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What is the future of app modernization for telco operators?

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March 24, 2023

Tired of outdated legacy systems that hinder your telco business' growth? Do you feel like you're falling behind your competitors when it comes to digital transformation and customer experience? If so, you're not alone. Telcos worldwide are undergoing a major shift towards modernization and innovation to stay ahead of the curve. 

This drives telco providers to uplift their legacy systems, enhance their customer experience, and stay ahead of the competition. To meet these challenges, telcos are increasingly adopting app modernization as a way to improve their operations and services. 

In this blog, we will explore the key features and benefits of app modernization services for the telco industry. We will also discuss the latest trends and technologies, such as cloud migration, microservices, and DevOps, that are shaping the future of telco services through application modernization.

Digital transformation 

In today's fast-paced world, the telecommunications industry must go hand in hand with technology to meet the ever-changing needs of customers. And that's where an app modernization approach comes into play. Application modernization is like a powerhouse for digital transformation, offering a world of possibilities for those in the telco industry who are bold enough to embrace it. 

Why is app modernization such a game-changer, you might ask? Well, consider these: 

-> According to a recent survey by EY, 89% of telcos are investing in app modernization to improve their customer experience. 

-> Another study by McKinsey found that companies that digitize their customer journeys can increase customer satisfaction by 33% and reduce churn rate by up to 40%. 

By upgrading your legacy systems, you can supercharge your operations, boost your agility and responsiveness, and ultimately, revolutionize your customer experience. With the right tools and strategy in place, you can seamlessly integrate new technologies, reduce complexity, and deliver a consistent and meaningful customer experience across all touchpoints. 

But app modernization is not just about staying competitive in a crowded marketplace. It's also about future-proofing your business and unlocking new revenue streams. According to a report by Grand View Research, the global market for telco app modernization is expected to reach $36.9 billion by 2028, driven by the increasing demand for digital transformation and cloud-based solutions. 

Also Read: What is Driving the new age of core banking modernization 

So, if you're ready to take your telco business to the next level, app modernization is the way to go. By investing in modern technologies, you can transform your operations, accelerate innovation, and create a sustainable future for your business.


Microservices architecture is a revolutionary approach that is transforming the way telcos develop and deploy their apps and services. By breaking down monolithic apps into smaller, more manageable components, telcos can achieve greater business growth. According to a recent survey by NGINX, a staggering 66% of telco respondents are currently using or planning to use microservices architecture, highlighting the growing popularity of this approach in the telco industry. 

Incorporating app modernization through a microservices architecture allows telcos to develop and deploy new apps and services more quickly and efficiently, without the risk of impacting other areas of their infrastructure. This approach also enables telcos to make changes to individual components without having to overhaul the entire system, providing greater flexibility and control. 

Moreover, app modernization done through a microservices architecture can help telcos optimize their resource utilization and reduce their overall infrastructure costs. By breaking down monolithic apps into smaller, more manageable components, telcos can allocate resources more efficiently, minimizing waste and maximizing ROI. 

Cloud Migration

As the telco industry continues to evolve, it's becoming increasingly apparent that app modernization strategies are essential to remaining competitive. According to a recent report by MarketsandMarkets, the global telco cloud market is set to reach a staggering $9.50 billion by 2025, at a CAGR of 20.0%, indicating a significant shift towards cloud-based solutions. 

By embracing cloud services, telcos can modernize their infrastructure, streamline their processes, and significantly reduce their IT costs. These cost savings can be reinvested in other areas, such as footprint expansion, improving customer experience, and enhancing overall service quality. 

One of the most significant advantages of app modernization services is improved security and compliance measures. Cloud providers offer advanced security measures that can safeguard telcos against cyber threats, data breaches, and other malicious activities. Moreover, cloud modernization providers can assist telcos in meeting global compliance requirements, ensuring that they remain in good standing with regulatory bodies. 

Also Read: 8 reasons why Microsoft Azure is a reliable platform for your business transformation 

By leveraging cloud modernization, telco service providers can optimize their operations, drive down costs, and enhance overall service quality. It's clear that the future of the telco industry is in the cloud and those who fail to adapt risk being left behind.


With 74% of telcos already using or planning to use DevOps, and 85% using or planning to use agile methodologies, it's clear that these approaches are here to stay. DevOps and agile methodologies have become essential tools for telcos seeking to accelerate their app development and deployment processes.  

- Adopting these methodologies can significantly reduce development time, increase collaboration, and improve the overall quality of telecommunication products. According to a recent survey by IDG, 74% of telcos are currently using or planning to use app modernization through DevOps, while an impressive 85% are using or planning to use agile methodologies. 

- DevOps and agile methodologies provide telcos with a collaborative approach to software development, allowing teams to work more efficiently and effectively. By bringing together development and operations teams, DevOps enables continuous integration and continuous deployment, enabling teams to deliver apps and services faster and more frequently. 

- Agile methodologies, on the other hand, prioritize flexibility, collaboration, and customer feedback, enabling telcos to adapt quickly to changing customer needs and market demands. This approach also emphasizes iterative development, enabling telcos to release new features and updates more frequently, without compromising on quality. 

By adopting DevOps and agile methodologies, telcos can unlock significant benefits, including improved efficiency, faster time-to-market, and enhanced product quality. These methodologies also enable telcos to deliver products that better meet the needs of their customers, helping to build stronger and more meaningful relationships. 

Setting the tone for an epic telco journey!  

Imagine your telco business as a ship sailing through the rough seas of the telecommunications industry. To navigate these challenging waters, you need to equip your ship with the latest technology and tools.  

App modernization is like a powerful engine that can propel your ship forward with greater speed, agility, and efficiency. By embracing modernization and innovation, you can steer your ship toward success and leave your competitors trailing.

If you're ready to take your telco business to the next level, check out our Cloud services or contact us here