Total Telecom: Maximizing the Value of Connectivity

 

 

The British company said the investment would enable it to build products and se ..

Read more at:
https://telecom.economictimes.indiatimes.com/news/vodafone-adds-7000-software-engineers-to-target-digital-services/87196863

 

LONDON--(BUSINESS WIRE)--Total Telecom reported that industry leaders gathered recently at Ultra-Broadband Forum 2021, organized by UN Broadband Commission and Huawei, held in Dubai to discuss building future-proof networks sustainably.

Total Telecom thinks that the expectations from digital connectivity have been redefined in the last one year. From conducting financial transactions online to remote factory management, the digital way of life is becoming pervasive.

"Connectivity reshaped how we live and work when the pandemic hit in 2020. Connectivity is more than an expansion of functions, it is an emotional bond. As long as there is connectivity, there is a bond. Where there is connectivity, there is innovation. It presents us with unlimited possibilities. I believe in our shared mission to create a connected world," says Ryan Ding, Executive Director of the Board, President of the Carrier BG, Huawei, in his inaugural address.

The C.A.F (Coverage, Architecture and Fusion) model is emerging as a way for the telcos to maximize the value of connectivity and achieve new growth. "The broader coverage the network has, the more number of connections it will grow. Further, fusion between connectivity and cloud is important to speed up digitalization. The sooner we achieve network and cloud convergence, the better competitive advantage telco operators will have. Lastly, network architecture is the cornerstone for current and future business opportunities. A future-oriented network should be more elastic, more efficient and greener," says Peng Song, President of Global Carrier Marketing and Solution Sales, Huawei.

According to Total Telecom, with the growing dependency on digital tools, there is a strong need to rethink our network strategy to expand coverage, benefit from cloud and connectivity and build a future-oriented network. The communications service providers (CSPs) need to adopt innovative network strategies to provide reliable and ubiquitous broadband coverage to power the next wave of growth and innovation.

About Total Telecom

Total Telecom offers daily online news with the option to sign up for headlines by email and monthly analysis. Total Telecom organises the annual World Communication Awards, Asia Communication Awards and a range of conferences and networking opportunities, including Submarine Networks EMEA, 5GLIVE, Connected Italy, Connected Britain, Connected Germany and the Total Telecom Congress. Find out more at www.totaltele.com

 

LONDON: Vodafone said it would add nearly 7,000 software engineers to its workfo ..

Read more at:
https://telecom.economictimes.indiatimes.com/news/vodafone-adds-7000-software-engineers-to-target-digital-services/87196863

 

LONDON: Vodafone said it would add nearly 7,000 software engineers to its workfo ..

Read more at:
https://telecom.economictimes.indiatimes.com/news/vodafone-adds-7000-software-engineers-to-target-digital-services/87196863

 

LONDON: Vodafone said it would add nearly 7,000 software engineers to its workfo ..

Read more at:
https://telecom.economictimes.indiatimes.com/news/vodafone-adds-7000-software-engineers-to-target-digital-services/87196863

 

The British company said the investment would enable it to build products and se ..

Read more at:
https://telecom.economictimes.indiatimes.com/news/vodafone-adds-7000-software-engineers-to-target-digital-services/87196863

K Rajaraman appointed as new telecom secretary

 

 

 

 Rajaraman, a Tamil Nadu cadre 1989-batch Indian Administrative Services (IAS), is currently working as an additional secretary in the Department of Economic Affairs (DEA). He would take over new role of telecom secretary after incumbent Anshu Prakash's retires on September 30, 2021.

 The Centre has appointed K. Rajaraman as the new telecom secretary as part of a major top-level bureaucratic reshuffle.

Rajaraman, a Tamil Nadu cadre 1989-batch Indian Administrative Services (IAS), is currently working as an additional secretary in the Department of Economic Affairs (DEA). He would take over new role of telecom secretary after incumbent Anshu Prakash's retires on September 30, 2021.

His appointment comes just a week after the government announced wide ranging reforms in the telecom sector, including announcing steps to convert government’s dues to telcos as equity over time in a bid to ensure a three-private player telecom market.

