If we talk about technologies, we can say that is always changing, evolving and taking the world into a whole new era. We can see every day lots of new technologies and most of them are not only very hype but also some of them are widely discussed, in fact, the topic we’re going to talk about in this article is one of them: Blockchain in Telecommunications.
First let’s explain what Blockchain is, in the simplest way. Blockchain is some kind of software that powers a database and is used to verify some transactions made online, the idea behind it is that if you make the database public, people wouldn’t be allowed to cheat the system trying to edit the records because the rest of the users that are using the system as well, are going to be able to spot them in the act, so, basically, everyone will be able to manage, secure, run and change the system instead of just one person.
A user can help running the system by using a computer to store forwarded records, that are best known as blocks, into a chain. Blockchain will prevent that any hacker tries to crash the system by holding data in multiple ledger copies throughout a network.
But what about Blockchain applied to telecommunications? First is important to say that telecommunications industry is going through an evolution because the service providers are offering a transition from using proprietary hardware to using virtual software to manage their networks. Of course, there are always plus and cons on using any system like Blockchain on telecommunication networks so you must think about it very well before considering it.
Also, about the costs, Blockchain could give you lower costs on Network services in many different ways, for example, a considerable reduction on the price but also, you can save money because you’re going to rely on completing the transactions to fewer third parties.
Also, another aspect that must be taking into consideration is the security which is always an issue when we are talking about safety. Blockchain will provide a decentralized approach to telecommunications systems which at the end will help the users to have a better experience by taking care of their privacy. So Blockchain will provide a solid security system.
As we said before, there are always pro and cons that we must consider, but beside lower costs and security we can provide other advantages that you will have by using Blockchain: It will provide a fast authentication of devices and people, also as a verifier of transactions, Blockchain will help you to let telecommunications providers disrupt banks, so basically, Blockchain is a technology that could be able to help telecommunications companies to make a transition into technology companies.
In resume, the use of Blockchain by the communications industry eventually will become more common, in fact, probably in a near future it will be the norm, especially because it is providing solutions, safety, lower costs and these are some of the main concerns of most of the companies nowadays.