Ebook Data Intelligence Platform For Communications v5 120523 Final
Ebook Data Intelligence Platform For Communications v5 120523 Final
Contents Introduction
C H A P T E R 1 : 3
An Industry in Flux: Customer-Centric and Data-Driven 3
Communications
C H A P T E R 2 : Transformation Trends 5
Trend #1: The Growth of Infrastructure and Need for Digitalization 5
Trend #2: Building Reliable and Secure Services 6
Trend #3: The Proliferation of AI 6
Trend #4: Monetizing IoT and M2M 7
Trend #5: Increasing Competition and New Business Models 8
Barriers
C H A P T E R 3 : to Data-Driven Innovation 9
Challenge #1: Improving the Customer Experience 10
Challenge #2: Reducing the Cost to Serve/Operate 10
Challenge #3: Identifying New Revenue Sources 11
Challenge #4: Achieving Scale and Security 12
Unlocking
Innovation With the Data Intelligence Platform
C H A P T E R 4 : 13
for Communications
Platform
C H A P T E R 5 : Benefits 14
Create More Meaningful Customer Engagements 14
Drive Data and Network Optimization 15
Get More Productivity Out of Your People and Your Data 16
Build Tomorrow’s Products and Network, Today 17
Industry-Specific
C H A P T E R 6 : Solution Accelerators 18
CHAPTER 1:
As a result, CSPs are looking to data and AI use cases to help reduce costs to serve and operate, develop
and maintain great customer experiences, identify opportunities for revenue growth, and achieve scale with
secure and reliable services.
To illustrate this, look no further than the explosion of digital technologies — such as 5G, IoT, edge computing
and AI — which has ushered in a new era of big data. For example, according to Cisco's Visual Networking
Index (VNI) Global Mobile Data Traffic Forecast, global mobile data traffic has grown to 77.5 exabytes
per month. This growth is driven by the proliferation of mobile devices and the increasing demand for
data-intensive applications. In addition, the number of connected IoT devices is skyrocketing. According
to Statista, the number of connected IoT devices is expected to reach 31 billion by 2025, generating
approximately 79.4 zettabytes of data annually. This data, while large and unwieldy, is critical to building a
virtuous loop between network and customer. By bringing this data together, CSPs can better understand
the factors that contribute to a positive or negative customer experience.
Maximizing Data and AI Investments: How the Databricks Data Intelligence Platform Empowers Communication Providers 4
Service assurance
Engineers believe they have fixed the issue...but part of the network is
The virtuous loop of big data in a communications provider. still offline; engineers given a troubleshooting alert to close the case
To make this virtuous loop effective, the key is making sure that the right humans have access to
the right data at the right moment in time. The need for a modern data analytics and AI platform
has never been greater.
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CHAPTER 2:
Communications Communications is in a state of change and today’s most successful organizations are tapping into the
1 1
1 1
Total (uplink + downlink) traffc ((E per onth)
10 10
The rollout of 5G technology has necessitated upgrades to handle faster speeds and increased capacity,
including upgrading existing networks and acquiring new spectrum licenses. CSPs are also undergoing
digital transformation, enhancing customer experiences through personalized services, self-service options
and agile operations. These investments are crucial to address the evolving demands of the market, ensure
network reliability, and capitalize on opportunities presented by IoT and other emerging technologies.
However, these investments also bring challenges, as they can lead to significant increases in operating
expenditures and financial pressures.
At the same time, the cybersecurity landscape has become increasingly complex and treacherous. As
technology advances, so do the threats posed by cybercriminals and state-sponsored actors. Fraud, data
breaches, network vulnerabilities and privacy concerns have reached an all-time high, leaving CSPs tasked
with not only delivering reliable services but also safeguarding the sensitive information and digital lives of
their customers.
One of the most visible examples of this is in customer experience, where virtual assistants and chatbots
have become commonplace. These AI-powered systems can engage with customers in real time,
providing instant support, resolving queries and offering personalized recommendations. Additionally, AI is
increasingly supporting organizations in making data-driven decisions about service offerings, pricing and
targeted marketing campaigns. With predictive analytics supporting important initiatives such as churn
prediction, teams can take proactive measures to retain valuable customers.
Another application is network optimization and management. CSPs are leveraging AI algorithms to analyze
vast amounts of data collected from network elements and customer usage patterns. This enables
proactive maintenance, congestion management and dynamic resource allocation, leading to enhanced
network performance and reduced downtime.
