I am an avid listener of National Public Radio, and last week I heard a fascinating story about how Ford, the automobile maker, is looking to transform itself from a car manufacturer into a mobility company. While that might sound like just another marketing campaign, the NPR reporter explained why this is a much larger mind shift.
Recognizing that people are starting to embrace light rail, commuter rail, car sharing, Uber, Lyft, public bicycles, and bus rapid transit, Ford is looking to evolve into a company that is more about movement than internal combustion engines.
In the words of Ford's Executive Chairman, Bill Ford, "My great-grandfather helped put the world on wheels so everyone could enjoy the benefits of mobility. Our vision today is to expand that same thinking using advanced technology and new business models, and addressing the mobility challenges people face around the world."
So, instead of bemoaning the fact that people are buying fewer cars while still wanting to get from point A to point B, Ford is looking to replace profits from selling cars with profits from providing access to mobility. This is especially important as the younger generation is less interested in ownership and more interested in the right to use. They want the benefits of owning without the hassle of insurance policies, maintenance, and storage.
As a communications geek, I can't help but see the parallel between automobile manufacturing and delivering communications systems. For decades, companies such as Avaya, Cisco, Mitel, and the once great Nortel were all about putting telephones on people's desks and refrigerator-sized telephone systems into enterprise IT departments. While the software to run those systems was certainly profitable, a tremendous amount of money was made by selling physical things. The more things you sold, the more money you made. And back in the heyday of telephony, PBX manufacturers were rich in cash.
Of course, that was then and this is now. Enterprise telephones are now applications on PCs and smartphones. Additionally, the software to run those applications has moved from proprietary hardware to off-the-shelf servers. Consequently, a great deal of money has shifted away from the communications vendor and into the hands of Samsung, Apple, HP, IBM, and Dell. Clearly, the business model has changed, and those that don't adapt will soon be gone.
Let's take this even further. I worked for Nortel back in the day and we used to brag that a CS1000 supported over 700 features. After I began working with Avaya technology, I made the same claim about Communication Manager. I expect that Mitel, Cisco, Unify, and that new kid on the communications block, Microsoft, can and do say similar things about their products.
While all this is fine and dandy, what do you do when you want a feature that isn't provided by your communications system? For example, Mitel provides a number of different forms of call transfer, but you might require a variation that they don't support. What happens then? Do you submit a feature request, lay down a wad of cash, and wait the six to twelve months for it to arrive? Or do you go shopping for a new system that supports this new form of transfer, while risking losing a few of the features you only get from your existing system?
Thankfully, this is finally being addressed by software development platforms that allow existing communications features to be extended, enhanced, and possibly replaced. One that comes to mind is the Avaya Engagement Development Platform , which gives Java developers access to the beginning, middle, and end of call flows to add new functionality. In this way, that new form of transfer might be possible as an in-house development project without so much as a phone call (or payment) to Avaya.
Of course, not every enterprise has a staff of Java developers ready and willing to write new telephone features. That's where the concept of an app store for communications will come in. In the same way that you download new apps to your iPhone or Android devices, communications app stores will allow you to do the same for your telephone system. Third-party vendors will recognize the needs of enterprises and offer up their wares for mass consumption. In my perfect world, you could pick and choose between a plethora of applications and their developers.
Notice that I said "will allow you." These app stores are not quite here, but I expect that within a year or so, they will be. In fact, I have seen the blueprints for at least one that will be launched in the very near future so stay tuned for future announcements.
Like Ford's desire to transform itself from a car manufacturer to an accessibility company, this is exactly where the modern communications company is headed. I expect that everything from licensing to delivery mechanisms will change. We won't buy, we will lease. We will pick and choose from a number of different vendors to create the unique combination of features that our enterprise needs. No more one-stop shopping. We will pay by the drink, rather than purchasing a whole bunch of stuff we aren't interested in using. Instead of making room for physical equipment, we will add bandwidth to our networks and carve out processor and memory slices from our virtual server farms. We will embrace the cloud for full and hybrid solutions.
In order for Ford to reinvent itself, it needs to be willing to play in an ecosystem of choices. Brand loyalty takes on a different meaning when your brand is based upon sharing rather than owning. The same holds true for all the major communications vendors. People will come to them because they are open, accessible, and flexible. They will no longer come to them for 701, 702, or even 703 features.
Think Zipcar, Hourcar, and Car2Go -- to me, their model of sharing is the future of communications. You take what you want, when you want it. You no longer pay for maintenance and upkeep. You get the latest and greatest without having to do anything special to get it. And perhaps, one day, you only pay for it when you actually use it.
People still want to get from A to B, but how they get there is not the same as it used to be. Those not willing to reinvent themselves to this new paradigm will be left behind. Even a company as old and as established as Ford knows that.
Andrew Prokop writes about all things unified communications on his popular blog, SIP Adventures.
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