Broadband Value Circle pertains to the state where the customer, who both uses and creates content, will have access to the businesses that aid in the total broadband experience. These involve program developers, network engineers, device producers, and Web site owners.
In the Broadband Value Circle, consumers are just in the middle of the economic circle, just slightly isolated from the other groups. In the past, value reached people through a direct process, in what's recognized as a vertical value chain. In the period of the Broadband Value Circle, everybody can compete in other markets.
This is a new dimension that companies especially in the telecommunication sand Information Technology (IT) sector can take advantage of. A mobile phone company, for instance, serves as the provider of mobile phones that function on a wireless network. But as evidenced in this industry, mobile phone companies can also create a direct, brand-based connection with clients, almost navigating the network operator.
One company takes on various specific, simultaneous responsibilities. The company can be the supplier of products, inventor of brands, and supplier of content.
If IT and telecommunications companies state their plans for open software regulations that will allow engineers anywhere to establish wireless network programs, other companies can assist in ensuring that the devices will look and feel more like the Internet. Now, for example, if Google achieves its mission to buy wireless airwaves, IT and telecommunications companies could also obtain a medium or the delivery of those programs. In this case, Google could act as the content provider and user, as well as the medium for dissemination of that content. For IT and telecommunications companies wishing to join the new value-establishment process, the change will need assessment, testing, and evolution.