Four pillars of a successful digital transformation in telecom

Four pillars of a successful digital transformation in telecom

Four pillars of a successful digital transformation in telecom

 

March 09, 2023

What are the important aspects of digital transformation

With fast-paced technological advancements and changing customer preferences, telecom service providers worldwide have acknowledged the importance of digital transformation on their roadmaps. To be successful and stay competitive in the market, operators need to embrace digital excellence in four critical aspects, i.e. customer experience (CX), business, operations, and processes.

By embracing digital excellence and next-generation techniques like automation, artificial intelligence (AI), and machine learning (ML), operators can revolutionize how businesses run and achieve their ultimate business goals of efficiency, customer value, innovation, and revenue.

When implemented correctly, digital transformation benefits both operators and their customers. These are some examples:

  • Streamlined operations using process automation
  • Swift service innovation to meet evolving customer demands and differentiate from competitors
  • Lower operational costs and overheads
  • Reduced time to market for new services
  • Digital-first customer experience (CX)
  • New revenue streams and full monetization of digital services
  • Increased sales conversions and simplified onboarding
  • Readiness for the next-gen networks

How can operators ensure a successful digital transformation?

A successful digital transformation means operators need to ensure reinvention across the full gamut of network functionalities. These can be broadly classified into four categories: CX excellence, operational excellence, process excellence, and business excellence.

I. CX excellence

Launch and monetize digital services

Operators need to remember that CX is everything. Customers today have increasingly digital lifestyles. Shopping, staying in touch with friends and family, working with remote teams, studying, managing finances: people do pretty much everything online. They expect their service providers to keep up and make this easy for them. Plus, 5G opens endless possibilities of CX-focused use cases, all of which require modern and robust network infrastructure. A modern and advanced digital BSS lets operators fully monetize unique and differentiated innovative next-gen services such as smart homes, buildings, cities; autonomous vehicles; entertainment and media experiences such as AR/VR; and much more.

Improve customer relationship management

Digitizing CX involved a lot more than just delivering, managing, and monetizing services. Operators must find ways to increase customer engagement, create more upselling and cross-selling opportunities, and ensure that their support offers can swiftly resolve customer issues. They can streamline all these activities by implementing a digital customer relationship management (CRM) platform.

With a digital CRM along with a host of other customer relation-enhancing applications such as mPOS, and enterprise self-service (ESS), operators can add value at all stages of the customer lifecycle, including sales and support, for retail subscribers and enterprise customers. They can automate workflows and introduce AI/ML techniques to eliminate manual processes.

Deliver omnichannel experience

Customers today expect a consistent sales and support experience across channels, from the more conventional SMS and IVR to WhatsApp, Facebook, Alexa, and everything in between. Introducing omnichannel support lets operators provide seamless and personalized CX across various web, mobile, and social media platforms. Implementing NLP chatbots on these platforms helps ensure an always-on self-care experience. By enabling round-the-clock 24x7x365 availability for their customers with web and mobile self-care, they can empower customers to be self-reliant, helping them resolve most issues without having to dial into a call center or visit a physical store. The result is lesser churn and lower operational expenses.

Digitize the customer journey

Digital transformation works best when extended across the entire customer journey: digital onboarding, eKYC verification, and dispatching SIMs to the customer’s address help digitize customer acquisition. Next, Operators can offer personalized and contextual plans and offers based on the customer’s location, usage needs, and so on. They can also leverage data to gain insights into customer preferences to create innovative and personalized rewards programs, building customer loyalty and differentiating their brand in a crowded marketplace. Digital Transformation enables operators to launch fully automated zero-touch networks, requiring no physical touchpoints.

II. Operational excellence

Virtualize to scale instantly

An agile and virtualized network environment lets operators easily adapt to changing market dynamics and scale as needed, with no additional OPEX and CAPEX required. Virtualized network functions replace traditional hardware, taking a software-based approach to keep the network running smoothly.

Motivated by the success that enterprises have had with it, many operators today are implementing a virtualized core network, and those who haven’t should definitely have it on their roadmaps. Most modern BSS solutions are NFV-compliant, making it easy for operators to make the shift.

Deploy services rapidly

With digital enablement and virtualization, operators can introduce new and innovative services on the fly and reduce response time. This enables them to swiftly differentiate themselves from their competitors. Virtualization also reduces OPEX and eliminates the need for frequent hardware upgrades that tend to rack up the bills.

Implement 5G using 4G core

Another important benefit that virtualization enables is support for advanced 5G use cases. It helps support a much higher network by keeping pace with dynamically changing requirements of speed, latency, efficiency, reliability, and throughput.

