Innovation Drift

The telecom industry stands at a critical crossroads shaped by a convergence of technological innovation, historical business model challenges, and a new wave of capital investment driven by artificial intelligence and cloud computing. Drawing from Clayton Christensen’s The Innovator’s Dilemma, this report examines how traditional telecom operators—despite heavy investments in infrastructure—have failed to capture value during periods of disruptive change. By focusing on sustaining innovations and prioritizing stability, many operators missed the rise of over-the-top (OTT) players who captured the majority of mobile internet revenue through agile platforms and direct-to-consumer services.