OPPO signs up Vodafone for European expansion

Chinese smartphone vendor has partnered with pan-European telco Vodafone to offer its full-range of 4G and 5G devices.

As part of the agreement, Vodafone will become an OPPO partner in Germany, UK, Spain, Portugal, Romania, Turkey and the Netherlands. The Chinese smartphone brand has been very successful in its domestic market, though international ventures have been slightly more muted.

Leaning on Vodafone’s credibility and operations is one way to add some momentum to global ambitions, though as this is not an exclusive deal, OPPO is also free to work with rivals. The Chinese smartphone vendor could be eating its cake and having it too.

“OPPO is confident that our industry-leading products and technologies will enable Vodafone to win new opportunities in the 5G era,” said Alen Wu, OPPO’s President of Global Sales.

“Vodafone’s vision that ‘we connect for a better future’ aligns with OPPO’s value of ‘Benfen’ – to do the right thing and provide real value to customers. OPPO looks forward to solidifying a long-term win-win relationship with Vodafone to create a better future for our customers in the 5G era.”

Although there might be telcos around Europe which offer a market-leading position in their home markets, few can offer the breadth and depth Vodafone can offer.

Vodafone European presence
Market Subscribers (thousands) Market share
Germany 30,052 22.2%
Italy 19,245 19.8%
UK 18,042 18.5%
Spain 13,843 16.4%
Ireland 2,004 35.1%
Portugal 4,682 26.5%
Romania 9,296 34.7%
Greece 4,476 26.6%
Czech Republic 3,990 24.9%
Hungary 3,127 26.8%
Albania 1,618 42.3%
Malta 302 49.1%

Sources: Vodafone Investor Relations and Omdia World Information Series

This is the power of Vodafone. It might not be the most successful companies in the individual markets, but the sheer size of its European footprint is unrivalled. Let’s not forget what the objective of OPPO will be; exposure far and wide. Vodafone offers credibility and sales channels in numerous markets, though only a few will be included in the deal to start.

While Huawei has stolen headlines (positive and negative) over the last few years, it is always worth remembering there are other smartphone brands emerging from the country which are fighting for market share. Xiaomi is one which has proven successful, though OPPO, VIVO and OnePlus are just a few more which could make a splash in foreign waters.

According to estimates from IDC, OPPO has been successful in the international markets but growth has somewhat stagnated in recent quarters. During the final quarter of 2019, shipments accounted for 8.3% market share, though OPPO has fluctuated between 7.4% and 8.9% for the last few years. This is a successful business, but a catalyst might be needed to take it up a notch.

O2 bags the Disney+ edge in the UK

Following on from its sister brand in Spain, O2 has announced a partnership with Disney+ to become the official mobile distributor in the UK.

As Europe edges towards the launch of Disney+, the local partnerships are beginning to add up for the entertainment giant. Netflix has already proven this is an excellent go-to-market strategy when attempted to crack the international markets, and Walt Disney is seemingly making all the right moves to ensure its challenge to the content king has every opportunity to succeed.

“We’re delighted to work with the award-winning mobile network O2 on the UK launch of Disney+, which represents a new chapter in the way Disney delivers our timeless stories to fans,” said Jan Koeppen, President of The Walt Disney Company EMEA.

“We’re delighted to be working with Disney to bring these incredible shows and movies to our customers, demonstrating that there are more reasons than ever to join the UK’s No.1 network,” said Mark Evans, CEO of O2.

Although Disney and Netflix are being positioned as rivals, what is worth noting is that the two will co-exist. Disney programming is not relevant to all of Netflix customer base, and vice-versa. There is of course cross-over, and Disney will erode some of the vast Netflix subscription list, there are of numerous customers who will take both services, or perhaps completely ignore Disney as a proposition.

Launching on March 24, the O2 partnership adds to the existing tie-up with Sky. In both of these partnerships, Disney+ customers will be able to integrate payments for the streaming service into existing bills, leaning on the trust which has already been established with O2 and Sky. Existing O2 customers will also be entitled to a £2 a month discount on connectivity bills as a reward for subscribing for £5.99 a month, while new customers enticed into the O2 family will get the streaming service for free for six months.

“Offering new and upgrading customers a six-month free subscription, worth £36, will act as a strong pull for consumers who are considering their provider choices in the coming months,” said Nick Baker of Uswitch.