III. Business excellence

Intelligent data insights

A key benefit of digitizing the network is being able to analyze customer data to gain detailed real-time insights into their behavior and usage needs. As these needs evolve, operators can personalize their services. Leveraging data helps to define both short- and long-term business objectives.

Modern digital BSS stacks like Alepo’s provide fully customizable reports that let operators segment customers based on the parameters they value most. Insights from these reports help create granular and personalized plans and offerings.

These insights also help target promotions and advertising to the relevant audience, which can be an important new revenue stream by way of third-party sponsorships.

Partnerships

Customers today engage far more on social media and chat platforms than they do with their service providers who tend to have traditional means for engagement. Operators looking to gain the most from their digitization activities can build a cross-industry partner ecosystem that offers more direct engagement platforms by integrating their services into the core offering. In effect, the operator can enrich CX without having to invest in building and managing a new service. A digital BSS integrated with an advanced partner management solution enables them to support these partnerships.

Accelerated monetization of use cases

A 5G-ready digital BSS stack lets telecom operators rapidly monetize the data network with innovative and personalized offerings, enhancing the digital experience for subscribers and improving customer loyalty. The elastic and convergent platform provides a network environment for CRM, convergent charging and billing, with REST APIs that offer the flexibility to quickly introduce a host of digital services with new billing models.

IV. Process excellence

Automated workflows

Digital transformation means being able to integrate automation across all processes at every level. Automating workflows, backend processes, and business operations help reduce dependence on staff, eliminates errors caused by manual intervention, and consequently keeps operational costs low.

Streamline sales processes

Operators can reduce their workload, save time, and lower operational costs by setting up automation for sales processes to streamline the full sales life cycle. This includes automating emails, alerts, notifications, and more to centralize day-to-day operations, capture leads, manage databases, set reminders for follow-ups, and other tasks to manage the sales pipeline. In addition, data insights help enrich the sales process, helping predict business outcomes, identify leads more accurately, and improve conversions.

Centralized catalog management

A significant challenge that service providers face today is being able to launch and manage services – especially with the growing list of use cases owing to the introduction of 5G, IoT, AR/VR, and more. Implementing a digital BSS with a centralized product catalog helps address this concern.

With a common product repository, service providers can swiftly introduce new services to keep up with evolving customer demand. They can define granular metrics (volume, time, value, quality of service, and so on), enable support for multi-play offerings, and more. Partners and distributors, too, can easily collaborate to efficiently manage offers.

Efficient revenue management

Network transformation with a modern and advanced digital BSS helps operators ensure they can prevent revenue leaks and maximize their monetization potential. CSPs need real-time billing and policy control capabilities to seize and monetize opportunities that all-IP networks bring. With convergent charging, they can automate rates and charging for their customers. They can ensure accurate billing for their interconnect and roaming partners to accurately charge other operators for using their voice, SMS, data, and other network infrastructure. They can also support next-gen charging use cases such as surge charging when demand is high.

Conclusion

Digital transformation is crucial to improve CX and achieve business, operational, and process excellence. Advanced digital business support systems comprising digital CRM, omnichannel self-care, customer value management, innovative billing and charging, and more help operators differentiate themselves and their network offerings, while maintaining sophisticated customer experiences and higher revenue margins.

Do you want to take an essential first step by implementing a modern, 5G-ready, NFV-compliant digital BSS like Alepo’s? To get expert advice, contact market.development@alepo.com.

Rajesh Mhapankar

Rajesh Mhapankar

Vice President, Product Management

A seasoned professional, technologist, innovator, and telecom expert. With over 20 years of experience in the software industry, Rajesh brings a strong track record of accelerating product innovations and development at Alepo. He supports the company’s mission-critical BSS/OSS projects in LTE, WiFi and broadband networks, including core policy, charging, and control elements.

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Challenges of 5G cloud deployment and how to overcome those

Challenges of 5G cloud deployment and how to overcome those

Challenges of 5G cloud deployment and how to overcome those

 

February 13, 2023

Introduction

As 5G technology advances and is adopted globally, network operators must decide whether to move their 5G core to the public cloud. While popular cloud providers have been pushing for this move, most operators have chosen to stick with traditional private cloud deployments due to the complexity and high investment costs associated with 5G Service-Based Architecture (SBA) networks.

Functional 5G SBA core

5G SBA networks have around 36 network functions that are much more complex compared to previous generations. They also use container-based cloud-native network functions (CNFs), which eliminate the dependency of tight coupling between the software and hardware resources. Before 5G, networks were built by end-to-end core vendors that supplied network functions built on tightly integrated x86-based hardware. As service providers make this paradigm shift from tightly integrated software and hardware to cloud-native CNFs, there are numerous challenges to consider.

