Opportunities for Telecom with Blockchain Technology

At present, the telecom industry holds the most complex of operation frameworks, including many vendors, customers, vendors, distributors, and network providers.

In between all of this, there is a significant amount of trust issues and transparency challenges owing to the involvement of certain entities. Since there is no clear mechanism it gets hard to track end-to-end activities of every single entity.

Blockchain as a decentralized ledger helps in forming a trustless network among the distinct participants, hence inviting failure resistant capability. Currently, it is the most commonly discussed topics in all of the industries.

Now is the right time for everyone in the telecom industry to evaluate and understand the various applications of the blockchain technology. The early ratification of this technology will help them gain an advantage over other players in the market.

There are quite a few areas of operators’ activities in the telecom industry that could be improved via the execution of blockchain based solution, which might be public, private or a combination of both.

Before we jump into the blockchain technology use cases in the telecom sector, here are a few challenges and opportunities that this industry has:

The communication service providers(CSP) control the entire process which includes data connectivity and other customer-related services to both the users and businesses. As of now, there is a heavy need to find new sources of revenue and bring down the costs as the revenue tends to decrease owing to high cost and higher bandwidth band.

The blockchain technology has the potential to impact on CSP’s core management system by developing an environment to help reduce the cost and efficiently increase the revenue.

Here are some of the use cases of blockchain in the telecom industry:


IoT Connectivity

Currently, the telecom sector is facing issues with security and viability; implementation of IoT with the blockchain technology will facilitate a secure a peer-to-peer network going via several nodes. The nodes function utilizing embedded IoT sensors fused with the capacity of validating each block within the blockchain.

Once these blocks are proven to be viable, Ethereum or Bitcoin networks which are based on the public network can be put into action on customers thereby providing a seamless and secure connectivity.

Also Read: Blockchain Is Giving The ‘Internet of Things’ Space Another Boost


Identity Management

In most of the cases, users will have to provide their personal details to various service providers in the process of signing up for creation of account and passwords. To avail certain benefits, on needs to fill in their personal details; this is time-consuming and exhausting at times.

To get rid of this issue, the telecom operators can provide each subscriber with an app or an ‘eSim’, thereby enabling them to create some kind unique virtual identity that are encrypted and stored on the blockchain.

The telecom operators can develop the tool for identity management that are accessible to organizations, applications and devices. Currently, Microsoft is developing a blockchain based identity management system that will enable authentication across organizations, devices and applications. Similar solutions can be developed by telecom operators or partner with the organisations that are developing the solutions.

The solutions can then be used by the subscribers to automatically authenticate the identities when accessing partner websites. The service providers can then utilize the subscriber’s details via a stored virtual identity, without making them sign up for new accounts and distinct passwords.


Also Read: Bithump Review.


Virtual networks are currently provide SIM cards in order to connect with other telecom networks and the prices automatically add up in the connection process between different devices. Thereby leading to increase in the roaming prices.

The blockchain technology can be implemented for allowing the telecom operators enter into the micro-contracts for the roaming services.

The hybrid blockchains could facilitate in the execution of databases that generally require costly integrations and some trusted access settings.

Blockchain technology can aid in solving the problem arising among the operators to accommodate high cost systems and provide access settings to enable roaming calls across multiple networks and operators.

Let me put it this way, blockchain works by enabling complex datasets across numerous parties; with high security and trust, especially in establishing subscriber identity.



The use cases of blockchain in the telecom sector demonstrate how the technology can be utilized in the implementation of blockchain used-products.

In the coming years, the technology will be wide spreading in the telecom sector with the help of the blockchain technology.

We will be happy to hear your thoughts

      Leave a reply