Relationships with telcos are proving to be a very popular way to generate traction in a new market, and Walt Disney already knows the benefits of such a strategy.

During the earnings call at the beginning of February, where Walt Disney CEO Bob Iger said the team had collected 26 million subscriptions in the first six weeks, he also stated 20% of these subs could be attributed to the relationship with Verizon. Such relationships with take a bite out of Average revenue per user (ARPU), but the benefits for the long game are much more significant; this is a recurring revenue play after all.

Alongside the O2 and Sky partnership for mobile and fixed services in the UK, Walt Disney has inked an agreement with Canal+ in France, Deutsche Telekom in Germany and Telefonica in Spain. The team also has a tie-up with US airline Delta, giving passengers on selected routes an opportunity to sign up for a 14-day free trial.

Of course, these relationships work both ways. As the connectivity service becomes more and more commoditised, telcos need to search for ways to differentiate their offering for customers. Partnerships with content creators is a useful way to achieve this objective, and we would hope this could act as a catalyst to reinvigorate the flagging Priority loyalty initiative for O2. This was a very useful initiative to make O2 a competitive force, though it has become somewhat muted in recent years.

Singtel, AIS and SK bundle together for gaming JV

SK Telecom has joined forces with Thailand’s AIS and Singapore’s Singtel to launch a new partnership to develop new gaming-related revenue streams.

The investment in a regional joint venture builds on an earlier Memorandum of Understanding with the intention of pursuing riches in the increasingly popular gaming sector. Designed to be a venture relevant across the South-east Asian region, the trio will partner with various international partners to leverage their presence in various markets.

“Gaming is growing in popularity as digital entertainment for our customers in the region,” said Arthur Lang, CEO of Singtel’s International Group. “There are some 200 million gamers in our markets, and the numbers continue to grow.

“In the past two years, we’ve worked with various partners in the gaming ecosystem on regional esports efforts, such as PVP Esports, to connect with Gen Z and millennial audiences. This has received strong support from the community and spurred us to deepen our engagement beyond esports into gaming content distribution.”

Although gaming is already incredibly popular in some markets around the world, improvements in connectivity and mobile devices have opened this segment up to new audiences, new experiences and new ways to make money. 5G is also touted to bring new elements to this segment, thanks to higher download speeds and improved latency.

“The games market in Thailand is showing remarkable growth,” said Alistair David Johnston, MD of New Business at AIS. “There are over 27 million active gamers across all platforms, with revenue in 2019 exceeding 23 billion baht, and expected to increase to 27 billion baht in 2020. AIS has been a pioneer in the Thai esports space, hosting several successful tournaments. AIS’ industry-leading fixed and mobile networks also provide a great gaming experience to our customers.”

While AIS will bring experience in esports and digital content to the partnership, SK Telecom is bringing expertise from the hugely successful Korean entertainment and gaming industry, and Singtel’s is said to bring deep regional knowledge, digital and telco assets. With 800 million gamers across the region, it certainly does look like an attractive proposition.

TIM secures exclusive Disney+ deal in Italy

Telecom Italia has been announced as the exclusive partner for Disney+ in the country, with services set to be launched on March 24.

With the content and connectivity worlds becoming increasingly intertwined, telcos who are not able to offer a TV service within a bundle might look less attractive. This is the theory, which still needs to be genuinely ratified, though bundling content into connectivity packages is certainly not going to do any harm. With Disney+, Telecom Italia (TIM) has found a very attractive partner.

“We are proud that Disney has chosen TIM as its strategic partner in Italy,” said CEO Luigi Gubitosi. “This agreement comes within the strategy adopted by TIM to pursue alliances with major international players in various segments, to offer cutting-edge products and services.

“Adding Disney+ gives a major boost to the strategy of TIMVision as Italy’s leading aggregator of premium content in the Italian TV industry, in a context where convergence between telecommunications and content will play an increasingly key role in the group’s future, thanks to the development of ultrabroadband and 5G.”

Available across all devices, the TIMVision content platform does look to be an attractive proposition. While some telcos have chosen to secure fortunes through owning content rights, TIM has gone the more steadfast, and perhaps more sensible, direction of becoming a content aggregator. In fairness to TIM, it has done a pretty good job in creating a decent offer, one which will only be enhanced by Disney+ content.

