Disruption calling: Strategic implications of disruptive innovations on the Canadian telecommunications industry

Disruptive forces are impacting the telecommunications industry. In the near-term, these innovations will spur competition from alternative network providers seeking to provide equivalent services at a lower cost and a lower price. Medium term threats include service, content and application providers that seek to relegate telecom firms to being “pipe providers”. Longer term implications come from the fact that service and content providers will begin to reach through the network and take ownership of the customer. This paper discusses the technological and business innovations impacting the industry an d compares it with the current state of the industry and the current strategic focus of TELUS. It then provides strategic recommendations that TELUS can use to effectively meet the key success factors crucial to succeeding in the changing telecommunications industry and secure its role in the communications domain of the future.