Trends, Growth Areas, and the Role of Cloud Security Solutions Like Aipix VAS

The market needs to transform its focus toward Value-Added Services (VAS) in the telecom industry which internet service providers and telcos can offer instead of standard internet access. Telcos seek to provide real-world utility, digital convenience, and long-term customer value instead of offering decreasing megabyte packages that compete in price wars.

Analysys Mason projects that VAS in telecom networks revenue will achieve 30% of ISP ARPU in developed markets by 2026. The main drivers are cloud-based services and smart security solutions that lead this expansion. The current market shows evidence of ISP customer relationship evolution. ISPs now extend their services beyond basic connectivity using platforms like Aipix. The unified platform enables the creation of service-based interfaces that improve customer interactions with providers and increase reliance on their services.

The article examines how telecom and internet service providers structure their modern VAS offerings. We try to identify current market trends and explain why Aipix’s cloud-native security platform stands out for operator success in this changing telecom market.

What Are Telecom Value-Added Services (VAS)?

What is VAS service? Still many people do not understand the core of this trend.

Value-added services (VAS) are any additional digital services which internet service providers and telecom operators can include in their standard fiber broadband connectivity packages (bundle). The core goal of the services is to increase customer satisfaction (increase LTV or decrease churn rate) and generate additional revenue (increase ARPU). VAS is one of the few tools that allow providers to differentiate themselves from competitors in the market of telecommunication services.

What VAS service delivers to subscribers? 

Yes, voice calls and internet access serve as fundamental services. But Value-Added Services (VAS) in the telecom industry extends and can include entertainment subscriptions, smart home systems, and cloud-based security solutions. As a result it all transforms basic network connectivity into a complete digital experience for the end-user. VAS delivers meaningful value to users through essential tools for their lifestyle, workplaces and smart infrastructure management.

What VAS delivers to telcos?

Value-Added Services (VAS) in the telecom industry allows ISPs and telecommunication companies to differentiate themselves in crowded markets. In metrics it turns into strengthening customer retention, increasing LTV, generating ongoing revenue through adaptable package options for residential, enterprise and SMB customers.

Types of Value-Added Services for Internet Service Providers (ISPs) and Telecom Operators

Internet Service Providers and telecom operators now offer a wide range of modern value-added services for users to access various applications. The following list of value-added services examples outlines the main service categories and provides an overview of their market positioning, operational scope, and strategic significance.

Entertainment-Based VAS in telecom networks

The majority of ISPs choose entertainment services as their basic service offering.

• IPTV & OTT Platforms, for example, video-on-demand, TV service streaming, filming, etc. 
• Gaming VAS subscription, which are bundled access to Xbox Cloud, NVIDIA GeForce Now, or other services and mobile vas. 
• Music & audio streaming (for example from global leaders like Spotify, YouTube Music, Apple Music packages, etc.) 

Consider this: lately, this mass market has decreased, as those OTT platforms now offer their services directly without intermediaries.

Digital Lifestyle & Productivity Value Added services in telecom

The services in this category provide digital convenience and operational assistance through their following features:

• Cloud backup & storage. The main application of this service involves secure file storage for personal or family use.
• Parental controls and safe/smart browsing. It is called firewall as a service, and includes content filtering, screen-time management, PIN access, port-access, timetable access, and other tools that help families surf online safety).
• Telehealth & eLearning platform (virtual classrooms, remote diagnostics, wellness platforms, etc.) 

Despite these value added services in telecom functioning properly, often users fail to recognize their real value. So, for telcos, it is a bit harder to sell these services on an everyday basis. This results in decreased usefulness when proper context is not provided.

Smart Home VAS and IoT Platform Integrations

The growing popularity of Smart home and Internet of Things (IoT) technology allows ISPs and Telco to monetize them, delivering Smart Home VAS solutions to their subscribers through specific features.

• Automation for home lighting, heating, and appliance items.  
• Voice assistant integration with IoT platforms (for example with Alexa, Google Assistant).
• Security and energy management applications.