Barclay Communications offers free telecoms support to pandemic-hit NI firms

 

 

 

 

 

THE north’s largest locally owned telecommunications provider has launched an initiative to offer support to Northern Ireland firms hit by a downturn in business as a result of the pandemic.

Barclay Communications said it will provide free telecoms solutions for 12 months to successful applicants with no obligation to continue with a contract when the period ends.

The company said the combined packages could be worth up to £250,000.

The Belfast-based telecoms company recorded its best ever year in 2020, with turnover up 33 per cent to £24 million.

It now handles more than 100,000 business connections.

Founder and managing director Britt Megahey said the company wants to support firms who through no fault of their own during the pandemic.

“We have been very privileged over the past year to have experienced our most successful period ever in our 25-year history but we are aware that many other businesses experienced the opposite,” he said.

“We recognise that those businesses, especially when furlough ends, and bounceback loans have to be repaid, will need every penny they have to thrive and invest in their business wisely. To help some of those in that challenging position we are offering to support their communication needs as they reconnect and resume business.”

The managing director said companies will be asked three questions: How the Covid-19 pandemic impacted your business; how much was spent on communication in 2019/20 during the pandemic; and how free telecoms services for 12 months would benefit your business.

Deadline for submissions is October 29.

Telecoms expansion for Mitie

 

 

 

 

 

 

 

 

DAEL Ventures, a South West-based provider of acquisition, design and construction (ADC) services for mobile telecoms infrastructure, has been acquired by Mitie Group for £15m. 

The acquisition is set to broaden Mitie's expertise in the telecoms sector.

DAEL Ventures, (together with its subsidiaries DAEL Telecom Ltd, JB Towers Ltd and JISTICS), is the UK arm of Mak Holding, which is related to DAEL Group Netherlands. DAEL Group Netherlands will continue to operate under its existing private ownership and is not part of the transaction.

Alongside ADC services, DAEL Ventures also provides specialist managed services of temporary mobile infrastructure to support the special events market, as well as bespoke structural engineering and design services for telecoms assets.

Andy Train, managing director at DAEL Telecom, and James Brennan, managing director at JB Towers, will join Mitie to create a new telecoms business unit within Mitie's technical services division

Mitie chief executive Phil Bentley said: "The acquisition, which is aligned with our new growth and margin enhancement strategy, provides us with the opportunity to broaden our scale and expertise in the fast-growing telecoms sector. Mitie will now have market-leading capabilities, putting us in a strong position to take advantage of the growth prospects arising from the rollout of 5G in the UK." 

The shareholders of DAEL were advised by Bishop Fleming’s corporate finance team and BPE Solicitors.

Mitie was advised by legal firm Mayer Brown. 

DAEL Telecom and JB Towers are is based in Tewkesbury.

 

Nokia launches the world’s first live 5G standalone 700MHz service

 

 

 

 

Nokia has launched the world’s first live 5G standalone 700MHz service in Australia in partnership with TPG Telecom.

The low-band service will help to cover wide outdoor areas in addition to deep indoor urban environments, making it particularly useful for IoT deployments.

Barry Kezik, Executive General Manager Mobile and Fixed Networks at TPG Telecom, said:

“We’re excited to be the first network in the world to realise the true potential of low-band 5G SA at 700MHz.

TPG Telecom’s low band 5G will expand our 5G coverage, supporting our goal of reaching 85 percent of the population in Australia’s top six cities by the end of the year and changing the way people and things connect to the TPG Telecom 5G network.”

The service uses Nokia’s latest equipment from its ReefShark-based AirScale range including its unique triple band remote radio unit that supports 700, 850, and 900MHz bands.

Dr Robert Joyce, Chief Technology Officer at Nokia Oceania, commented:

“Nokia is proud to support another 5G world first. We have a long-standing partnership with TPG Telecom, and we have jointly developed our unique triple-band radio solution specifically for them.

Today, we get to see the result of that joint effort and collaboration which will deliver premium wide area 5G SA coverage for TPG Telecom and its customers.”