Although Disney has been quite quiet over the last few weeks, it did proclaim during the earnings call that Disney+ had secured 28 million subscriptions in the first six weeks. Perhaps more impressive, is these numbers are only representative of the US market.

Outside the US, streaming video on-demand (SVoD) services have been gathering momentum. Uptake has not been on the same aggressive scale everywhere compared to the US, though bundling content packages in with local connectivity service providers has been a successful venture for Netflix to date. Taking these lessons to heart, Disney is targeting Italy with TIM, has partnered with Sky in the UK and Verizon in the US.

Sky grabs lucrative Disney+ partnership in UK

Partnerships are increasingly becoming the new way to do content in the telco world and Sky has landed what could be an attractive deal with Disney+.

With connectivity and content becoming increasingly entwined as the convergence business model becomes the norm, partnerships with the US streaming giants are very valuable assets. Sky has already inked a relationship with Netflix, even going as far as to embed the service in its content platform but adding Disney+ to the mix is another feather in the cap of the UK’s premium content leader.

“We’ve built a strong partnership with Disney over three decades and we’re pleased that our customers in the UK and Ireland can continue to enjoy their world-class content – all in one place on Sky Q,” said Jeremy Darroch, Group CEO at Sky.

“This is a great start to what is set to be another stellar year for Sky – in 2020 we’ll launch new channels and genres, start building Sky Studios Elstree and we’ve got brilliant new and returning originals coming too.”

If the mission is to have all the best content in a single window, Sky is looking like it is doing a very effective job. Sky already has some very attractive content, but with Netflix and Disney+ to bolster the offering, it seems few will be able to compete in a market which is becoming increasingly congested.

“Ultimately, the arrival of another service further fragments the market for consumers,” said Paolo Pescatore of PP Foresight. “There are too many video streaming services chasing too few dosh. It is becoming more important to be able to access all of these and future services on one TV platform. Here lies the killer feature, universal access!”

But while this is a win for Sky, Pescatore still thinks there is opportunity for a mobile player to cash in at some point.

“This partnership suggests an exclusive deal for a UK provider is still up for grabs. Highly likely that a mobile operator will secure this, mirroring Disney’s strategy in the US. Therefore, EE looks to be in prime position given its track record in securing key premium content partnerships. Disney brings the most sought-after breath of premium programming for all genres.”

Over in the US, Disney+ has proven to be an incredibly popular service. During the most recent earnings call for the Walt Disney Company, the team boasted of 26.5 million paid subscriptions, averaging $5.56 a month. These numbers were accurate to December 28, and considering the aggressive expansion plans, we expect these numbers to be considerably higher come the next earnings call in May.

What is always worth remembering is that these partnerships work both ways; Disney has as much, if not more, to gain.

For Sky, Disney adds depth to a content offering which is already market leading. It is a move to consolidate the position and add more stickiness to the service. It also allows Sky to add more value to connectivity offerings. It sounds like Sky is getting a lot, but then you have to consider what the opportunity is for Disney.

Disney has an excellent brand in the UK, though it will struggle to go head-to-head with the trusted proposition which is Netflix. Through this partnership, Disney leans on the existing customer relationships with Sky to gain a direct link, its existing billing relationship and exposure through an embedded tab on the platform. These elements, plus the marketing dollars which Sky will push towards the launch, will give Disney the best possible start in the UK.

LG drives towards connected car market with Cerence tie-up

LG has signed a memorandum of understanding (MOU) with Cerence to make a play for the emerging connected car market.

The partnership with Cerence, which has recently spun-off from Nuance Communications, will integrate LG’s webOS Auto In-Vehicle Infotainment (IVI) system with Cerence ARK (AI Reference Kit), to create a new voice assistant for the connected car market.

“We look forward to this collaboration with Cerence to develop a turnkey voice solution for today’s auto and component makers to accelerate the arrival of the connected car,” said I.P. Park, CTO of LG Electronics. “We will continue to evolve webOS Auto by offering a wider range of AI-powered experiences for both manufacturers and auto customers.”

“We are honoured and excited to partner with LG Electronics on a solution that harnesses the collective power and promise of webOS Auto and Cerence ARK,” said Sanjay Dhawan, CEO of Cerence. “This new offering will support automakers and tier-one suppliers as they rapidly innovate, speed the time to market, and deliver a state-of-the-art in-car experience unlike any other.”