Challenges of moving 5G core to the public cloud and solutions to overcome those

Complexity and time-to-market

Implementing a 5G SA network on a telco cloud is already a complex task. Moving to the public cloud would increase that complexity even further due to the need for high-level network security. Time-to-market for CSPs that have already deployed 5G core on the public cloud varies between four to five years.

How to overcome this challenge

CSPs should thoroughly understand the requirements for moving the network to the 5G core. Conducting lab simulations and beta trials before commercial deployment can ensure optimal network performance and availability.

Reliability and performance

Telco-grade network reliability is expected to be 99.9990% for mobile broadband and 99.9999% for private wireless applications. Public cloud service providers (SPs) typically have reliability numbers between 99.50% to 99.99%. Public cloud SPs must meet these high-reliability standards and have geo-redundancy in place to prevent single points of failure that affect the entire network. In case of network downtime, telecom operators should commit to restoring the network in the minimum possible time and ensure that the network outage is confined to one country when including multi-national CSPs.

How to overcome this challenge

CSPs must confirm whether their network reliability meets the expected standards from various public cloud SPs. CSPs should verify the network uptime SLA from the public cloud SP. They must also consider geo-redundancy and failover mechanisms using various data center zones from their cloud provider.

Data sovereignty and security

Security is a major concern for CSPs when moving to the public cloud. Public cloud service providers must meet all data sovereignty and regulatory requirements and keep users’ personal and lawful intercept data within the country’s territory.

How to overcome this challenge

CSPs need to confirm that the data center of the public cloud SP is within the country’s territory. Regular audits need to be performed by CSPs to keep track of where and how the data is stored.

Agility

To fully utilize the potential of 5G, CSPs need to build an agile network that can introduce new features quickly. Public cloud service providers must provide granular network control and make it easy for CSPs to install software upgrades.

How to overcome this challenge

When considering a move to a public cloud, CSPs should consider the following factors:

  • The level of network control that will retain in the public cloud.
  • Any loss of control that may occur compared to a telco cloud.
  • The process for installing 5G core software upgrades and introducing new features.

Total cost of ownership

When switching from a telco to a public cloud, CSPs must consider various factors such as performance differences, user plane function (UPF) throughput differences, potential lost revenues during network downtime, costs of changing vendors, and upgrading plans.

How to overcome this challenge

CSPs should evaluate the flexibility and cost of different public cloud plans regarding network capacity and bandwidth to determine the most cost-effective option. It is important for CSPs to carefully review the plan’s network capacity limitations, any additional charges for exceeding capacity, and potential penalties for scenarios such as signaling storms. By negotiating these terms in advance, CSPs can minimize unexpected costs.

Conclusion

Moving 5G cores to the public cloud is a complex decision with several challenges. CSPs must weigh the pros and cons and consider their options before deciding. Alepo’s 5G Core network solution is cloud-native with service-based architecture, which can help CSPs run a 5G core in the cloud environment. In addition, it can be deployed on multiple cloud platforms, such as AWS, Google, and Azure. To start your 5G journey, send an email to market.development@alepo.com. We’ll help you get started.

Rajesh Mhapankar

Rajesh Mhapankar

Vice President, Product Management

A seasoned professional, technologist, innovator, and telecom expert. With over 20 years of experience in the software industry, Rajesh brings a strong track record of accelerating product innovations and development at Alepo. He supports the company’s mission-critical BSS/OSS projects in LTE, WiFi and broadband networks, including core policy, charging, and control elements.

Subscribe to the Alepo Newsletter

The role of cloud NWDAF in optimizing 5G network management and performance

The role of cloud NWDAF in optimizing 5G network management and performance

The role of cloud NWDAF in optimizing 5G network management and performance

 

January 31, 2023

Introduction

As 5G networks continue to roll out across the globe, network operators seek ways to manage and optimize these complex, high-capacity networks efficiently. One solution gaining traction is using the cloud Network Data Analytics Function (NWDAF). The cloud NWDAF plays a key role in realizing the automation and monetization of 5G networks.

What is cloud NWDAF, and how does it work?

NWDAF is introduced by 3GPP to handle network analytics and provides real-time analysis and insights into network performance and behavior. It continuously monitors network data, identifying trends, patterns, and anomalies that may indicate issues or potential improvements. NWDAF can help network operators proactively troubleshoot problems and optimize network performance, improving reliability and quality of service for end users.

