Arthur D. LittleArthur D. Little

Industries / TIME

TIME-markets on the verge of radical change

For more than two decades now, TIME-markets have found themselves in a process of continual change. The liberalisation of the markets, GSMís triumphal procession and the rise of the Internet which triggered ""-euphoria, all did their part for the TIME-market which has been booming since the beginning of the 1990s. However, growth with the traditional business model came to an end a couple of years ago.

The Internetís breakthrough with its ubiquitous communication infrastructure, the emergence of new innovative competitors and business models, new mobile technologies Ė all these facts create completely new dynamics and alter cost- and market structures. Innovation cycles become shorter and value chains change Ė and one question stands on top of the agenda of each CXO: Which business model will yield growth in the future?

This is not only applicable to telecommunications- and IT-companies. Media corporations face fundamental challenges triggered by the digitalisation and massive losses within advertising.

Today, the TIME-industry is confronted with pressure for massive investments in infrastructure and new platforms, as well as opening up new potentials for growth in adjacent markets. At the same time, there is a lack of viable concepts to put on the market and monetise contents or services that could for example be offered via the Internet or mobile radio.

For all the industryís players, this upheaval has diverse consequences: overcapacities will lead to consolidation in most divisions and the huge cost pressure results in far-reaching restructuring programmes that can hardly be realised within the existing business model. Network operators of all kinds will merge or at least enter into a partnership in order to jointly bear the investments in the infrastructure. Moreover, we will see programmes that ease rigorously and virtualise networks and IT-architectures. On top of that, excellence in customer experience will become the most important factor for differentiation while simultaneously, opportunities the Internet offers will be increasingly used. Furthermore, the possibility to personalisation-offerings and to tap more potential out of customerís data will be crucial for success.

Bearing these developments in mind, one thing is certain: only by implementing new and more radical strategies, these challenges can be coped with so that investores can be convinced.

At Arthur D. Little, we work with and for leading companies within the TIME industry on corporate and business strategies, business model innovation, technological strategies and on organisationís realignments. Everywhere in the world, when it comes to successful and sustainable realignment of companies in a tough businss environment, we are  the partner of choice.

Our expertise

  • Highly trained consultants with profound knowledge in their respective industry
    Our consultants have degrees from leading international companies and about 75 per cent of them have worked for years in the TIME industry.
  • Global Network / Technology expertise
    The global TIME-network can draw on more than 200 consultants in 28 bureaus worldwide.