By: Eugina Jordan, CMO, Telecom Infra Project August 28, 2024
Collected at: https://www.rcrwireless.com/20240828/5g/where-innovation-needs-to-happen-in-telecom-a-call-to-action
In 2001, the telecom industry faced a crisis that left deep scars. Dubbed the telecom crash, it was a period marked by massive overinvestment, unrealistic expectations and eventual financial collapse after the dot-com burst. Companies that had once promised to usher in a new era of communication found themselves struggling to survive.
Fast forward two decades, and while the landscape has evolved dramatically, the industry now faces new challenges that echo those tumultuous times. Revenues are stagnating, with global telecom service revenue growth slowing to just 1.2% in 2023, according to GSMA Intelligence. The much-hyped 5G technology, while promising, has not delivered the immediate returns that many had hoped for. A recent report by Ericsson shows that only one in five consumers are willing to pay a premium for 5G services. Against this backdrop, the pressure to innovate has never been greater.
So, where does the telecom industry go from here? What lessons can we learn from the past, and more importantly, where should innovation happen next?
The need for open and disaggregated networks: Breaking free from the past
Remember the days when telecom networks were monolithic structures, controlled by a handful of vendors who offered end-to-end solutions? That model, which served us well for years, is no longer sustainable. The future lies in open and disaggregated networks, where each component — from the Radio Access Network (RAN) to the core and transport — can be sourced from different vendors, each bringing their unique strengths to the table. This is not just a theoretical exercise; it’s happening right now, and it’s what we at the Telecom Infra Project (TIP) are championing.
But why is this shift so crucial?
It’s simple.
Open and disaggregated networks allow for greater flexibility, faster innovation, and reduced costs. By breaking free from the past approaches, operators can tailor their networks to meet specific needs, rather than being forced into a one-size-fits-all solution. This kind of flexibility is essential as we move into an era where network demands are growing exponentially, and the ability to adapt quickly is the difference between success and failure.
And this is where automation comes in.
Telco AI: The brain behind the network
Artificial Intelligence (AI) has been a part of the telecom industry for some time, particularly through Self-Organizing Networks (SON), which have automated network management and optimization tasks for years. However, what’s truly innovative now is the combination of predictive and generative AI, which is taking these capabilities to the next level in the telecom networks
Predictive AI allows networks to anticipate and mitigate issues before they impact service, ensuring smoother operations and better customer experiences. Meanwhile, generative AI is enabling entirely new ways of interacting with networks and customers, from creating personalized services on the fly to optimizing network resources in real-time. Together, these technologies are transforming how networks are managed and how services are delivered, making AI an even more integral part of the telecom landscape.
Imagine a network that can predict and prevent failures before they happen, dynamically allocate resources based on real-time demand, and optimize performance without human intervention. This isn’t science fiction; it’s the promise of Telco AI. And at the heart of this transformation is the RAN Intelligent Controller (RIC). The RIC acts as the brain for the Open RAN, enabling operators to implement advanced AI-driven features like automated network optimization, resource management and energy efficiency measures. It’s where the future of telecom meets the cutting edge of AI, and it’s an area ripe for innovation.
When we talk about AI in transport networks, we’re looking at a major shift in how these systems operate. AI is now essential for making transport networks smarter and more efficient. Think of a network that can predict issues before they even occur, automatically adjusting to keep everything running smoothly — that’s what predictive AI is doing for IP over DWDM networks. Generative AI is also stepping in to automate the complex task of managing these networks, making them more adaptable and responsive. These advancements are moving from concept to reality, reshaping transport networks to be faster, more reliable and ready for the future.
But it’s not just about making the infrastructure itself smarter. AI is also changing customer experience, allowing for personalized services that cater to individual needs and preferences by combining communications and generative AI capabilities. With AI-powered chatbots and virtual assistants, customers can get real-time support 24/7, without the frustration of long wait times or impersonal interactions. In an industry where customer satisfaction is paramount, the role of AI cannot be overstated.
The role of regions: A global perspective on innovation
Innovation in telecom isn’t happening uniformly across the globe — each region is adopting new technologies based on local needs, regulations and market conditions.
In the U.S., the push for Open RAN is strong, driven by the goal of reducing reliance on foreign vendors and encouraging domestic innovation. Government initiatives, like those from the NTIA, alongside efforts from companies like Viavi and TIP on setting up labs to test and certify, are making significant strides in this area. At the same time, the U.S. is also exploring disaggregated transport networks, which are becoming increasingly critical as data traffic continues to surge. AT&T, for instance, has been a pioneer in this space, deploying disaggregated routing platforms to enhance network flexibility and reduce costs.