Nokia’s triple-band radio unit also supports 3G, 4G and 5G simultaneously across all of TPG Telecom’s low-band frequencies.

The 5G SA service is now live on TPG Telecom’s network in Sydney.

Samsung, Ericsson, Foxconn arm, 9 others express initial interest in telecom PLI scheme

 

 

 

 

 

 

AS MANY as 12 international and domestic companies have submitted initial offers of investment to the Department of Telecommunications (DoT) under the telecom products’ production-linked incentive (PLI) scheme, sources in know of the development said.

Taiwan’s Rising Star, an arm of Foxconn, US-based Sanmina Corp, Jabil, Nokia, Samsung, Ciena, Mavenir USA and Ericsson are among the international companies, while Gurgaon-based VVDN Technology, Noida-based Dixon Technologies India, Coral Telecom and HFCL are the domestic companies that have shown interest so far, sources said.

All these companies fall under the non-micro, small and medium enterprises segment and will be required to make a minimum investment of Rs 100 crore. In February this year, the Central government had cleared a Rs 12,195-crore PLI scheme for domestic manufacturing of telecom and networking products such as switches, routers, radio access network, wireless equipment and other internet of things (IoT) access devices.

The working guidelines for these companies were notified on June 3. As per the norms, the year 2019-2020 will be considered the base year to calculate incremental sales for the PLI scheme, which is scheduled to run from April 1 this year to March 31, 2026.

Though the government has agreed to consider the expenditure incurred on plant and machinery as investment for determining eligibility for the incentives under the PLI scheme, it has also limited the amount of the funds the companies can spend on research and development (R&D) as well as technology transfer.

While the expenditure incurred on R&D cannot exceed 15 per cent of the total investment committed by the companies, the money to be spent on technology transfer cannot exceed more than 5 per cent, as per the norms.

The idea behind capping the investment on R&D as well as technology transfer, a senior DoT official said, was to ensure “incremental production” over the next five years.

“The priority right now in this PLI, as well as others, is incremental sales and production. While R&D is good for the long term, the immediate requirement is to make sure companies invest in production lines,” an official said.

Any investments in R&D will yield results only in the long run, which is not what the telecom ministry wants right now, other officials said.

“Only those investments, which are done after April 1 this year, will be considered. And, there was a demand from the industry that they would need some help in the R&D as well as transfer of technology. So, if companies, on their own, spend more on R&D instead of focusing on production, the result will take much longer to come,” one of the officials said.

 

The telecom ministry is also unlikely to accept the demand of the industry to push the base year for consideration of incentives under PLI to 2020-2021 from 2019-2020, the officials said.

“The industry had been kept in loop all through the designing of the scheme. They knew very well when the scheme would start, when it would end and what are the various investments that would be considered. We feel that there would be no need for extension of the scheme’s deadlines right now,” an official said.

 

 

Australia’s TPG Telecom Deploys MATRIXX Software to Enable Multiple Brands on a Single, Converged Charging Platform

 

 

 

 

 

FOSTER CITY, Calif.–(BUSINESS WIRE)–#5G—MATRIXX Software, a global leader in 5G monetization for the communications industry, today announced it has partnered with Australia’s TPG Telecom Limited (ASX: TPG). TPG Telecom operates a number of leading mobile and internet brands including Vodafone, TPG, iiNet, AAPT, Internode and Lebara, providing consumers with a comprehensive portfolio of fixed and mobile products in the Australian telecommunications market.

With their 5G rollout progressing full steam ahead across major Australian cities, TPG Telecom is committed to cementing its place as a strong force for its customers. Looking ahead, as 5G becomes mainstream, TPG Telecom is seeking to unlock new opportunities and offerings resulting from the coming explosion of connected devices. With a goal to improve experience today, while laying the foundation for future innovation, TPG Telecom selected the MATRIXX Digital Commerce Platform to build a flexible, agile service capable of delivering real-time innovation to meet ever-shifting consumer demand.