In addition to providing real-time analytics, NWDAF can also provide data-driven recommendations for network configuration and optimization. By analyzing large amounts of network data, NWDAF can identify the most effective settings and configurations for different network scenarios and automatically apply them, reducing the need for manual intervention and speeding up the process of deploying and managing 5G networks.

Cloud NWDAF can analyze data from various sources, including network performance metrics, subscriber data, and service usage patterns. It can also integrate with other network management tools and systems, such as network element controllers and orchestration platforms, to provide a comprehensive view of network performance. 

NWDAF integrates will all 5G core network functions

NWDAF integrates will all 5G core network functions

 

How can operators use cloud NWDAF in 5G networks?

There are several ways that network operators can use the cloud NWDAF to improve 5G network performance and management:

  • Proactive troubleshooting: By continuously monitoring network data, NWDAF can help operators identify potential issues before they become major problems. This can enable operators to take proactive measures to prevent outages and other service disruptions, leading to improved reliability and quality of service.
  • Optimization of network performance: NWDAF can provide data-driven recommendations for optimizing network performance. For example, it can identify the most effective configurations for different network scenarios, such as high-traffic areas or special events, and automatically apply them to improve network efficiency and capacity.
  • Streamlined deployment and management: By automating network configuration and optimization tasks, NWDAF can help reduce the time and effort required to deploy and manage 5G networks. This can help operators to bring new services to market faster and more efficiently.
  • Enhanced user experience: By improving network reliability and performance, NWDAF can help to enhance the user experience on 5G networks, leading to increased customer satisfaction and loyalty.

Conclusion

NWDAF is a powerful tool that can help network operators efficiently manage and optimize 5G networks. By continuously analyzing and optimizing network performance, NWDAF can help to ensure that 5G networks are reliable, efficient, and provide an enhanced user experience.

Alepo’s 5G Core network solution, including SDM (AUSF, UDM, UDR) and PCF, interface with NWDAF, helping our 5G operator customers with advanced network analytics, real-time monitoring, quick troubleshooting and service restoration, and many more effective network management and optimization functions.

Rajesh Mhapankar

Rajesh Mhapankar

Vice President, Product Management

A seasoned professional, technologist, innovator, and telecom expert. With over 20 years of experience in the software industry, Rajesh brings a strong track record of accelerating product innovations and development at Alepo. He supports the company’s mission-critical BSS/OSS projects in LTE, WiFi and broadband networks, including core policy, charging, and control elements.

Subscribe to the Alepo Newsletter

6G: what to expect and when?

6G: what to expect and when?

6G: what to expect and when?

 

January 05, 2023

Data and networks are becoming increasingly critical as technologies progress. To keep up with these needs, telecom companies are pioneering new innovations and introducing 5G networks and advancing R&D on 6G.

With the deployment of 5G networks still under process, and many people not owning 5G smartphones yet, it may seem a bit early to discuss 6G and its innovations. After all, the concept of the 6G network is still in early development, and it may not become a part of commercial use until the 2030s.

However, technology is advancing rapidly; the idea of ​​6G being in talks so early while 5G is yet to make significant global inroads, shows how quickly the technology is progressing.

With 6G, we will likely see data speeds so high that hundreds of gigabits of files will download within a matter of seconds and improved network latency and processing speeds. With that in mind, let’s dive deep into the sixth generation of wireless data networks to see how it will impact the world.

What is 6G?

As the successor to 5G cellular technology, 6G is the sixth generation of wireless networks. Like all previous generations, 6G will build on and enhance the capabilities of 5G, augmented by advances in digital technology. That will mean expanding on speed and data capacity, plus the innovations regarding IoT (the Internet of Things) that 5G will make practical.

The 6G technology market promises massive improvements in imaging, presence technology, and site awareness. Working with artificial intelligence (AI), 6G computing infrastructure will be able to determine the optimal location of computing power, including decisions about data storage and sharing.

According to some reports by telecommunications experts, 6G will apply technologies designed for mobile phones to a broad range of applications, including transportation, agriculture, and advanced home networking. That will allow people to experience a seamless connection between the Internet and their daily lives.

5G vs 6G

Let’s understand some fundamental differences between 5G and 6G through the following table:

5G6G
Spectrum used: GHz (Gigahertz)Spectrum used: THz (Terahertz)
Top speed: 10GbpsTop speed: 1Tbps (hypothetical)
Latency: 5 millisecondsLatency: 1 millisecond - 1 microsecond
Technologies: IoT, IIoT, Cloud Computing, Edge OrchestrationTechnologies: Advanced IoT & IIoT, Nano-core, Edge and Core Coordination, and more

When is 6G expected?

