Convergence Phenomenon and New Service Development in the Telecommunications Industry

In the telecommunications industry, there is an emerging phenomenon of convergence. Under this convergence phenomenon, the conventional one-service via one-network concept is changing to multiple services via multiple networks. However, our understanding for this convergence phenomenon is vague, thereby resulting in confusion and uncertainty about the market environment. Also, there is limited literature regarding new service development process under the emerging convergence phenomenon from business perspectives. To address the issues related to the convergence phenomenon, a Service-Network matrix is introduced. Using this matrix, the convergence phenomenon is explained from both service and network viewpoints. Such a framework helps managers to identify new service opportunities, especially during the idea generation stage of the new service development process. Furthermore, a scenario planning approach is suggested for initially screening the new service concepts. Finally, the convergence framework and scenario planning approach are applied to an actual Internet access via WLAN service development case.