Telco to techco transformation inevitable: Red Hat Chief Technologist

New Delhi: The transformation of telecommunication companies in India and around the world into full-fledged tech companies—or a telco to a techco—is inevitable and is being driven by an existential crisis stemming from lower average revenue per user (ARPU), increasing capital expenditure and evolving consumer needs, said a top executive of US-based open-source solutions provider Red Hat.

“It’s a universal trend…but in India, there are probably a few more levels. The telco to techco transformation has to happen. It’s not an if, but when. It is almost an existential crisis,” Red Hat chief technologist Azhar Sayeed told ET.