The concept of 6G is still in its infancy, but it has incredible potential. 6G networks may become commercial sometime around 2030, or at least when most telecom companies will be running trials, and that is when we’ll see phone manufacturers tease 6G-capable phones. That said, no one knows “exactly” when the new wireless spectrum will become available. It is because of regulation and frequency allocation, which takes time.

According to a report from the local news agency Yonhap, South Korea plans to introduce 6G services for commercial use by approximately 2028. The adoption of 6G technology will bring significant advancements in various industries and sectors, including communication, transportation, and healthcare. The government and private companies in South Korea have been actively investing in research and development to ensure that the country is at the forefront of 6G innovation. The target date for the commercialization of 6G services in South Korea aligns with the timeline set by other countries, such as the United States and China, which are also working towards developing and implementing 6G technology.

6G will likely use the distributed radio access network (RAN) and the terahertz (THz) spectrum to boost capacity, minimize latency, and improve spectrum sharing. Advanced mobile communications technology, such as cognitive and highly secure data networks, will also be used. It will also necessitate spectral bandwidth growth orders of magnitude faster than 5G.

What to expect with 6G?

6G technology will significantly improve upon 5G in terms of network coverage and reliability, allowing for a higher density of mobile devices to connect and interact with each other in real time.

Additionally, 6G will optimize moment-to-moment interaction by improving network reliability more than a hundred times and reducing the error rate by ten times. Improvements in these areas will also benefit smartphones and other mobile network technology and many emerging technologies.

Some experts believe that 6G networks could one day allow you to reach speeds of up to one terabyte per second (Tbps) on your internet devices. That’s a thousand times faster than one Gbps, among the fastest speeds available on most home internet networks today. It’s a hundred times faster than 5G’s supposed top speed of 10 Gbps. So, yes, that’s an optimistic estimate, and we’re a long way from reaching those speeds. However, researchers predict that 6G will focus on extremely high bandwidth and reliability. With 6G, the Internet will be instantly and continuously accessible and integrated into the daily lives of many of us.

As mentioned earlier, 6G technology will also cover a much larger area than 5G, which means that we would need fewer towers to cover an area of land. That would be highly beneficial if you’re looking to have towers in places where it rains frequently or trees and vegetation are abundant.

In addition, 6G will also integrate many new technologies and changes in the core communication network structure. In particular, AI and the IoT will take center stage in 6G.

One of the main advantages of 6G will be its ability to facilitate instant communication between phones, computers, robots, and more. Technologies such as terahertz waves, cloud computing, and edge orchestration will enable the widespread implementation of wearable smart devices, virtual reality headsets, automated infrastructure, and many other exciting things.

Conclusion

While 6G networks do not yet exist and are currently in the research phase, companies are already anticipating cutting-edge wireless network use cases utilizing 6G technology after successful comparisons of 5G and 6G networks.

The new generation network is still in the process of finalizing most of its primary characteristics. That includes high-speed data transfer rates and multiple radio channels for increased reliability and coverage area. Once these features are ready, we’ll start seeing public testing of 6G devices.

Today, everyone has their own unique internet connection speed and data usage limits. That is because each person uses their WiFi router without thinking about interference levels or performance issues. With 6G, all wireless devices will connect to a single high-speed internet channel with no limits whatsoever.

In any case, the prospect of using 6G remains popular among many. It may resolve many of the current issues related to wireless communication.

Rajesh Mhapankar

Rajesh Mhapankar

Vice President, Product Management

A seasoned professional, technologist, innovator, and telecom expert. With over 20 years of experience in the software industry, Rajesh brings a strong track record of accelerating product innovations and development at Alepo. He supports the company’s mission-critical BSS/OSS projects in LTE, WiFi and broadband networks, including core policy, charging, and control elements.

Subscribe to the Alepo Newsletter

How telecom operators can generate revenue with eSIM

How telecom operators can generate revenue with eSIM

How eSIM will help telecom operators unlock new revenue opportunities

 

December 15, 2022

 

The evolution of smartphones and devices over the last decade has given users a new way to access information and data at lightning speed. Smartphones are now being used as digital assistants, making everything from telemedicine to remote work more accessible and enjoyable. With the growing demand for accessibility and security, more bandwidth, and constant connectivity, operators are always looking for innovations that will help them evolve user experience and differentiate their offerings, while lowering costs and unlocking new revenue opportunities.

