The telecom industry is clearly moving toward virtualized network functions, with Network Functions Virtualization (NFV) serving as the architectural framework. Many operators have already adopted NFV and those that have not are well advanced in planning. The debate is no longer whether the industry will transition to virtualized environments, but how and when each operator will complete that journey based on their individual circumstances.
Clarifying timescales requires a shared definition of what NFV transformation entails, and that definition varies between operators. Transformation is underway, but fully virtualizing an operator’s entire infrastructure will take several more years. During that period, virtualized and legacy physical infrastructures will coexist, creating a hybrid environment that brings complex operational challenges—often greater than managing networks that are exclusively physical or entirely virtual.
Navigating this hybrid era demands a top-down approach: leadership commitment from the CEO through every function of the organization, combined with practical plans to ensure virtual and traditional systems operate smoothly in parallel. Success depends on aligning strategy, processes, people and technology so transition risk is minimized and value is realized early.
At the heart of this approach are Management and Network Operations (MANO) systems supported by real-time analytics. Analytics are essential because operators need continuous visibility into capacity and supporting infrastructure—where and when resources are available—to deliver dynamic services efficiently, particularly those envisioned for 5G. Equally important is the constant analysis of the hand-off between statically provisioned, function-specific hardware and flexible virtual infrastructure to ensure both first-service quality and optimized resource utilization.
Automation, automated healing and real-time analytics give operators the necessary visibility and control to run the network. Given the volume and speed of interactions required for the network to self-heal and adapt to demand, many control actions must be automatic. The goal is to deploy systems that ingest, correlate and compute data to produce accurate inputs for orchestration. Traditional manual processes—relying on ticketing and help desks—are inadequate for the real-time service delivery models that NFV and software-defined networking enable.
Typical early NFV use cases include virtualized customer premise equipment (vCPE), virtualized evolved packet core (vEPC), software-defined wide area networks (SD-WAN) and virtualized IP Multimedia Subsystems (vIMS). Operators select these areas because they either deliver rapid, measurable operational cost savings or are required for new services, such as vVoLTE. These deployments offer tangible early wins and teach operators practical lessons about operationalizing NFV.
Operators operationalise
Ooredoo Kuwait is an example of an operator that used NFV to launch VoLTE services. The company deployed a unified cloud to support NFV and IT applications as part of its UNIFY initiative, leveraging software-defined data center architecture alongside SDN and NFV to virtualize operations. In collaboration with VNF and cloud vendors, Ooredoo deployed an IMS VNF in a test environment in three months and, following successful testing, migrated it into production to support its first VoLTE call.
Manx Telecom on the Isle of Man has implemented a virtualized fixed-line IMS integrated into the core of its telephony infrastructure, enabling the delivery of a full suite of multimedia residential and business communications. From the outset, Manx Telecom and its partners applied agile workflows—running initial design in parallel with early integration testing. The project completed in ten months, during which the operator resolved major challenges associated with IMS integration and NFV deployment.
North American operator MetTel placed virtualization at the core of its network by using VMware as an NFV platform to run VNFs provided by SD-WAN specialist VeloCloud. This combination enables MetTel to deliver more predictable bandwidth and greater flexibility through on-demand transport configuration. One use case pairs VeloCloud’s SD-WAN with VMware AirWatch mobile device management so enterprise customers can monitor activity down to the individual app on each device.
These early deployments must be planned with the long-term migration in mind. NFV investments made today should integrate with future virtualization initiatives. A modular, multi-vendor, multi-domain approach is critical to avoid reproducing legacy silos in virtualized form or becoming locked in to a single supplier.
Horizontal scalability
Virtualization must enable solutions from multiple vendors to interoperate and accommodate a diverse set of specialist offerings from day one if operators are to realize the full benefits. NFV requires a horizontally scalable platform that is open, extensible and capable of supporting many VNFs. The virtualized environment centers on collaborating with a broad ecosystem of technology partners—a departure from the historically vertical, tightly integrated hardware approach.
Given these drivers, it is unsurprising that the telecom virtualization market is thriving and that operationalization is happening now. Industry surveys have shown strong expectations for rapid virtualization adoption, with a large majority of respondents forecasting near-term migration and many already using virtualized solutions.
NFV provides a crucial foundation for continued innovation as operators evolve toward software-defined architectures. However, NFV alone does not guarantee success. Operators must capture the lessons from early deployments and embed them into business-wide strategies for full virtualization. Only by aligning strategy, operations and culture around virtualization can operators respond quickly to market opportunities and deliver the quality, speed, scale and choice that customers expect from modern digital service providers.