The successful deployment of these services requires proper equipment, costly system setup, reliable hardware partnerships, and customer training. As a result, all of this creates implementation challenges for telecoms in achieving mass-market adoption.

Cloud-Based Security, including Video Surveillance, Access Control and VideoAnalytics (Emerging as the Growth Engine)

Physical security-related offerings show the highest growth rate in the decade. According to global reports it has already been generating the most revenue among all VAS in the telecom industry. And the current trend shows signs of further growth because of connectivity expansion throughout the market.

Internet service and telecom providers should tap into basic human needs to multiply revenue. 

Cloud security Value-Added Services include:

• Cloud video surveillance (VSaaS) with monthly payments
• Smart intercoms with remote access control 
• AI-driven analytics for enhanced real-time monitoring and decision-making

The VSaaS market will exceed $10 billion in value by 2027. According to research, modern telecom operators will drive half of this demand through their solution integration for multi-unit dwellings and SMB customers.The security-based value-added services (VAS) from internet service providers trend shows that customers now require safety, convenience and remote property management more than productivity or entertainment packages. Therefore, look at the value-added services examples above one more time. The security VAS services will be a key focus next year for telco and ISPs, serving as a long-term source of revenue.

Key Future Trends Shaping the Telecom Value-Added Services Market in 2026

The VAS in the telecom industry sector for internet service providers faces a historical transformation. The customers now demand a range of different services and technology continues to advance. The following trends establish the future situation of VAS for telecoms and ISPs and need to be considered in the growth strategy for 2026.

Trend 1. Prioritizing Practicality Over Pure Entertainment

Users from today’s world seek a combination of better security, productivity improvements and convenience features. Last research indicates that broadband users would switch providers if they could offer better smart security features. 60% of them would make this change.

Trend 2. Cloud-Native Solutions Dominate in VAS industry

With cloud-technology adoption worldwide, the need for hardware installation at physical sites has become unnecessary. Consequently, more users are migrating to cloud-based services that can be afforded wherever the internet is available. This shift also allows providers to get cloud-based, subscription-friendly VAS platforms for service delivery. These systems offer carrier-grade scalability, support remote updates, and require minimal maintenance costs in the telecom sector.

Trend 3. Artificial Intelligence Is a Differentiator

AI-powered VAS services including face detection, intrusion detection and smart notifications have become fundamental elements for modern businesses.This enables providers to use data analytics in the telecom industry and turn intelligent video-features into premium service levels.

Trend 4. Focus on Multi-Tenant Architecture and Small Businesses

ISPs now design VAS packages to meet the needs of urban living spaces and SMBs by providing integrated connectivity, high-quality service and security solutions for these markets.

Telecommunication providers and ISPs can combine VAS offerings and use the VAS bundles to answer urban residential requirements and small business needs. This approach gives a wide variety of combining network services and protection features to add the best value to fiber connectivity.

Trend 5. White-Labeling Accelerates Market Reach

Telecommunication and internet service providers always want to keep complete authority over branding elements and customer interaction experiences related to their offerings. Aipix provides “out-of-the-box” VAS platforms for telecom operators with white label model, deploy new digital services under their own brand, maintain complete control over the processes, and simultaneously grow ARPU, subscriber loyalty, and trust.

Why Security Is Becoming the Cornerstone of Telecom VAS

Security will become an essential feature for the digital VAS industry by 2026. Its fundamental requirements from both consumers and businesses, who demand peace of mind, remote monitoring, convenience and intuitive control over their lives, properties and digital environments.

The market of security VAS service attracts ISPs and telecom providers because of their specific advantages.

• High Customer Retention. Global research shows that physical security services (including cameras and intercoms supplying) can be provided through subscription-based bundles that are hard for customers to cancel or change.
• Attractive Revenue Opportunities. AI analytics tools with premium cloud storage add-ons can result in higher monthly revenue for telecoms and ISPs. This also strengthen telcos positions as a innovative leaders in the market
• The security market now serves mass-customers who need protection for properties. The market shows increasing demand for integrated security solutions from internet service and telecom providers who deliver this as a service through property managers, small businesses, schools, healthcare facilities, etc.
• The use of mobile apps provides customers with unified control over their internet services and security cameras and access controls. The Modern App Solution enables subscribers to control their security services through mobile devices at any time and from any location.