“At TPG Telecom, the investments we make are designed to provide immediate benefit to our customers today, with an eye towards how we can unlock new opportunities, tomorrow,” said Rob James, Group Chief Digital & Information Officer of TPG Telecom. “Delivering improved value for our shareholders is essential for our success and the MATRIXX platform will enable us with the ability to rapidly innovate and experiment with new monetization models across all of our brands.”

Implemented as part of a full digital transformation program, MATRIXX Digital Commerce Platform enables TPG Telecom to be more commercially competitive, while also reducing costs associated with legacy infrastructure.

“We started with the ambition to consolidate multiple mobile rating platforms whilst still operating as Vodafone Hutchison Australia. Having merged with TPG Corporation to form TPG Telecom, using MATRIXX has further enabled us to ensure all our brands have access to a common rating platform. MATRIXX allows us to consolidate and transform 4G and 5G service monetization by moving to a single real-time platform that’s tightly integrated with our network,” said Easwaren Siva, General Manager Strategy & Architecture of TPG Telecom.

With the first phase completed, MATRIXX is now live for Vodafone branded prepaid services. Later phases of the transformation program will see TPG Telecom migrating mobile postpaid rating across their portfolio of brands, in addition to MVNO, wholesale and enable Standalone 5G charging.

“We are thrilled to be able to help bring TPG Telecom’s vision of improved commercial agility and greater customer experience,” said Glo Gordon, MATRIXX CEO. “Helping to transform how TPG Telecom monetizes today, while giving them a powerful and highly configurable monetization platform for their future innovation, speaks to the core of what we do best — empowering our customers, so that they can empower theirs.”

About TPG Telecom

TPG Telecom Limited was formed by the merger of Vodafone Hutchison Australia Pty Limited and TPG Corporation, formerly named TPG Telecom, on 13 July 2020. The merger brought together two highly complementary businesses, creating the leading challenger full-service telecommunications provider in Australia.

About MATRIXX Software

MATRIXX Software is the global leader in 5G monetization for the communications industry. Serving many of the world’s largest operator groups, regional carriers, and emerging digital service providers, MATRIXX delivers a cloud native digital commerce solution that enables unmatched commercial and operational agility. Unifying IT & networks, MATRIXX delivers a network-grade converged charging system (CCS) enabling efficient hyper-scaling of infrastructure to support consumer services, wholesale and enterprise marketplaces. Through its relentless commitment to product excellence and customer success, MATRIXX empowers businesses to harness network assets and business agility to succeed at web scale.

MTN shows acceleration of webscalers’ blockbuster growth in telecoms

 

 

 

 

 Based on preliminary stats, overall webscalers ended 2020 with just over $1.7 trillion (€1.44 trillion) in revenues, up from $1.45 trillion in 2019.

 

 

While the growth is due to several factors – including acquisitions, a strong digital advertising market and increased cloud spending across verticals during the pandemic – MTN comments, “Webscalers have been attacking the telco vertical for several years. Since the close of 4Q20, over the last three months the webscale sector's efforts to engage telcos have picked up steam.

“A number of telcos have recently announced new deals with webscalers in the areas of edge computing, service development, digital transformation, and workload shift.

“At the same time, more traditional suppliers to telcos (such as Nokia) have expanded their own collaboration with the cloud providers who dominate the webscale market.

“These deals aim to differentiate [between] traditional telco vendors, prevent webscalers growing too fast in the market, and save costs for telcos.”

Key developments in Q1

Telefonica engaged IBM to act as a systems integrator for an open RAN trial in Argentina.

TIM Brasil announced it migrate all its on-premises workloads to the cloud, using Oracle Cloud Infrastructure (OCI) and Microsoft Azure, including mission-critical applications. The idea is to optimise and simplify the management of its IT infrastructure while improving scalability and agility.

In March, Liberty Global's Belgium unit, Telenet chose Ericsson, Nokia and Google Cloud for 5G deployment.

Nokia in the clouds

Nokia was by far the most active of telco-focused vendors in 1Q21, announcing several collaborations with the webscale sector.

