Sofrecom undertook a project for a telecom operator to explore the opportunities offered by the European energy market. This prospective study aimed to identify market trends, understand the value chain transformation, and assess the potential for diversification in the energy sector. Through a rigorous methodology and in-depth analysis, Sofrecom provided valuable strategic recommendations for the telecom operator's positioning in smart grids.
The methodology
Sofrecom's methodology for this mission is divided into several key stages, each aiming to provide a comprehensive understanding of the energy market and opportunities for telecom operators.
1. Market diagnosis
- Demand evolution by country: Sofrecom analyzed energy demand trends in different European countries. This analysis provided insights into local dynamics and specific needs of each market.
- Local and European regulations: a thorough study of existing regulations identified barriers and drivers for the energy transition. This stage included examining energy policies, subsidies, and tax incentives.
- Expert interviews: interviews with energy sector experts provided valuable insights and validated the study's assumptions.
2. Benchmarking decentralized energy experiments
- International scope: Sofrecom benchmarked decentralized energy initiatives and projects internationally. This analysis included telecom operators, industrial players, startups, and communities.
- Case Studies: specific case studies were examined to understand business models, technologies used, and results achieved.
3. Value analysis
- Value chain transformation: a detailed analysis of the value chain identified transformation points and intervention opportunities for telecom operators.
- Addressable market modeling: Sofrecom modeled the addressable market for telecom operators in terms of revenue and market share.
4. Positioning for the operator
- Review of existing projects and skills: an assessment of ongoing projects and the operator's internal skills identified strengths and weaknesses.
- Defining and quantifying positioning: positioning scenarios were defined and quantified to provide clear strategic recommendations.
Benefits for the client
Sofrecom's support provided significant benefits to the client
1. Strategic vision
- Anticipating market evolution: through the prospective study, the operator anticipated European energy market developments by 2030-2050. This strategic vision allowed for better R&D team preparation and alignment of future investments.
2. Opportunity identification
- New positioning: the operator identified new potential positions in the energy market, particularly in smart grids. These diversification opportunities opened new revenue streams and strengthened the company's resilience to market changes.
- Addressable potential: quantifying the addressable potential allowed the operator to prioritize initiatives and focus resources on the most promising segments.
3. Skills enhancement
- Developing core skills: identifying the core skills needed to develop an energy vertical allowed the operator to strengthen its internal capabilities and better prepare for future challenges.
- Training and recruitment: based on Sofrecom's recommendations, the operator implemented targeted training and recruitment programs to address identified gaps.
4. Project alignment
- Optimizing existing projects: reviewing ongoing projects optimized existing initiatives and ensured better alignment with the company's overall strategy.
- Innovation and R&D: the insights gained fueled the vision of the R&D teams, fostering innovation and the development of new solutions tailored to market needs.
The prospective study conducted by Sofrecom enabled the telecom operator to better understand the dynamics of the European energy market and strategically position itself in smart grids. Through a rigorous methodology and in-depth analysis, the operator identified new diversification opportunities, strengthened its internal skills, and aligned its projects with market developments. This support was essential in preparing the company for future challenges and maximizing its growth potential.