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Phone Industry and Business Model

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In the future, in your opinion, which business model will dominate the phone industry?

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Solution Summary

Through illustrative example, this solution discusses the future business model that will dominate the phone industry in the future. Supplemented with one supporting article on the phone industry.

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Interesting question! I located two potential models for the future, the second being in response to the first. The many business model approach makes sense. I attached the article from which this response is drawn. It has a diagram of the model, which is referred to in the response below.

Please see attached article for full discussion.

RESPONSE:

1. In the future, in your opinion, which business model will dominate the phone industry?

Model 1: Many Business Models Approach

The author predicts a many-models approach because of the many different types of phone models and companies who sell them, a mix of many business models will be the best fit for the phone industry in the future. It avoids fragmentation, as also discussed. The authors report:

"If you know where the currents are taking you, it gets a bit easier to know how to set your sail, where to point the rudder, and which way to row. So here's our best guess of what the telecommunications industry looks like in ten years, in terms of business model mix" ((http://www.telco2.net/blog/2007/03/the_telco_20_business_model_ma_1.html) see diagram p. 3 of attached article) with the time to describe the points on our map.

? In the bottom left is free (or subsidized) community or municipal networks. For good or evil, we ...

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