Telco Solutions from the Sky
In telecommunications and other industries, leaders need to embrace total revamps.
November 24, 2025
For some time now, telecommunications firms have been trying to find ways to boost more revenue growth on Earth. Many have started looking skyward for help, but experts warn they’ll need to make some big changes on the ground first.
The world’s wireless carriers have spent billions to roll out 5G service, the latest generation of wireless technology, and to lay a foundation for future service upgrades. But they haven’t been able to charge much of a premium for the new service. Wireless-service revenues are growing by only 1 percent to 2 percent annually, below the rate of inflation, and hardly enough to cover the increasing costs of their big hardware rollouts.
Finding growth, of course, is an issue in almost every industry these days. But in the case of telecom, there may be help coming from above—namely, from satellites and satellite firms. Many telecom firms used to view satellites as a pricey, impractical alternative to broadband. But thanks to some technological breakthroughs, thousands of cheaper satellites were recently launched into low-Earth orbit. They will deliver high-quality service to millions of customers who currently have poor or no coverage. “These new satellites are a game-changing technology,” says Jon Peha, professor of electrical and computer engineering at Carnegie Mellon University. Analysts predict that there could be more than 60,000 satellites in orbit globally by 2030, compared to 12,000 now. The satellites will not only reach unserved areas, but will also provide data to cars, wearable devices, phones, and nearly anything else that can connect online. “Convergence is no longer optional—it’s essential,” says Sylwia Kechiche, senior director of industry analysis at Opensignal, an industry market-research firm.
There is a catch, of course. The talent running satellite and telecom firms couldn’t be more different: Traditionally, the former attract people seeking long, stable careers, while the latter often appeal to risk-takers. Experts say leaders on both sides will have to ensure that these disparate groups can work well together. Each workforce will need to be able to jump between software, AI, product, aerospace, and cybersecurity, which means that legacy organizational structures will need some overhauling. “A bureaucracy that worked in a stable era will not suffice in a dynamic satellite era,” says Sue Ribot, a Korn Ferry senior client partner in the firm’s Global Software and Technology practice.
The transition will require getting existing telecom workers acclimated to a lot of changes, something industry leaders have been struggling with. Many of the largest providers worldwide have gone through waves of layoffs; according to one survey, over 60 percent of telecom companies acknowledge that recent reductions in compensation and benefits are hurting talent retention. “It all hinges on having the right talent in the right places at the right time,” Ribot says.
Photo credits: Victor Habbick Visions/Science Photo Library/Getty Images
