapts according to customer demand and needs. This means that as you use our app more, it will change based on your preferences.
As for the impact of AI on customer engagement - just by implementing AI, we can increase engagement by around 18%. We leverage AI-driven analytics to generate comprehensive, insightful, and predictive data, not only from a marketing or CDP perspective, but also focusing on what the customer wants, the products they need, and how we can collaborate with other partners to provide them with the relevant information they require."
BeyondONE is focusing on creating a unified data strategy and infrastructure, with efforts directed toward managing both local and global data solutions. This adaptable solution is being developed with a blueprint that can be applied globally, starting with the GCC and moving towards Latin America.
The company has made significant progress in implementing its systems quickly, especially through the development of OSS and BSS solutions. However, the true value lies in how BeyondONE uses the data from these systems to improve customer experiences. Additionally, BeyondONE's API-driven architecture ensures seamless integration across systems, promoting interoperability. The ultimate goal is to create human-centric results, aiming for an app experience where customers spend less time navigating and more time benefiting from the personalised solutions offered.
NA: “We believe that our customers should engage in the journey, repeat it, feel excited about it, and feel like they are part of the community. It’s not about coming in once, completing the task, and then leaving to spend time with your family or loved ones. This is why we say we are building for the future vision: human-centric, not product-driven. It is not just consumer-driven; it is truly human-centric.
The time you spend with your family and friends is more valuable than the time spent on the app, trying to open 547 different apps just to complete your journey. As I mentioned, we are positioned on top of MNOs and telecoms. We are enhancing our capabilities by harnessing this massive amount of data and cross-collaborating information with telcos, fintech, and now venturing into other sectors as well.”
Key takeaways: There is a vast amount of data and valuable information to be harnessed. Data systems will be essential in utilising this information and driving market disruption. Currently, 79% of consumers are seeking personalised experiences, yet only 25% of telcos are meeting these expectations. AI-driven customer journeys could reduce churn by approximately 20%.
BeyondONE’s approach, which leverages data to deliver hyper-personalised customer experiences through micro-segmentation, appears to be a game-changer.