SAP AG to Sell Carriers’ Mobile User Data

by Istvan Fekete on May 29, 2013

Mobile user data collected by wireless carriers will soon be available for sale though SAP AG’s recently introduced cloud-based service that uses its HANA in-memory cloud computing technology.

SAP introduced its cloud-based service at last week’s CTIA Wireless trade show in Las Vegas, says president of SAP mobile services, John Sims. Carriers are already interested in having the service called SAP Consumer Insights 365 after the great unveiling in Las Vegas. According to Sims, enterprise organizations could begin using the service within the next three months.

“With HANA, SAP’s data centers can work through billions of rows of data per second,” Sims said. “That’s important, because an average medium-sized operator may generate one terabyte per day of information about subscribers’ mobile activity, he said. The most current data will reside in HANA, while the rest will move to a more persistent environment such as a Hadoop cluster or SAP’s SybaseIQ database.”

Up until now, carriers have sold mobile usage data as a whole, which has pushed up the price of licenses, so only a few companies could buy the package, according to Guy Rolfe, head of the mobile practice for Kantar, a consulting arm of the international advertising company WPP.

SAP currently provides services to more than 1,000 mobile carriers across the globe. It also processes SMS messages and provides IP services such as data roaming through its processing hubs. SAP has plans to use Consumer Insights 365 while partnering up with carriers and, as a result, will share revenue from its sales of the data.

The thinking behind this service is pretty simple: as we can see on a daily basis, both carriers and telecoms are pushing the sales of smart devices. From a market analysis and marketing perspective, a smartphone user is more valuable than a feature phone user, simply because consumers do so many things on smartphones.

To be clear: these activities are recorded through this cloud computing service. The consumer insights service provides detailed knowledge about consumer activity, which can be extremely valuable to companies that want to reach them.

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Written by: Istvan Fekete. www.digitcom.ca. Follow TheTelecomBlog.com by: RSS, Twitter, Facebook, or YouTube.

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