Driving Operator Success: Seizing New Revenue Streams with 3GPP MCS

In the ever-evolving telecommunications landscape, operators constantly seek avenues to expand their business horizons and capitalize on emerging trends. The 3rd Generation Partnership Project Mission Critical Services (3GPP MCS) is a game-changer that promises lucrative opportunities and leverages existing infrastructure to drive profitability. Let's delve into how operators can seize the potential of 3GPP MCS to unlock new revenue streams and solidify their position in the market.

Revenue Potential of Professional Users

One of the primary drivers behind the adoption of 3GPP MCS is the substantially higher average revenue per user (ARPU) among professional mobile radio (PMR) users compared to consumer users. PMR users, such as public safety agencies, industrial enterprises, and critical infrastructure providers, have unique communication needs that demand reliable, secure, and mission-critical services.

These users are willing to pay a premium for broadband communication solutions that offer guaranteed Quality of Service (QoS), low latency, and high availability. Selling critical communications services to them ensures a steady flow of revenue for operators, surpassing the one-off deals typically associated with private LTE/5G network sales.

Investment Requirements

One of the most compelling aspects of leveraging 3GPP MCS for operators is the minimal investment required. Unlike traditional network deployments with substantial capital expenditures, operators can capitalize on their existing LTE and 5G infrastructure to offer MCS solutions.

With LTE and 5G networks already in place, operators can seamlessly integrate MCS functionalities, such as priority access, pre-emption, and group communication, without significant additional investment. This accelerates time-to-market and maximizes return on investment by leveraging existing assets and resources.

Reseller Networks

Operators possess sophisticated distribution networks comprising retail outlets, resellers, and digital channels, enabling them to effectively promote and distribute MCS solutions to target markets. Leveraging these established distribution channels, operators can swiftly penetrate critical verticals, such as public safety, transportation, healthcare, and industrial automation.

Operators can efficiently reach professional users and enterprises seeking mission-critical communication solutions. This enables operators to capture market share rapidly and capitalize on the growing demand for reliable and resilient communication services.

Government-Led Evolution to MCS

Governments worldwide are driving the evolution of mission-critical communication solutions or convergent solutions that integrate PMR and broadband technologies. This is evident in countries like the US, the UK, Europe, and South Korea, where regulatory bodies and public safety agencies are mandating the transition to modern communication standards that align with the 3GPP MCS.

By aligning with government initiatives and regulatory mandates, operators can position themselves as strategic partners in the digital transformation journey of public safety agencies and critical infrastructure providers. This ensures compliance with regulatory requirements and opens doors to government contracts and partnerships.

Seizing the MCS Opportunity

In conclusion, 3GPP Mission Critical Services presents many new business opportunities for operators seeking to diversify their revenue streams and capitalize on emerging market trends. From the high ARPU of professional users to the minimal investment requirements and sophisticated distribution networks, operators have all the ingredients for success.

A one-stop-shop approach is vital for enterprises and public sectors. Operators can collaborate with an existing mission-critical service provider to introduce mission-critical broadband services. Operators focus on their vital network capabilities and business model. At the same time, the service provider takes care of the operational requirements for critical users based on their knowledge of the mission and business-critical communications.

For over 30 years, Hytera has been focusing on the requirements of enterprises and public sectors. Hytera launched its end-to-end MCS solution, Hytera HyTalk MC, in 2018 and now serves customers from many countries and regions with the MCS solution.

With a clear trend toward MCS adoption globally, now is the time for operators to seize the opportunity and embark on a new journey of growth and profitability.