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Capturing value in a new 2,7 trillion dollar market: a conversation between Gilles Négrel and Guillaume Villon de Benveniste

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Telecommunications companies have seen their business model undermined. And yet, they have the opportunity to make the most of a new and promising market: the Internet of Things. McKinsey expects the Internet of Things to create 2,7 trillion dollars in value by 2025.

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Gilles Négrel’s tips to Telecommunications companies to create more value

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Telecommunications companies have seen their business models undermined, due to disruptive innovations such as 3G, the smartphone and the PCs among others. Yet, Telecommunications companies can create more value on their markets by implementing several different strategies, according to Gilles Négrel.

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Disruptive innovations are undermining the business model of Telecommunications companies, according to Gilles Négrel

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Let’s paint a picture of how large players in telecommunications used to make their money 20 years ago. Large Telecommunications companies like France Telecom, Telecom Italia, Vodafone, AT&T and Deutsche Telekom among others, would secure their revenue based on a fee for a communication, according to Gilles.