The leading telecommunication company in Spain, Telefónica, has joined hands with Nova Labs to expand its market presence in Mexico. In a blog post dating January 24, the Telefónica team anticipates that collaborating with the company behind Helium will allow the telecommunication firm to gain a competitive edge.
Through the partnership with Nova Labs, Telefónica will tap into the benefits offered by the blockchain network.
Nova Labs Partners with Telefónica
Before striking the partnership deal, the two companies agreed to mutually support each other in the ongoing projects. With technological advancement, the telecommunication industry has been battling security and regulatory concerns.
Also, the adoption of artificial intelligence has exposed most of the telecom companies to fierce competition. For years Telefónica has been seeking to integrate blockchain technology into its product offering to overcome obstacles.
However, based on the decentralized nature of blockchain technology, Telefónica believed that the Helium network was the suitable network. Compared to other blockchain networks, the benefits of the Helium network outweigh its shortcomings.
The blog post demonstrated that the Helium network has massive potential to connect devices over a long distance. Also, the Helium network offers users a reliable platform to transmit data fast and effectively.
Characteristics of Helium Network
Guided by the primary objective of Telefónica, the partnership with Helium will create a decentralized network from wireless devices such as 5G products and the Internet of Things (IoT). The integration of the Helium network will enable Telefónica to provide affordable prices by lowering the transaction charges.
The collaborative approach embraced by the two companies will support Telefónica in maintaining a strong network and providing coverage to Mexican internet users. Citing a recent study, Mexico is ranked among the top ten countries with high internet usage.
The study indicated that around 70% of the Mexican population are internet users. The increase in internet use in the Mexican region inspires fast paced telecom companies to expand to the region.
Under the partnership agreement, the Telefónica team plans to leverage the Helium mobile hotspot in North America to support its expansion plan in booming cities in Mexico, including Oaxaca.
The report indicated that the Helium hotspot comprises multiple nodes providing a wireless network to the IoT infrastructures. According to the announcement, Telefónica anticipates that integrating the Helium network will enable the telecom company to expand its coverage to remote regions.
Suitability of the Mexican Market
Telefónica confessed that high internet usage results in network congestion that undermines day-to-day activities. With the impending Helium integration Telefónica is optimistic that there will be better connectivity.
This development seeks to enable the customer to use a network with the recommended stealth capability. It implies that the user can switch to the Helium network in case Telefónica experiences network traffic.
Despite the integration of Helium into the Telefónica network, the telecommunication company assured the customers that its management system would promptly manage customer activities.
Telefónica Next Move
In an exclusive interview with the chief wholesale officer at Telefónica, Jose Haro confirmed that the partnership aligns with the company’s long-term objective of expanding coverage to remote regions.
The executive admitted that the proposed expansion to Mexico played a significant role in building solid customer relations. Haro believes that through the partnership, the company will satisfy the user’s needs.
He anticipates that the proposed integration of the Helium network on Telefónica will be successful. The executive added that if the partnership meets the intended purpose, Telefónica will continue integrating the Helium network into the remaining portfolio of mobile networks in different countries.
A review of the Telefónica website demonstrated that the telecom company operates in North America under the brand name “Movistar.” Besides working in Mexico, the report indicates that Telefónica has expanded to around 17 in Europe and the US.
The expansion to these regions has compelled Telefónica to diversify its product line to meet the ever-changing customers’ needs. In the meantime, Telefónica has launched multiple Web3-inspired projects for users to conduct safe and secure transactions that don’t require third-party involvement.
Editorial credit: MacroEcon / Shutterstock.com