Modern mobile apps enable end-users to manage their internet services offerings in a tap. Like internet + TV-access subscription, they also can manage video surveillance and smart intercom in a single unified interface. The Video control App Solutions let subscribers manage their security options through mobile devices, anytime and from anywhere.ISPs and telcos can establish themselves as reliable digital partners through cloud-based surveillance and smart intercoms. VAS in the telecom industry enables them to build stronger and more lucrative relationships with their customers for a long-term period.

How Aipix VAS Platform Empowers ISPs and Telecom Operators with a Complete Cloud Security Platform

Aipix VAS Solution provides an “all-in-one” cloud-based security platform for ISPs’ and telecoms’ needs. It allows telecommunication industry representatives to develop new VAS offerings through scalable security software solutions based on existing infrastructure.

Here’s what makes Aipix stand out (among other points) in the telecom sector:

Aipix Cloud Video Surveillance with AI Enhancements, for example:

• Aipix provides access to HD video streaming through mobile, web and desktop interface at any time in any place.
• The system includes smart AI features like facial recognition, motion detection zones, license plate recognition) which expand real-value, high-quality service and monetizing options to end-customers. 
• Aipix VAS platforms for telecom operators provide encrypted flexible cloud storage options. It allows users to set their own retention periods, and operators – use archives as a high-margin offering. 
• Aipix has a multitenant architecture. It means that each single camera can be used simultaneously by different users: from single homes and apartment complexes to commercial campuses.

Aipix Smart Intercom Solution:

• Remote door unlocking from mobile devices from any place.
• Time-generated and guest codes, Face ID access, mobile app access.
• Detailed visitor logs, missed calls archive.
• Designed for MDUs and gated communities. 
• The system includes high-definition video and two-way audio for security.

White-Label Solution and Seamless Migration Support

• ISPs and telecom companies can maintain their market presence and share using the white-label VSaaS model. Aipix provides telcos a fully branded VAS platform installation under the telecom’s own brand
• Aipix VAS Provider supports open APIs for seamless integration to billing functions, BSS, etc. It guarantees smooth operational workflows. 
• The system supports flexible and scalable autoprovisioning options. The process of implementing residential video surveillance systems is as simple as deploying extensive enterprise monitoring systems.

ISPs and telcos use Aipix VAS Software to deliver premium cloud security services to their B2B, B2C, and even B2G clients. Due to the wide range of applications, scenarios, and add-on features, it is a powerful tool to boost ARPU, customer loyalty, and LTV. 

Moreover, thanks to not requiring significant initial capital expenditures and fast deployment, Aipix allows maximizing ROI from new digital services and generating revenue from the first month.

The Future of Value-Added Services (VAS) in the telecom industry by 2030

The upcoming five years will witness a boom in value-added services (VAS) for internet service providers. Telcos will shift from basic fiber and telecommunication services to innovative add-ons as fundamental components of telecom and ISP business strategies. The basic service of connectivity will continue as the standard, but providers will develop their growth and differentiation through digital services that capitalize their infrastructure capabilities.

At the telecom industry market we expect the following future trends:

• The telco’s should expand their operations by developing vertical solutions for logistics, smart cities, healthcare and education industries. 
• The company should package their VAS into attractive bundles, which combine “Connected Living” and “Smart Business Ecosystems”.
• The ISPs and telecoms who want to succeed in the future should shift from providing just monitor services to AI-driven predictive automation. 
• The future ecosystem will depend on Security VAS including cloud video surveillance and smart intercoms. It would establish a new era of telecom sector revenue streams and long-term business relationships between ISPs and their customers.

Aipix offers a cloud security VAS platform that is ready to deploy and fully customizable for all those trends. So that Aipix enables providers to enter the growing physical security market. 

Your VAS service strategy needs modern cloud security solutions if you want to make changes? Aipix VAS Provider offers a simple solution for launch. Leave a request below to get a detailed manager proposition!