1. Expanding IoT ecosystem: The IoT ecosystem is rapidly expanding, encompassing a wide range of
industries, from smart homes and healthcare to agriculture and industrial applications. The diverse
use cases and the massive volume of data generated by IoT devices provide fertile ground for CSPs to
explore innovative ways to monetize this data.
2. Data insights and analytics: IoT and M2M devices generate a wealth of data that, when properly
analyzed, can yield valuable insights for businesses. CSPs can offer data analytics services to their
customers, providing actionable intelligence that helps optimize processes, improve efficiency and
drive informed decision-making.
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3. S
ubscription-based services: CSPs are identifying ways to monetize IoT and M2M devices by offering
subscription-based services, charging customers for access to their networks and the additional
value-added services they provide. From AT&T to Verizon, subscription models ensure a steady stream
of revenue while accommodating various customer needs and budgets.
4. Cross-industry partnerships: CSPs are collaborating with other industries and companies in the IoT
ecosystem to create comprehensive solutions that cater to specific market segments. For example,
partnerships with healthcare providers can lead to remote patient monitoring services, creating new
revenue opportunities.
5. E
dge computing and data processing: With the growth of IoT devices, there is an increasing need for
edge computing capabilities. CSPs are starting to monetize edge computing services, processing data
closer to the source, reducing latency and providing real-time insights to customers.
Ultimately, monetizing IoT and M2M devices allows CSPs to diversify their revenue streams beyond
traditional communication services.
This has led to a number of high-profile mergers and acquisitions (M&A) in recent years: T-Mobile and
Sprint, AT&T and Time Warner, Verizon and Yahoo, and Vodafone and Unitymedia, to name a few. While
many M&A activities enable CSPs to gain access to new technologies, customer bases and regional markets
— fostering economies of scale and enhancing competitive capabilities — not all have worked out. For
example, Verizon divested from Yahoo in 2021, AT&T spun off their resulting WarnerMedia business unit to
focus on their legacy telecom business, and Vodafone announced they were phasing out the Unitymedia
brand, less than a year after acquiring the cable network operator from Liberty Global.
Additionally, organizations are increasingly considering ways to diversify their business models to remain
agile and adaptive in the rapidly evolving industry. As we called out above, this may involve investing
in adjacent markets like IoT, cloud services and digital solutions, leveraging existing infrastructure and
customer relationships.
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CHAPTER 3:
Barriers to Data-Driven There’s no shortage of data or the need for data-driven innovation. Yet, most communications
Innovation organizations struggle to tap into the full potential of their data and AI. This has led to four common areas of
transformation focus:
There’s a lot of flux in the communications market, so customer churn can depend on many factors — price,
quality/availability of service, availability of desired products, and social proof/general perception of the brand,
to name a few. Annual churn rates range from 30%–40% for carriers around the world, and estimates show
the churn rate for American wireless carriers can reach as high as 57%, costing the industry billions of dollars
a year. Further, data from Deloitte shows that the churn rate among OTT services — media offered directly
to viewers via the internet, in this case on a mobile phone — grew from 35% in Q1 2019 to 41% in Q1 2020.
An organization’s ability to deliver 1:1 personalization at scale goes a long way to meeting customers where
they’re at, effectively mitigating churn. Unfortunately, legacy technologies are complex to manage and
costly to scale for today’s massive volumes of customer data. AI and personalization at scale are impossible
when you have fragmented views of an audience, lack real-time capabilities and struggle to make the leap
from descriptive to predictive analytics.
Additionally, the demand for seamless, high-quality customer experiences introduces cost pressures. As
customers expect personalized, real-time services, CSPs must invest in sophisticated customer relationship
management (CRM) systems, data analytics tools and AI-driven automation to provide tailored solutions.
These investments, while enhancing customer satisfaction, can strain budgets, especially if not carefully
managed. Moreover, the necessity of robust cybersecurity measures to safeguard sensitive data against
increasing cyber threats contributes to the escalating operational costs, requiring continuous investments
in cybersecurity tools, personnel training and risk mitigation strategies.
As infrastructure scales, so does the cost to serve and operate it. To combat this, organizations need a
data strategy on a unified platform to perform intelligent network optimization and predictive maintenance,
deploy robotic process automation, and push compute and AI to edge networks to reduce spend, save
network bandwidth, and generate incremental revenue.
Here, data emerges as a valuable asset. With no shortage of customer data, network performance metrics,
and usage patterns, organizations can leverage advanced analytics and AI to extract actionable insights that
help teams better understand customer behavior, preferences and pain points. This data-driven approach
empowers teams to outmaneuver competition in an increasingly dynamic environment.
