Revolutionizing Telecom: A First Principles Approach

Executive Summary

The telecommunications industry is at a crossroads. Despite substantial advancements in network technology, the software systems that power telecom operations, known as OSS (Operations Support Systems) and BSS (Business Support Systems), remain outdated and inefficient. These systems were built for a world of copper networks and 3G services, yet they persist today, creating operational inefficiencies and limiting the ability of telecom operators to serve their customers effectively.

Wavelo, built on first principles, aims to address this fundamental problem by rethinking the core systems from the ground up. We believe that by focusing on billing, orchestration, and provisioning—the atomic units of telecom—we can enable telecom operators to deliver better services, achieve scalability, and adapt to the increasing complexity of modern telecommunications. This whitepaper explores the journey that led to Wavelo's creation, the challenges facing telecom operators, and our vision for the future.

Introduction

A Decade of Frustration - A Case Study

Over a decade ago, working at one of the world’s largest telecom companies, an organization repeatedly encountered the same problem: they had modernized systems closest to the customer and closest to the network, but there was always a barrier as they moved further into the core of operations. When they tried to examine the underlying issues, they were often discouraged from delving too deeply, as if solving these problems would unleash chaos.

The true nature of this barrier became clear over time: the problem was the outdated OSS/BSS systems at the heart of telecom operations. These systems affect every corner of an operation, yet they remain largely hidden in a black box, even to those maintaining them. In this case, the affected organization had 900 people in pricing, 1,100 in analytics, and 5,000 engineers—all focused on managing around this large fenced-off box. The inefficiency was staggering, and it became apparent that this was not a unique issue; it plagues every telecom operator today.

The Telecom and Healthcare Parallel

The challenges faced by telecom are not unique; similar inefficiencies exist in healthcare, particularly in the realm of electronic medical records (EMR) and electronic health records (EHR). These systems were built for an earlier era—focused on acute care and digitizing health records, rather than enhancing longitudinal health. In both industries, legacy systems have become a bottleneck, limiting the ability to innovate and provide better services.

The Wavelo Vision

At Wavelo, we asked a simple question: why not build something better? What if we created a platform designed for today’s and tomorrow’s telecommunications environment, rather than continuing to rely on systems designed for a world of copper lines and 3G? We incubated Wavelo within a public company known for its global scale, reputation for innovation, and a focus on profitability rather than venture capital-backed burn rates without anchor customers.

Our mission is to build software that telecom operators actually want to use. Our business model is aligned with the interests of operators and their customers, rather than being diametrically opposed to them.

First Principles Thinking

When approaching the problem of OSS/BSS, we started with first principles thinking. We asked hard questions: Which parts of the existing systems are truly necessary? Could we eliminate 30-40% of the current systems if they were designed better? How can we incorporate industry trends like mobile and fixed network convergence, cloud-based systems, and the influx of infrastructure investment into the telecom space?

We built a platform that is flexible, event-driven, scalable, and simple to integrate with other systems. Crucially, we focused on partnering with others for areas like payments and CRM—problems that have already been solved—rather than reinventing the wheel.

Current Telecom Challenges

Legacy Systems and Innovation

The core software problem in telecom is deeply intertwined with network innovation. Billions of dollars are invested in network technology, yet the software supporting these networks has seen little innovation in comparison. As a result, telecom operators find themselves constrained by systems that are no longer fit for purpose. This issue will only compound as new technologies like AI, 6G, and remote healthcare demand more agile and adaptable systems.

Operational Complexity

Telecom operations are becoming increasingly complex as competition intensifies. New fiber players, market consolidation, and the blurring of the lines from prepaid to postpaid services add layers of complexity. At its core, however, telecom remains about two things: managing the relationship between the customer and the network. Yet the current systems are ill-equipped to handle even this basic requirement efficiently.

OSS/BSS and the Future of Telecom

Telecom is in the final 30% of its digital transformation journey. The first 70% took a decade; the last 30% could take three more decades if we do not solve the fundamental problem of billing, orchestration, and provisioning. These three components are the atomic units of telecom operations, and solving them is the required key to unlocking the full potential of the industry.

A Call to Action

The industry cannot afford to ignore this problem any longer. The inefficiencies of OSS/BSS systems are not just an operational burden—they are a barrier to future innovation. Telecom operators need systems that can keep pace with the rapid advancements in network technology. They need systems that enable them to serve their customers better and to scale as competition grows.

At Wavelo, we are committed to solving this problem. We believe in taking a first principles approach, questioning the status quo, and building software that simplifies operations while delivering tangible value. Our team is driven by the belief that this problem must be solved, not just for the sake of innovation, but for the future of telecom itself.

Conclusion

The telecom industry is on the cusp of a new era. The convergence of mobile and fixed networks, the rise of cloud-based systems, and the growing role of AI in telecom present both challenges and opportunities. But before the industry can fully embrace these new technologies, it must first address the fundamental inefficiencies in its OSS/BSS systems.

Wavelo is dedicated to solving this problem. By focusing on billing, orchestration, and provisioning, we aim to enable telecom operators to thrive in an increasingly competitive market. The future of telecom depends on our ability to build systems that are flexible, scalable, and easy to use—systems that enable operators to focus on delivering the best possible experience to their customers.