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Introduction

This presentation examines how Telenor's organization and innovation have evolved since our last evaluation, published in 2013. It is part of a series that explores and assesses how telcos innovate in their businesses.

Highlights

  • The Telenor Digital unit, created as part of restructuring in 2011 to drive innovation, has failed to launch any significant number of indigenous products and services under the Telenor brand – at least not at the rate that was expected originally. It reflected in its poor financial performance and eventually led Telenor to merge its digital unit with its core strategy business four years later.
  • The merger does not mean that Telenor has closed its digital unit altogether. In fact, Telenor’s digital story is based on a "digital capabilities" model wherein it spent an initial period (up to 2014) to build a global back end to connect all business units and offer a consistent and effective distribution and service management platform for its digital services. Since the merger, Telenor Digital has essentially become a vehicle to dispense digital services via its global back-end platform.
  • The task of developing new digital products and services is done mainly in partnerships under open innovation model as well as via investment in start-ups. Ovum likes this approach because - Partnerships enable access to broad expertise and cutting-edge technology solutions in areas that are new to Telenor. - The Accelerator initiative minimizes investment risks for Telenor from innovation failures. At the same time, an equity stake in the start-up provides an ROI opportunity if the start-up does well after commercial launch.

Features and Benefits

  • Evaluates how Telenor's innovation journey has changed over the last five years.
  • Looks at how Telenor has prepared to drive future innovations.

Key questions answered

  • How have Telenor's innovation units performed in the past five years?
  • Has Telenor streamlined its innovation ambitions from in-house research units to working in partnerships?
  • Which verticals are new to Telenor's innovation focus areas?
  • Do Telenor's innovation units face any challenges?

Table of contents

Summary

  • Introduction
  • Download 1: How Telcos Innovate: Telenor

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