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Furthermore, AI plays a pivotal role in identifying revenue opportunities by enabling predictive modeling
and scenario analysis. CSPs can leverage AI algorithms to forecast market trends, predict demand patterns
and simulate the impact of different business strategies. This empowers them to make informed decisions
on where to invest resources and which new revenue avenues to explore. For instance, AI can help CSPs
analyze customer usage data to create targeted upselling and cross-selling strategies, enhancing customer
retention and increasing revenue streams. In summary, the challenge of identifying new revenue sources
prompts CSPs to evolve from being solely connectivity providers to becoming data-driven solution creators.
To address this challenge, CSPs need to harness the full value of their data and AI investments in two
parallel motions — one driving profitable scalability and the other to fortify security measures. Data-driven
insights enable CSPs to predict network congestion, allocate resources efficiently, and optimize bandwidth
usage, thereby achieving cost-effective scale without compromising quality of service. Meanwhile, CSPs
can employ AI to identify and mitigate threats in real time, leveraging machine learning algorithms to detect
anomalies and potential vulnerabilities. By analyzing network traffic patterns and user behaviors, AI can swiftly
detect and respond to malicious activities, protecting both the network infrastructure and customer data.
By employing data-driven insights to optimize network scalability and by leveraging AI to fortify cybersecurity
measures, CSPs can more effectively scale network infrastructure while safeguarding their investments.
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CHAPTER 4:
CHAPTER 5:
The Data Intelligence Platform for Communications enables CSPs to have a relationship with customers on
their terms: understanding sentiment across channels, personalizing recommendations — all with dynamic
engagements that improve customer experience, increase profitability and reduce churn.
Differentiated capabilities:
Leading Gen AI and LLM-ready capabilities: Create scalable and cost-effective marketing content
using LMMs that is hyper-personalized for your audience alongside engaging virtual assistants, trained
on your data, that improve the customer experience, increase NPS and reduce churn.
One unified hub for all communications data: Unlock insights across your entire data estate; from
network data, equipment management, customer management data and more, to ensure best-in-class
“Databricks has helped Comcast scale consumer and network experience. All using an open source data format that prevents vendor lock-in.
to processing billions of transactions
A platform designed for streaming workloads: Databricks can process real-time streaming data using
and terabytes of data every day.” structured streaming capabilities. This allows your organization to gain insights from streaming data
—J
an Neumann sources (IoTs and M2Ms) and dynamically respond to events as they happen.
VP Machine Learning
Solution Accelerators for ingestion and curation: Databricks, in collaboration with partners such as
Accenture, offers a collection of notebook templates designed to simplify the implementation of core
data and AI use cases, including personalization and real-time recommendations.
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With data and AI on the same unified platform, teams can perform intelligent network optimization and
predictive maintenance, deploy robotic process automation, and push compute and AI to edge networks to
reduce spend, save network bandwidth, and generate incremental revenue.
Differentiated capabilities:
“Databricks lakehouse has helped Highly scalable Spark Structured Streaming: Unlock streaming simplicity with Delta Live Tables
us deliver a lean supply chain that (DLT). DLT empowers enterprises to construct a secure, agile and cost-efficient real-time pipeline for
supports the best possible wireless streaming use cases. By harnessing real-time signals and AI, telco companies can effectively build
service to our communities.” streaming analytics, e.g., safeguarding millions of wireless customers against fraud.
—E
llen Sulcs
Performance at scale: WithApache Spark™ and Delta Lake — the leading open source engines for large-
Director, Data Engineering & Development
scale data processing and data management — under the hood, the Data Intelligence Platform delivers
massive scale and speed. And because it’s optimized with performance features like indexing and
caching, Databricks customers have seen ETL workloads execute 48x faster.
Predictive modeling at scale: Anticipate future customer demands and network requirements by
deploying generative AI models and LLMs that analyze historical data, industry news and social media.
Dynamically optimize resource allocation: Tap the full potential of Gen AI and LLMs to optimize
network resource allocation dynamically and identify areas for optimization. These insights can guide
decisions on infrastructure upgrades, deployment strategies, and traffic management techniques. With
Databricks’ AI capabilities, your organization can make better data-driven decisions from AI models
trained and built using your own data.
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With Databricks, CSPs can increase impact and decrease the time to value of their data assets, ultimately
enabling data and AI to become central to every part of their business. And by enabling data teams across
engineering, analytics and AI to work together, Databricks frees up employees to self-serve and focus on
high-impact customer scenarios — from in-store and online operations to customer support cases.
