CPE Cloud Innovation: Unlock value from the video set-top box
March 8, 2019
March 8, 2019
Customer Premise Equipment (CPE) plays a familiar part in TV Service Providers’ video delivery operations. Moved to the cloud, and managed with agile processes, it can do much more. Cloud CPE creates a springboard for new products, services and revenue streams—creating the opportunity to capitalize on additional advanced entertainment services and strengthening the Service Provider’s (SP’s) role in consumers’ lives and homes.
In the past, operators have been locked into maintaining an expensive population of CPEs, which often included generations of products requiring support well beyond their expected useful lifetimes. This troubling legacy has proven to be an operational drag as unencumbered OTT players race by. The complexity of transition projects, set up costs and market pressures to create short term cash flow have, however, discouraged many SPs from transforming their CPE.
$1.9B
Total investment potential in Cloud CPE market
55%
A majority of TV SPs plan to adopt Cloud CPE in coming years.
6%
Few subscribers in our researched markets are offered Cloud CPE today.
*Accenture research conducted Q1 2018, USA, Brazil, Argentina, Mexico, Germany, Netherlands, Austria, Switzerland, Italy, France, Japan, South Korea, Malaysia.
While each TV Service Provider will need to arrive at a Cloud CPE solution architecture that is unique to their existing network, investment approach and target offerings, every successful Cloud CPE transition starts with the same three fundamentals.
Commitment to deliver on increasing expectations: personalized, immersive, flexible and seamless TV viewing experience.
Ability to apply collaborative, state-of-the-art ways of working. Teams work faster, products evolve iteratively and innovation thrives.
A well-chosen single platform can serve multiple ecosystems, providing the same back end for all front ends. The open platform creates new revenue opportunities, too.
Sophisticated Cloud CPE-enabled digital services can bring more balance to the competition with OTT players.