Rip it up and start again – how communications providers will need to adapt when 5G arrives

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Communication service providers (CSPs) are going to have to drastically rethink how they do business when 5G arrives on the scene.

This is the wisdom shared by Dr. Enrique Hernandez-Valencia a partner at Nokia Bell Labs Consulting during the SATNAC conference in Hermanus, Western Cape this week.

For the longest time CSPs have had to just deal with devices and people. True, machine to machine communications do use some space on a network but the core infrastructure of a communications network is designed for devices.

With the arrival of 5G CSPs will be forced to either adopt entirely new business models and ways of doing business or be left behind as others do.

To see where networks are going we first need to look at what is driving the future of networks according to research from Nokia Bell Labs

The six global trends driving the networks of the future.

As you can see from the image above, the demands on CSPs have outgrown basic phone calls and text messages. In fact Hernandez-Valencia prefers referring to CSPs that would offer these services digital service providers.

Naturally these additional services would mean more revenue for CSPs. Nokia Bell Labs foresees a 3 – 4X revenue increase from future digital services for enterprises. This new network is called Future X by Hernandez-Valencia and you can see what it looks like below.

What a digital service provider’s network might look like and what drives it.

Before you close the page give us a minute to explain.

As we’ve mentioned traditional networks are designed around devices, DSPs would design services around people and the needs of those people.

This future network is focussed on users and what they need and want whether they are enterprise customers or individuals. While the network of the future has lower latency, boasts better coverage and is fully scalable it does rely on telcos building out edge computing centres that make these features possible.

For DSPs this merging, converging and emerging of technology presents multiple opportunities such as using analytics and automation to improve services in real-time.

With all of this said DSPs would still need to offer traditional solutions because people will still need to make calls and send text messages.

There’s no denying that times are changing and today’s CSPs have some hard work to do to insure readiness for the next generation of communication services.

[Image – CC 0 Pixabay]

Brendyn Lotz

Brendyn Lotz

Brendyn Lotz writes news, reviews, and opinion pieces for Hypertext. His interests include SMEs, innovation on the African continent, cybersecurity, blockchain, games, geek culture and YouTube.