In January, Nokia announced partnerships with Google Cloud Platform (GCP) to develop cloud-native 5G core solutions. Nokia is supplying its voice core, cloud packet core, network exposure function, data management, and 5G core, while GCP's Anthos for Telecom platform will be used t deploy applications.

In March, Nokia expanded its work with GCP, announcing it would also partner to develop cloud-based 5G radio solutions. The collaboration leverages Nokia's RAN, Open RAN, Cloud vRAN and edge cloud technologies with GCP's edge computing platform and application ecosystem.

Initial efforts centre around Cloud RAN and aim at integrating Nokia's 5G virtualized distributed unit and virtualized centralized unit with Google's edge computing platform running on Anthos. Nokia aims to certify its AirFrame Open Edge hardware with Anthos.

At the same time as the March GCP announcement, Nokia announced deals with Microsoft and Amazon.

Playing the field

The Microsoft agreement is intended to develop "new market-ready 4G and 5G private wireless use cases designed for enterprises", combing Nokia's Cloud RAN, Open RAN, radio access controller, and multi-access edge cloud technologies with the Azure Private Edge Zone.

With Amazon Web Services, Nokia and AWS will conduct joint R&D into enabling Nokia's RAN, Open RAN, Cloud RAN, and edge solutions to operate "seamlessly" with AWS Outposts. The goal is to develop new customer-focused 5G solutions.

Per Nokia, "operators will be able to simplify the network virtualization and platform layers for the Core and RAN network functions by leveraging the agility and scalability of cloud." Ultimately Nokia will be able to leverage Amazon services like EC2, EKS, Local Zones and others to help automate network functions and deploy end customer applications.

Intel attacks

MTN points out that Intel, which has attacked the telco market aggressively over the last few quarters, signed a deal with GCP in February to develop "reference architectures and integrated solutions" for telcos to enable 5G and edge network solutions.

The collaboration involves three main aspects: virtualised RAN and open RAN solution development; a network functions validation lab; and service delivery to the edge.

Israeli telco vendor Radcom announced the integration of its 5G assurance solution (ACE) with Microsoft Azure. Radcom says that the integration of ACE with Azure "enables operators to assure the quality of 5G services by leveraging AI and machine learning-driven assurance and automation" ACE runs as a cloud native function over the Azure Kubernetes Service.

MTN reckons that vendors’ collaborations with webscalers will continue throughout 2021, no doubt.

Mavenir's SVP for Business Development, 

 John Baker, addressed this trend indirectly in a January interview with SDx Central: “I really do believe the hyperscalers are going to become the new telecom providers going forward...Apart from the physical radio that goes on a tower, everything we’re doing now follows the data center model, and these guys know how to manage data centers, software, and applications."

For webscale operators to support all these new activities requires heavy investment in network infrastructure. The figure below shows CapEx by type, on an annualized basis, for the total webscale network operator market since 2016.

Mobile World Congress 2021 will require a negative Covid test for entry

 

 

 

 

 

 

The GSMA is determined to make MWC happen this year but is having to ask potential attendees to make a lot of concessions to the Covid-19 pandemic.

The event, which would normally have taken place by now, is scheduled to start on 28 June in its usual location of Barcelona. But with the pandemic still far from over, cramming thousands of people into an enclosed space for four days is pretty far from epidemiological best practice, so something’s got to give.

Today the GSMA, which runs the event, announced its health and safety plan for the event, even going so far as to brand it ‘Committed Community’. Not to be confused with mental hospitals, the plan indicates that everyone has got to muck in if the event is to go ahead and be a success. Essentially that means doing all the stuff we have becomes used to, such as wearing masks, washing hands and trying not to pant in each other’s faces, but there are some specifics.

The most important feature is that proof of a negative Covid test (rapid antigen) will be required for entry, which will be entirely managed by the MWC app. Since that’s likely to be a prerequisite for getting into Spain at all, that’s not really any extra hassle. The tests are only considered valid for three days, however, which means most people will have to take at least one more while they’re in the country.