The eSIM (or embedded SIM) is one such innovation that helps operators meet all these criteria and takes telcos closer to their digital transformation goal.

What is an eSIM?

An eSIM or embedded subscriber identity module is the same as a regular SIM, except it comes permanently embedded in the smartphone. It replaces the need for a physical SIM card and a SIM card slot on the device. Users can remove or swap between different eSIM-based networks with more ease. eSIM also offers remote SIM provisioning technology, which enables the user’s profile information to be downloaded directly onto the device.

The traditional SIM has a unique IMSI (International Mobile Subscriber Identity), which identifies the phone on the cellular network. Along with the IMSI, the SIM also has a unique MSISDN, primarily, a mobile number that is used by other consumers when they call or text you. An eSIM can, however, be reprogrammed and rewritten, unlike a traditional SIM. That allows you to switch between networks without removing the SIM card.

Given the benefits of eSIM for operators and consumers, the technology has enormous potential to transform network experiences in the near future. For consumers, eSIM makes it easier to add companion devices to cellular plans, as well as manage multiple connections, profiles, and bundled subscriptions using a master subscription. Operators benefit from eSIM technology by being innovative in offering multi-device bundling, connected IoT devices/UEs, shared plans, and much more, while significantly lowering their OPEX. eSIM eliminates the overheads associated with physical SIM installation and changing operators.

For telecom operators, eSIM can potentially be a great revenue-generating and customer-retention tool.

Difference between eSIM and SIM


eSIM

SIM
Non-removable and embedded SIM inbuilt in the mobilePhysical, removable, and insertable into the SIM slot of compatible devices
Can store five connections from the same or different operatorsCan have only one connection from an operator
Supports single or multiple profile configurationSupports a single profile configuration
Can be activated by selecting an operator and a plan from the mobileCan be ordered from the operator or collected from the store
Comes in a fixed size as a part of the mobile’s motherboardComes in various sizes: standard, micro, and nano to fit in the SIM slot
Supports remote provisioningDoes not support remote provisioning

How can telecom operators benefit from eSIM?

eSIM enhances the innovation and revenue capabilities of the operator, as it facilitates operators to introduce next-gen plans for the customers, their profiles, connected devices, and more. There are many more benefits that eSIM can provide to telecom operators, including:

Provides a seamless onboarding experience

Using eSIMs can help streamline the onboarding process because they allow consumers to switch operators remotely without visiting a store to obtain a physical SIM card or waiting for SIM card delivery.

Using the QR-code scanning functionality of eSIM technology, consumers can instantly add multiple owned devices. It allows operators to have more cellular-connected devices on their networks and provide a consistent customer experience across multiple devices, improving accessibility and increasing subscriber retention.

Enhances flexibility and security

With traditional SIM cards, one must purchase a new SIM card and insert it into the device – which is not the case with eSIM. With eSIM, consumers can be onboarded quickly.

Moreover, if a phone is lost with a physical SIM card, a lock screen, biometric activation, and remote lock support could stop attackers from accessing it. However, one can still take out the SIM card and use it on another unlocked phone, allowing the hackers to make calls, send text messages, or access social media and bank accounts. An eSIM provides prevention in all such uncontrollable scenarios.

Enables hassle-free roaming experience

Switching to a local network while traveling would be easier with eSIM because it does not require physical insertion. It would assist operators in providing frequent business travelers with a seamless roaming experience. Additionally, because multiple profiles are possible, travelers can stack plans from multiple operators and select the most suitable plan as they travel from one country to another.

Lowers operational overheads

eSIM enables operators to increase ARPU without incurring operational costs or physical touchpoints. Customers can choose the available mobile network, whether local or roaming, without relying on the operator. Furthermore, when a subscriber misplaces their physical SIM cards, it incurs additional costs and inconveniences for both consumers and operators to reactivate a replacement.

Allows users to have multiple connections

eSIM removes the restriction of having a limited number of connections on a mobile phone. Consumers can have multiple connections from one or more operators, as well as can opt for device-based plans and shared bundling from different operators. With traditional SIMs, the consumer can carry one dual SIM mobile or have multiple mobiles if they own more than two connections. On the contrary, one eSIM can hold up to five virtual SIM cards or profiles simultaneously, facilitating consumers to quickly switch profiles based on needs. For example, a consumer can switch to a personal profile from a professional profile after work hours.

Unlocks revenue opportunities

Watches and other companion devices can help to increase ARPU. As device bundling will be easier and users can add new devices to their plans effortlessly, Telcos can offer multi-device packages and cellular and data plans. The customized and additional plans needed by customers will offer new revenue opportunities to operators. And the eliminated need to produce physical SIMs will help telcos save money and improve revenue margins.

