In terms of land area, Hong Kong spans only about 1,100 square miles, but the city has 11 fixed operators and 4 mobile operators. “It’s a very crowded market,” Peter Lam, Managing Director, Hong Kong Telecom (HKT), told Juliet Media’s Mike Barrell at TM Forum Live!
The crowded market of direct competitors and increasing pressure from over-the-top (OTT) providers like Facebook and Google have pushed HKT to tackle digital transformation.
“Quietly over the last 10 years, [OTT players] have already captured 10 percent of ICT revenue, so my personal view is that we have to start this digital transformation in order to stay competitive and to continue to sustain our business growth,” Lam said.
HKT’s transformation, which the company is pursuing in partnership with Huawei, includes replacing systems in three layers: network infrastructure, infrastructure enabling systems and business enabling systems. Lam calls the project, which began last year, a “mega project” and says it is a “greenfield” transformation, meaning the company will eventually migrate all customers to new systems.
“We did all the design thinking, looked at the roadmap of where we want to be – what would be the capabilities we need to improve or the gap we need to close?” he says. “This year will be very important.”
HKT is currently working on replacing business and operational support systems for enterprise services and next year will begin transforming network infrastructure. Once the company has completed transformation for enterprise customers, it will turn to consumer services.
Watch the interview to learn more about how and why HKT is transforming.