Although still in the early days, the connected car market is accelerating very quickly. LG might be a bit a late to the party here and will have to scrap with some big names from Silicon Valley, the telcos and the OEMs themselves.

Looking at the internet segment, Google has been making promising steps forward with its Android Auto in-car platform, while Amazon has Echo Auto, and Apple has CarPlay to steal some share of the connected car segment. The likes of Huawei and Ericsson are also trying to wrestle attention in the space also.

Albeit distant competitors, some telcos have also shown ambitions to play a greater role in the connected car segment. While it does look like the telcos are destined to be the commoditised connectivity partner, the fortunes of this industry are far from settled.

Finally, you have to consider the car manufacturers themselves. The likes of BMW, Seat and Ford want to create a lasting relationship with customers to drive towards a more sustainable industry in the future. Simply selling and maintaining cars might not be enough but owning the in-car experience is one way to create value and new potential revenue streams.

The winners and losers of the connected car segment are far from settled, but this is quickly becoming an incredibly competitive environment.

Vodafone and AT&T are proving that partnerships mean prizes in IoT

The IoT world is nothing new in telecommunications, but it’s becoming clear that the players which can negotiate the largest geographical footprints will be in the strongest position to exploit it.

Although there will be plenty of opportunities for IoT potential to be realised in the domestic markets, the big prizes will be realised across international borders. Multi-nationals are the ones with the budgets to invest in this embryonic and largely unproven segment, but to work alongside these companies the telcos will have to prove they have the networks to support the ambition.

Unfortunately, many telcos are limited to their domestic markets. This will make the prospect of partnerships and collaboration all the more important moving forward when offering IoT services.

“Extending our collaboration with AT&T to offer NB-IoT roaming helps our customers to easily deploy their connected devices between the U.S. and Europe,” said Vinod Kumar, CEO of Vodafone Business. “We want to make technology adoption simpler for our customers to help them achieve their business outcomes and by pushing forward the standards and linking up our IoT network with AT&T’s, we’re doing just that.”

“For the IoT to live up to its promise, it must be global,” said Chris Penrose, Senior Vice President of Advanced Mobility and Enterprise Solutions for AT&T. “More and more of our enterprise customers are launching IoT applications across multiple countries. Working with Vodafone we can offer our customers simplified deployments to help scale their IoT plans across the U.S. and Europe.”

Vodafone is arguably in one of the strongest positions worldwide to capitalise on the IoT trends. In terms of the global presence, few can compete with the breadth of Vodafone assets, as you can see from the map below.

The global presence is not necessarily a unique selling point for Vodafone, as any company with ambitions to be a global enterprise services telco will have something similar. Each of the big players in the enterprise services market, including AT&T, will have partnerships in place to emulate this scale, however when these agreements were initially negotiated, we suspect IoT services were not included.

In owning assets in a notable number of markets, Vodafone has a head-start. It does not need to negotiate as many partnerships for global IoT services as its competitors, though it certainly does need to fill in some very notable holes. The US being one of them.

The US is a significant market for anyone involved in the telco world. Vendors will want to supply equipment to some of the largest single networks, while enterprise service telcos will want to tap into the bank accounts of the multi-nationals which fuel the worlds’ largest economy. In partnering with AT&T for NB-IoT as well as LTE-M and other elements, Vodafone has a physical presence in the country it can point to.

The same can be said the other direction also. Although it might be one of the largest telcos worldwide, owned assets at AT&T are limited to the US and Mexico. This is not good enough if you want to be in discussions with multi-national corporations, you need to be able to meet their global ambitions.

Alongside this agreement with Vodafone Business, AT&T has also recently announced partnerships with the three Canadian telcos to expand its presence into the uppermost half of North America.

Partnerships are not the most exciting part of the telecommunications industry, but in the world of IoT where bigger usually means better, they are critical. Those who can most effectively build their presence outside of the assets which are owned by the telco will look like the most attractive IoT enterprise service providers.

Vodafone Italia and TIM join the network sharing bonanza

Vodafone’s Italian business and Telecom Italia are the latest pair to join the sharing euphoria which seems to be sweeping the Vodafone group.

After network sharing agreements were signed in Spain with Orange and O2 in the UK, Vodafone has swept across to Italy to join forces with market leader, albeit a stressed business currently, Telecom Italia.