Differentiated capabilities:
Leverage Gen AI and LLMs to do more with fewer resources: Reduce the resource requirements of
“Databricks has provided a unified your organization by streamlining data access for nontechnical users via Databricks Assistant. Enhance
platform that brings together data the network platform by automating issue diagnosis using LLMs, empowering field engineers for
and AI to deliver predictive solutions efficient operations. And elevate your user experience with Databricks Enterprise Q&A Bot, enabling
that help to protect our customers intuitive LLM-powered natural language interaction for information retrieval. Key use cases for driving
and our business by stopping fraud organizational efficiency include Predictive Maintenance, Network Knowledge, Content/Data Sharing, and
—K
ate Hopkins Real-time data ingestion: The Data Intelligence Platform allows for true real-time stream ingestion of
Vice President
data and even analytics on streaming data. Data warehouses require the extraction, transformation,
loading, and then additional extraction from the data warehouse to perform any analytics.
Simple and unified data governance: Unity Catalog provides a unified governance and sharing model
for all data, analytics and AI use cases. Helping your organization adhere to industry standards and regulations.
Simplified streaming and batch architecture: The Data Intelligence Platform event-driven architecture
provides a method of ingesting and processing batch and streaming data that’s simpler to develop and
manage than legacy approaches, such as lambda architectures. This architecture handles the change
data capture and provides ACID compliance to transactions.
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With Databricks, CSPs can make more informed decisions around construction readiness, while decreasing
the time to market for new solutions that enhance performance and improve product engagement. By
analyzing customer behavior and insights, as well as product telemetry (streaming, RFID, computer vision),
and leveraging that data to drive product decisions, CSPs can build for tomorrow, today.
Differentiated capabilities:
Collaborative data science and machine learning: The Data Intelligence Platform provides an interactive
notebook environment that enables cross-functional teams — including data scientists, engineers and
business analysts — to collaborate on data products with a wide range of analytics and ML capabilities,
including support for multiple languages (R, Python, SQL and Scala) and popular ML libraries.
Cost efficiency with simplified management: Databricks’ serverless compute empowers your
organization with streamlined operations that ensure data privacy, responsiveness and cost-savings
in managing data-intensive tasks. This includes centralizing resources, rapid provisioning, tailored
environments for SQL warehouses and ML, and much more.
Publish powerful dashboards: Make insights consumable with interactive visualizations and publish as
dashboards to teams in the field — be it in-store, in customer support or on the job site — so they can
stay abreast of the latest insights.
Easily manage the ML lifecycle: Manage the complete ML lifecycle from model development through
deployment with Managed MLflow, an open source platform developed by Databricks to help streamline
machine learning. Centralize models and features in the registry to help teams collaborate, iterate and
reuse existing work.
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CHAPTER 6:
Industry-Specific Databricks and our ecosystem of partners have packaged Solution Accelerators to help organizations derive
Solution Accelerators value from their Data Intelligence Platform projects faster. Learn more about Solution Accelerators.
C H A P T E R 7:
The Data Intelligence Platform for Communications is enabling organizations across the industry to
collaborate and unlock data-driven innovation from personalization and call center automation, to network
experience and beyond.
AT&T trusts the Databricks Comcast uses the Dish Network taps Rogers leverages T-Mobile leverages
Data Intelligence Platform Databricks Data the Databricks Data the Databricks Data the Databricks Data
to protect more than 182 Intelligence Platform to Intelligence Platform Intelligence Platform Intelligence Platform across
million customers from build performant data to build fully managed, to improve network their organization to more
fraud and to increase pipelines for petabytes of serverless cloud performance, streamline accurately determine
operational efficiencies, data and easily manage infrastructure designed for supply chain and optimize construction readiness,
benefiting both customers the lifecycle of hundreds speed, cost control and customer experiences. ensure timely procurement
and the business. As a of models to create a elasticity, resulting in a 50% Their Delta Lake integration of cell-site equipment, and
result, AT&T has seen an highly innovative, unique reduction in processing ingests PBs of data faster, identify fraud and waste
80% decrease in fraud and award-winning viewer times on top of a 35% reducing OPEX by 51%. of network materials. In
attacks, saving tens of experience using voice infrastructure cost savings. addition, they’ve seen a
millions of dollars in recognition and machine 250% increase in analytics
associated costs. learning. process reliability and a 75%
reduction in data latency.
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