Blockchain usage by telecoms could become $1-billion industry in under 5 years
It should be obvious to most by now how much blockchain technology can benefit businesses in all industries. The blockchain has already proven to be a more-secure, more-efficient method of data storage, offering greater transparency and immutable records for any industry. Given that its entire business is built around technological innovation, it's no surprise that the telecommunications industry could see the most growth of the technology over the next several years.
According to a study conducted by the market research firm Research and Markets, contributions by blockchain technology to telecom companies are expected to reach almost $1 billion by the year 2023. This represents an increase of 84% over the current $46.6 million seen by telecoms currently.
The report points out that the blockchain's increased security features are one of the biggest driving factors, while the lack of regulatory oversight is suppressing growth at the same time. Research and Markets said in the report, “The blockchain in telecom market is driven by various factors, such as the increasing support for OSS/BSS [operations support systems/ business support systems] processes and rising security concerns among telcos...However, growing concerns over the authenticity of users, and uncertain regulatory status and the lack of common standards can hinder the growth of the market.”
The recent push for more regulations around the world will lead to greater investor confidence and mainstream awareness of both blockchains and cryptocurrencies. The EU just recently laid out guidelines that will require all member countries to take a more serious interest in governing the spaces, and President Trump signed an executive order yesterday that creates a multi-departmental task force to assist in criminal investigations related to consumer fraud, including those in the digital currency space.