In Asia, countries like India are advancing Open RAN and AI, particularly in how these technologies can scale across diverse and expansive networks. India is exploring disaggregated transport solutions to support the growing demand for data, especially in underserved regions.
Europe is moving forward, though cautiously. The European Union recognizes the benefits of open and disaggregated networks, particularly in transport, but is also mindful of the challenges, such as integration and security concerns. European operators are conducting extensive trials with Open RAN and have come together to align on their requirements, while also looking into how AI can optimize network performance and customer service.
In the Middle East, countries like Saudi Arabia and the UAE are making notable progress. Saudi Telecom Company (STC) is actively exploring Open RAN, AI and disaggregated transport as part of broader initiatives to modernize their telecom infrastructure. The UAE, through its Telecommunications and Digital Government Regulatory Authority (TDRA) looks to enhance its position as a regional hub for advanced telecom services. The country’s AI strategy aims to position the UAE as a global leader in AI by 2031, with telecom playing a crucial role in this vision.
In Latin America, countries like Brazil and Mexico are exploring Open RAN and disaggregated transport as solutions to improve network coverage and performance, particularly in areas that are currently underserved.
Meanwhile, Africa, led by South Africa and Kenya, is beginning to experiment with these technologies to address infrastructure challenges and expand access to telecom services. MTN Group, one of Africa’s largest telecom operators, has been actively involved in Open Transport trials and deployments across its markets, seeing the technology as a way to bring connectivity to remote and rural areas more cost-effectively.
AI is playing a significant role in all these regions, not just in automating network management but also in driving innovation in customer experience and operational efficiency. The combination of predictive and generative AI is helping telecom operators anticipate network issues, optimize resources in real-time and deliver more personalized services to customers.
Each region is progressing at its own pace, but the shared goal is clear: leveraging Open RAN, disaggregated transport, and AI to build more flexible, efficient and future-proof networks.
Making the vision a reality: Industrializing telecom innovation
So, how do we make this vision a reality?
It starts with industrialization—taking these innovative concepts and turning them into scalable, reliable and commercially viable solutions.
The Telecom Infra Project (TIP) has been a key player in this process, enabling deployments worldwide. Through its rigorous testing and validation programs, TIP ensures that technologies like Open RAN, Open Optical & Packet Transport (OOPT) and OpenWiFi are ready for real-world implementation by fostering a robust ecosystem and driving the adoption, making it more accessible and practical for operators globally.
Disaggregated transport solutions, such as IP over DWDM, are essential for handling the growing volume of data traffic and the complexity of modern networks. Ensuring that transport networks are scalable and flexible enough to meet these demands is vital for the overall success of open and disaggregated networks.
Scaling OpenWiFi has become increasingly important, especially in the wake of the COVID-19 pandemic, which has driven up demand for reliable, high-performance Wi-Fi. OpenWiFi is well-positioned to meet this demand, with a growing number of deployments and increased participation from various stakeholders. This technology is expected to become a key component of next-generation connectivity.
When it comes to AI, what’s new and transformative now is the combination of predictive and generative AI. Together, these advancements are (r)evolutionizing how telecom networks operate, making them smarter, more responsive and more capable of meeting the demands of the future.
The future is now: Join us at Fyuz 2024
Innovation is no longer a luxury in telecom; it’s a necessity. The challenges we face today require bold, creative solutions, and the time to act is now. That’s why I’m inviting you to join us at Fyuz 2024, where we’ll be discussing these innovations in detail.
The crash of 2001 taught us the dangers of hype and overinvestment, but it also showed the resilience of an industry that has become the backbone of our digital world. Today, as we face new challenges, we have the opportunity to shape a future that is more connected, more intelligent and more inclusive than ever before.
The future of telecom is being written today, and we need your voice in the conversation. Whether you’re an operator, a vendor, a policymaker, or simply someone passionate about the power of technology to change lives, your perspective matters. Let’s come together to build networks that are not just faster and more efficient, but that truly serve the needs of people and communities around the world.
From Open RAN to Telco AI, from network disaggregation to the future of transport, Fyuz will be the place to learn, share, and shape the future of our industry. With case studies, demos, and talks from world-leading experts, you’ll get an inside look at the technologies that are transforming telecom — and how you can be part of this (r)evolution.
So, are you ready to take the next step?
The future of telecom is being written today, and we need your voice in the conversation.
Join us at Fyuz 2024, and let’s make history together.
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