Sooner or later, municipal utilities will be compelled to develop new forward-looking business models. As the renewable energy rollout gathers steam, in the foreseeable future there will come a point where their traditional energy business is simply no longer viable. This in turn means that funding will no longer be available for what are frequently loss-making areas of public services – such as public transport and swimming pools.
But for all of this alarming news, the situation also offers a great deal of potential. Municipal utilities which are prepared to move with the times have the opportunity to develop extremely lucrative and forward-looking business models. For instance, this includes the rollout of digital infrastructure. Where a municipal utility proactively takes charge of the provision of an extensive fiber-optic network, it will thus automatically lay the foundations for a city’s intelligent ongoing development – and thus establish the basis for the realization of innovative and resource-saving Smart City measures.
To be sure, each municipal utility will need to identify promising future business models according to its specific location factors. The provision of digital infrastructure, supported by the rollout of a fiber-optic network, is certainly one of the biggest projects for municipal utilities. At the same time, the need to forge ahead with the rollout of renewable energy infrastructure is no less pressing. A digital services offering and a strategic approach are essential in order to achieve a successful transformation of a municipal utility. There is also a need for meticulous planning and calculation covering the funding of this transition.
A comprehensive fiber-optic network is a prerequisite for urban transformation and for the design of smart cities. We assist municipal utilities and network operators with the development of successful business models and individual strategies for a systematic and comprehensive fiber-optic rollout process – from the network infrastructure via the design of innovative financing models and the integration of various support funds to the formulation of a business plan. In addition, every year Haselhorst Associates produces an extensive Smart City Ranking which assesses around 400 of Germany’s largest cities in terms of their level of digitalization. This makes it possible to rapidly identify fields of action and new areas of business for your municipal utility.
Our fiber-optic business case tool intelligently brings together all of the technical and commercial issues as well as the necessary marketing aspects. This tool is used for the provision of infrastructure for regions of varying sizes and for the purpose of reliable strategic decision-making ahead of major investments. The key levers for a successful business model are clearly indicated. These calculations play an essential role in the development of a strategy, in order to avoid misdirected investments and to determine optimal new business areas.