“This agreement will enable us to step up the rollout of 5G for the benefit of our customers and the community as a whole,” said Aldo Bisio, CEO of Vodafone Italia. “5G has a key role to play in modernising the country.

“It will provide the technology platform from which to launch innovative new services capable of making business models more efficient and improving productivity throughout the value chain, helping to build a more competitive digital economy. Network sharing reaps the benefits of 5G and at the same time reduces the impact on the environment and lowers rollout costs, allowing more investment in services for customer.”

This announcement actually has two components to it. Firstly, in pursuit of an accelerated 5G deployment plan, Vodafone Italia and TIM will enter into a network sharing partnership which will include active equipment. Secondly, the Vodafone passive tower business will be merged with INWIT, TIM’s own tower business.

Starting with the first component, once again Vodafone has decided to go down the route of sharing active equipment. This was the case when pooling resources in the UK with O2, though it is a slightly unusual approach as the only differentiator now is the spectrum which the duo has acquired individually. However, like the UK the larger cities will be excluded from the network sharing partnership.

Although sharing active equipment has been viewed as relatively unusual in the past, perhaps this is an indication of Vodafone’s position in both of these markets. In the UK, it is sitting firmly in third place in the market share rankings with a lot of ground to make up, while in Italy there are financial pressures thanks to the pricing disruption of Iliad. In both cases, Vodafone will welcome opportunities to free-up cash.

Using this approach, Vodafone suggests it will be able to free-up €800 million over the next 10 years which will certainly be useful for other R&D or reallocating for customer acquisition efforts.

The second aspect of this deal will see the Vodafone Italia tower business merge with TIM’s INWIT, with Vodafone taking a 37.5% and a lump sum of just over €2 billion. What we’re not too sure about is how this will impact the potential spin-off of Vodafone’s tower business in the future.

This was an announcement which got investors excited last week, as Group CEO Nick Read suggested monetizing the tower infrastructure business alongside declining revenues for the latest quarterly statement. This seemed to have forced a positive reaction from the market, though presumably any Italian assets would now have to be excluded from a European-scaled tower infrastructure business.

Coopetition is becoming permanent fixture of 5G world

It might be a management consultant phrase, enough to have some clawing their eyes out, but coopetition is quickly becoming the norm as telcos drive towards the elusive goal of ROI.

The latest firms to enter into the new-era relationship are Orange and Proximus. Announced this week, the duo has signed a term-sheet to enter into a mobile access network sharing agreement by the end of the year. The scope of the partnership will be to meet raising demands in terms of mobile network quality and indoor coverage.

“The signing of the term sheet is an important step in reaching a final mobile access network sharing agreement between Proximus and Orange Belgium,” said Dominique Leroy, CEO of Proximus. “It will allow us to embark on a faster and broader 5G roll-out while improving mobile network capacity and coverage to the benefit of our customers and while keeping a strong and differentiated customer experience.”

“Mobile access network sharing is a trend in Europe which benefits consumers, as it enables more efficient investments to cope with the increasing data consumption,” said Michaël Trabbia, CEO of Orange Belgium. “The timing of this mobile access network sharing agreement is important as it will allow us to accelerate 5G roll-out, while bringing significant environmental benefits by reducing the combined energy consumption by 20%.”

This is a very simple partnership ultimately. The two telcos will enter into a shared infrastructure agreement, it seems both passive and active infrastructure is included but will rely on their own spectrum to differentiate on customer experience. This does appear to be an increasingly common strategy across the European continent to drive the commercial appeal of the connectivity business.

Another example of such business is in the UK, where the telcos have paired off to create joint-ventures to own and manage passive infrastructure in certain regions. CTIL and MBNL are the JVs in question and allow the four MNOs to share the expensive job of civil engineering but differentiate their offerings on the active equipment being installed on the masts and spectrum assets.

One of the reasons such partnerships are becoming more common across Europe is scale. With more than 100 different telcos across the continent, the telcos cannot achieve the same subscriber bases as counterparts in the likes of the US and China. This impacts procurement strategies as well as the ability to drive ROI in the mid-term.

Bearing this in mind, densification and network rollout into the rural communities becomes a problem. 5G is eventually going to force the telcos to acquire more mobile sites in the urban areas, to deal with the traffic increases but also to compensate for shorter spectrum ranges on higher-frequency bands. The rural environments are of course less commercially attractive due to the lower population density, but there are both commercial and regulatory demands to prevent a digital divide.

