Sponsored As the Barcelona panel on next-generation networks correctly observes, future networks won’t succeed by relying on the old 2G or 3G “build it and they will come” mindset. If 5G is not deployed in the right way, users may bypass the operator and over-the-top providers could capture the market again.
5G is envisioned as the most open, powerful, flexible, and capable network the telecom industry has ever created. It can serve many different users and use cases simultaneously by creating isolated, purpose-built slices of the same physical infrastructure. Unlike earlier generations, 5G is designed from the ground up to support multiple, diverse applications across the same network.
Next-generation mobile networks will look very different from 3G and 4G systems. At its core, 5G is a software-driven network, and its development and deployment require new approaches and new ways of thinking. Operators are moving away from proprietary, hardware-dominated environments toward automated, cloud-native, and programmable architectures.
There are strong economic as well as technical forces pushing this transition. Data demand continues to rise while average revenue per user often stagnates. The expanded capabilities of 5G are likely to increase data consumption further, so operators need flexible, software-defined networks that can adapt both operationally and economically through network slicing to meet the needs of consumers and businesses.
A Rethink Research survey of 80 mobile operators highlighted two critical factors shaping the business case for migrating to open, automated, cloud-based architectures. First, operators expect a substantial reduction in total cost of ownership (TCO), targeting an average TCO reduction of roughly 35% over the next six to seven years. Second, operators demand a high degree of adaptability — the next-generation network must be able to adapt dynamically to new services, capture enterprise and IoT revenue opportunities, and handle traffic spikes.
Achieving lower TCO and greater adaptability depends not only on cloud-native design and end-to-end automation within operations support systems (OSS), but also on the service provider’s ability to monetize new services and automate business processes and monetization systems (BSS).
Moreover, the economic benefits of cloud-based automated networks grow when operators adopt fully open platforms. The success of initiatives like the O-RAN Alliance has opened the mobile network supply chain, supporting projects such as Facebook’s Telecom Infrastructure Project (TIP) that aim to reduce deployment costs and help close the digital divide.
Open RAN interfaces allow operators to orchestrate and automate multi-vendor infrastructure across interoperable cloud-based networks, lowering both capital and operating expenditures and accelerating returns on investment.
Open RAN and automation are central to economically unlocking the full potential of 5G. Traditional planning and legacy thinking are no longer sufficient. Next-generation networks require next-generation strategies to enable new revenue streams. Services across Industry 4.0, mobile gaming, private enterprise networks, consumer IoT, smart cities, and 4K broadcasting will be carried and delivered cost-effectively only on cloud-native, open 5G networks with end-to-end automation.
Vendor selection becomes crucial in this new 5G landscape, especially for optimizing TCO. Choosing fit-for-purpose technology and a vendor committed to continuous product evolution are key. Vendors that provide platforms simplifying and streamlining service provider operations and management will help operators achieve the greatest TCO reductions.
Mavenir focuses on lowering TCO for operators investing in 5G through innovation centered on a webscale platform that combines leading open-source technologies with targeted enhancements for carrier deployments. While open-source components ease integration and speed time to market, addressing real-world telecom use cases requires experience in deploying next-generation networks and managing large traffic volumes.
Mavenir’s webscale platform underpins its 5G product portfolio and is designed for rapid microservices-based, cloud-native application development and deployment. That approach supports the goal of full network automation in 5G environments.
The idea of a “5G Network Field of Dreams” is fittingly cloud-based. To realize that vision, monetize new services, and deliver the right returns on investment, networks must be open, automated, and built on webscale next-generation architectures.
Editor’s note: This article was produced in association with MWC 2020. For more on this topic, Mavenir’s Bejoy Pankajakshan participated in the conference session “Discussion: A Next-Gen Network Demands a Next-Gen Organisation” on Tuesday 25 at MWC 2020.