Since traditional voice and SMS services are declining, many operators are concerned that eSIM will result in a loss of profits. However, they can consider selling additional subscriptions to their existing customers to activate a secondary subscription on the device. For example, customers who frequently visit other countries without international data plans can be encouraged to purchase a secondary subscription from one of the operator’s partners in other countries, which could be an excellent revenue-impacting move by operators.

Helps accelerate enterprise IoT

eSIM also empowers enterprise IoT as it can seamlessly connect many remote IoT-enabled devices. With eSIM, operators can sell more devices, offer managed services, and accelerate the adoption of private networks by enabling users to roam seamlessly between public and private infrastructure. eSIM technology, along with the 4IR (Fourth Industrial Revolution), can bring a revolution for private networks and bring multiple benefits for enterprises, including complete visibility on the connected devices, scale up and scale down network resources as needed, automated network configurations, high QoS, highly secured infrastructure, and controlled costs. Some industries where eSIM and 4IR can transform the private network experience are utility companies with smart meters and CCTV, hospitals with patient tracking devices, energy companies generating energy using wind farms placed in remote locations, and more.
 

eSIM Use Cases

eSIM Use Cases

Conclusion

Telecommunication service providers should embrace the opportunities that eSIM technology brings to the table rather than see it as a potential threat.

With eSIM, telcos can broaden their sales of data plans to any device via exclusive digital stores and collaborate with other telcos to expand their channels to a broad audience.

GSMA estimates that more than 2 billion eSIM devices will be shipped by 2025. As market adoption grows and eSIM becomes more common, having a clear roadmap and plan in place will be critical for capitalizing on and monetizing the new opportunities provided by eSIM.

Alepo’s Digital BSS stack includes an eSIM Management module, which performs onboarding, and activation management. The eSIM Management module can help operators enable GSMA-compliant integration with the eSIM management platform for mobile, companion devices, and online (CRM, mobile app, Self-Care) and offline (Point of Sales) devices (android and Apple iOS devices). To learn more about the eSIM functionality, reach Alepo experts at market.development@alepo.com.

Rajesh Mhapankar

Rajesh Mhapankar

Vice President, Product Management

A seasoned professional, technologist, innovator, and telecom expert. With over 20 years of experience in the software industry, Rajesh brings a strong track record of accelerating product innovations and development at Alepo. He supports the company’s mission-critical BSS/OSS projects in LTE, WiFi and broadband networks, including core policy, charging, and control elements.

Subscribe to the Alepo Newsletter

Top 5 telecom trends to watch in 2023

Top 5 telecom trends to watch in 2023

Top 5 telecom trends to watch in 2023

 

December 12, 2022

New technologies and business models are emerging at an unprecedented rate. General trends such as artificial intelligence (AI), cloud computing, Industrial Internet of Things (IIoT), and 5G have all gained traction in recent years and will continue to transform telecommunications in the years to come. In addition to these trends, here are predictions for the top 5 telecom trends in 2023.

Containerization

Containerization is a major telecom trend for 2023. The technology allows packaging an application’s code and its dependencies in isolation, facilitating optimal performance on any infrastructure, quick deployment, and faster time-to-market. Containerization is gaining popularity due to its portability, flexibility, scalability, security, modularity, and lightweight footprint. These significant features enable companies to process deployment-related tasks quickly and efficiently.

With the increasing complexity of networks and the software development challenges that go along with it, containerized systems make the life of developers easier and help them overcome operational and technical difficulties. Containerization increases the agility and accessibility of the application due to its leaner, virtualized, and service-oriented design, having no hardware or other system dependencies. When appropriately applied, containerization improves DevOps efficiency, streamlines work processes, and minimizes infrastructural conflicts. Containerization technology plays a significant role in implementing next-gen applications or networks. For example, it plays a prominent role in creating network slices, allowing technology service providers to create virtual replicas of networks with varied business requirements. To be more specific, when developers require a network that can handle autonomous driving and smart meters with varying delays and bandwidths, they can build those slices with the help of the containerized system.

And not to forget about the cost and security benefits of containerization, the containers-based networks are built with significantly lower costs and risks than traditionally built networks. Containerized applications can run easily in any environment thanks to its cloud-native infrastructure, significantly reducing maintenance and development costs.

Cybersecurity

Telecom has always been vulnerable to cyber-attacks and data breaches, and the IoT boom has further elevated the need for cybersecurity and cyber resilience. The more devices we connect to our network, the more opportunities emerge for attackers to access our data.