“The deal between Orange and Proximus is just the latest in a series of network partnerships designed to keep a lid on costs and accelerate deployment,” said Kester Mann of CCS Insight. “This is particularly important at the start of the new 5G era as operators continue to scratch their heads over the business case for investment.

“Although the approach could limit opportunities for operators to differentiate based on connectivity, it could free up investment in other areas such as content, vertical markets and new services. This can only be to the benefit of the consumer.

“We should expect further industry collaboration going forward. This could include the possibility of more innovative models such as shared networks between all operators in a single market or ownership of assets such as spectrum and infrastructure by independent third parties or even government.”

Another recent example of this type of coopetition is in Japan. Last week, KDDI and Softbank came to an agreement to share infrastructure in rural environments. This initiative is also geared towards reducing the burden of capital expenditure in delivering 5G to every corner of society. TIM and Vodafone Italia are another duo exploring the coopetition play to tackle the issue of rural 5G connectivity.

Elsewhere in the telco world, coopetition is emerging in the services game.

There are numerous examples of telcos buddying-up, for most cases with telcos outside of their commercial jurisdiction, to jointly develop services for 5G epoch. As it stands, 5G is nothing more than a ‘bigger, badder, faster’ version of 4G, though if the financial promises are to be realised differentiation is needed. For most, this means venturing into the murky world of enterprise services.

Last month, SK Telecom and Deutsche Telekom announced a partnership which would develop various technologies to improve indoor coverage and explore low-latency media services. A long-standing partnership between DT and Orange has led to the emergence of Djingo, a smart-assistant to challenge the dominance of the OTTs in the smart home.

Coopetition might sound like a buzzword fit for boardrooms of coffee drinkers and overpaid management consultants, but it is a trend which is slowly emerging in the telco world. And in some cases, it might just be the perfect solution to drive towards the long-overdue profits.

SK Telecom and Deutsche Telekom buddy up for 5G

Collaboration is one of the key works currently floating around the 5G world and it seems SK Telecom and Deutsche Telekom haven’t missed the memo.

At a meeting attended by roughly 100 executives, the two operators announced a partnership with the ambition of seeking the promised revenues in the 5G epoch. As it stands, 5G is nothing new. It’s bigger, badder and faster than 4G, but that is not going to satisfy the financial demands of the telcos who need to invest so heavily in the future-proofed networks. The joint venture company created as a result of this partnership will be first tasked with developing new 5G technologies.

Initial focus will be to develop 5G repeater and a 5G in-building solution, as well as a Multipath UDP solution to manage accesses for a seamless connectivity experience and MPEG Media Transport (MMT) technology for low latency media streaming.

“Through partnerships with companies throughout the world, SK Telecom aims to expand beyond the realm of mobile communications to become a global ICT company,” said Park Jung-ho, CEO of SK Telecom. “And I expect this, in turn, will lead to the revaluation of assets and competitiveness of SK Telecom.”

“DT/SK Telecom partnership continues to be of strategic importance for both DT and SK Telecom.” Said Timotheus Höttges, CEO of DT. “We want to work together to make tangible result and strengthen our partnership also with closer technical cooperation.”

This sort of joint investment should not perhaps come as the biggest of surprises considering the pair signed a Memorandum of Understanding (MOU) at the Mobile World Congress Barcelona 2019. There is also the fact Alex Jinsung Choi, DT’s SVP of Research and Technology Innovation, was formerly the CTO at the Korean telco.

As part of the agreement, SK Telecom will also contribute $30 million to DTCP, an investment management group with $1.7 billion assets under management and advisory from Deutsche Telekom. The group is tasked with seeking new investment opportunities in technology, media and telecommunication sectors across Europe, the US and Israel. Moving forward, DTCP will open an office in Seoul to identify new opportunities with SK in Asia.

Looking at the greater opportunities for telcos in the 5G era, this could work out to be a very useful partnership for DT. Offering more products and extracting more revenue from enterprise customers is seem as a key objective, and the Asian telcos have progressed further here. Conversations with the verticals have been in play for longer periods of time and these telcos are closer to creating specific products for specific verticals. DT could certainly learn a thing or two.