5G will introduce different security threats, making the industry vulnerable to cyberattacks. A large amount of sensitive data spread across complex, confidential, and private networks make it essential for telecom operators to invest in implementing stringent cybersecurity measures to strengthen security surrounding connected devices and the cloud systems and networks that connect them.

Gartner predicts that by 2023, there will be 43 billion IoT-connected devices worldwide. IoT devices, from smartwatches or human-wearable biometrics to monitoring systems, robots, alarm systems, sensors, IT devices, and industrial machines, are important to remember for those in charge of cybersecurity. The ability to remotely access base stations and data centers makes IoT security crucial as more telecoms embrace the industry and deploy these devices in their networks.

Private 5G

Private 5G has been considered the top telecom trend in recent years and will become mainstream next year. As consumers eagerly await the rollout of 5G, numerous telecommunications companies have already made significant investments in the necessary infrastructure with 5G SA networks live in South Korea, Japan, and many more countries.

With 5G ecosystems, users will take advantage of increased speed, reliability, and consistency. For businesses, with its ultra-low latency, Due to its ultra-low latency capability, Private 5G will enable businesses with several high-value use cases, including 3D robot control, digital twins, medical remote control, and more. These next-gen use cases were practically unachievable with legacy network technologies, thus opening a high-revenue generating market for telcos.

5G networks are expanding, and more importantly, many devices in the market now support 5G. And with the evolution of industry 4.0, Private 5G will help enterprises connect hundreds of IoT/IIoT devices, boosting operational efficiency and productivity and enabling the development of mission-critical applications in almost all industries. Alepo is also working with its partners on multiple private 5G projects for hospitals, universities, semiconductor factories, and more.

Cloud computing in emerging markets due to hyperscalers

In the past three years, cloud computing has grown in popularity as more companies have turned to digital service delivery to respond to the global pandemic. By 2026, the global hyperscale cloud market is projected to reach US$693.49 billion, according to Research and Markets. The global hyperscale cloud market is expected to grow by 2026. This potentially industry-changing technology is something that telcos should keep an eye on.

One of the most significant factors influencing the hyperscale cloud market is the growing adoption of hyperscalers among SMEs in developing markets. Due to physical infrastructure and constant technological evolution, SMEs are always looking for ways to reduce IT costs and overcome the challenges related to data security, digitization, and high CAPEX. An increase in the demand for cloud computing by SMEs across industries has led to growth in the hyperscale cloud market, with data centers opening around the world to get closer to the end-user, such as South Africa, Chile, Mexico, and Indonesia.

Furthermore, the market has been growing over the past few years, due to factors such as increasing penetration of IoT devices, increasing adoption of 5G, SaaS, edge computing, video streaming apps, AI, and big data analytics, growing internet traffic, and an increase in the number of hyperscalers from AWS, Microsoft, Google, and other companies. Additional services that these hyperscale data centers offer to enterprises include massive server storage, cloud computing platforms, data processing, IT networking, software customizations, and much more.

As more businesses discover the operational and low capital-intensive benefits of hyperscale infrastructure, the move to cloud computing will surely see a boom in 2023.

Edge orchestration

Edge orchestration or edge computing hosts and authorizes apps to run at a network’s edge. It’s a distributed computing architecture in which processing and data storage moves closer to the data source. It brings benefits like lower latency, accessibility, and reliability to use cases like AR/VR and IIoT.

Edge cloud computing technology will rapidly spread thanks to 5G as communication service providers will deploy 5G networks with hundreds of centers and distributed cloud edge sites. Edge cloud computing environments will grow, using network-as-code, multi-cloud, and open APIs with purpose-driven closed-loop orchestration. These facades incorporate a converged framework at the network edge that can serve various user needs, while maintaining high agility and low operational expenses.

With so many benefits to offer, edge orchestration remains one of the top telecom trends of 2023. Edge ecosystems will emerge as an essential pillar of CSPs’ digital transformation journey, allowing them to achieve market significance beyond connectivity.

Conclusion

2023 is shaping up to be one of the most transformative years for the telecom industry. These five trends will bring technological revolution, digital transformation, better data security, improved Quality of Service (QoS), and new revenue opportunities for telcos. And the adoption of these trends is a must to remain competitive and overcome future challenges.

Anju Gulati

Anju Gulati

Associate Director - Marketing

A core marketer with around twenty-one years of cross-discipline experience, including marketing communications, operations, and content creation. I believe with an increasingly competitive marketplace, marketing creates the magic to expedite sales closures, achieve business success, sustain brand leadership, and drive future growth.

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