MWC will be setting up testing centres within the venue (the usual Fira), where you can get your top-up test. The health services partner has yet to be announced, but we expect it to be in the next couple of weeks, at which point the cost of such services should be revealed. There will also be regular temperature checks of the kind you get at the gym, the results of which may compel people to take a test even if their previous one hasn’t expired.

Other than that the big difference, other than the demand that everyone wear the masks that have become such a regrettable feature of modern life, will be a strict one-way system in the venue, made more plausible by the fact that the GSMA is using the whole Fira despite there likely being fewer exhibitors. On that note it’s still optimistically hoping for up to 50,000 attendees.

“We’ve worked with partners, health authorities and medical professionals to create a plan that builds confidence in our return to in-person events,” said John Hoffman GSMA CEO. “The GSMA has safely and successfully organised premier mobile events for many years. Since 2006, we have worked closely with the Host City Parties and Fira Barcelona to keep everyone safe and secure at MWC events.

“No doubt Covid-19 is our biggest challenge to date. But our experience gives us a rock-solid foundation from which we have built our plan. This foundation means MWC21 Barcelona can go ahead safely, in person, with a digital online component for those unable to attend.  It will remain the unique, unmissable experience that has made it the world’s most important mobile event.”

“Working together with the Shanghai authorities, we’ve just concluded the first in our MWC series in Shanghai,” said GSMA’s Director General Mats Granryd. “Our partners, exhibitors, board, and local businesses’ support was heartening, and everyone contributed to creating a safe environment by sticking to the safety measures. I am now looking forward to MWC21 Barcelona; it is time to bring together the mobile ecosystem in-person. I relish the discussions that will emerge from this essential event.”

The Shanghai experience should offer some useful insights but the Barcelona event is much bigger and more international. If last Summer is anything to go by Covid cases should be very low by the end of June, However the psychological damage is done. While attending MWC 2021 shouldn’t pose much more of a health risk than any other year, we have been conditioned to become risk averse over the past 12 months. It remains to be seen whether all the precautions announced will reassure people enough to persuade them to get on with their lives.

What’s behind telecoms automation push?

 

 

 

 

 

Telecoms.com periodically invites expert third parties to share their views on the industry’s most pressing issues. In this piece Régis Lerbour, VP Product and R&D, RAN Engineering at Infovista, looks at the role automation plays in 5G.

The industry’s focus on 5G has prompted a slew of enabling technologies that are critical for delivering a new range of high value services. Chief amongst these are virtualization followed closely by network automation as highlighted by a recent survey by analyst firm Forrester. The study that questioned over 100 senior executives at telecommunication providers across the world found that over the next 12 months, deployment of Network Function Virtualization (NFV) was the most pressing concern (64%) while automation capabilities for internal teams was a close second (61%) – with network monitoring, management, testing, simulation, automation, and orchestration (50%) running just behind.

The survey offers an interesting read, and it highlights that: “Senior industry figures appreciate the problems that non-automated tools bring to managing their network lifecycles smoothly and profitably. Many understand the benefits that an end-to-end network lifecycle automation solution from a single vendor would deliver, such as increased productivity and reduced costs; and their infrastructure and investment priorities are geared towards adopting automation as soon as they can.”

However, there is a note of caution as the data shows that many “…have a long way to come to turn their plans into reality; and a number of structural challenges are competing for their attention, something that COVID-19 will be exacerbating.”

The combination of moving the network towards a more software-centric approach, along with automation, orchestration and monitoring sit with the category of Network Lifecycle Automation and the concept has been growing steadily over the last few years. The recent catalyst has been the need to deliver successful and timely 5G rollouts while overcoming complexity of overlapping and non-integrated tools. The need to automate functions is also critical in easing the impact of the skills shortage made worse by ongoing belt tightening across the sector.

The 5G catalyst

Many within the industry see first-mover advantage as key, and as such getting 5G to market quickly has been of paramount importance. The first wave of deployment focused on shared infrastructure with 5G implemented on existing 4G core infrastructure to allow for marketing launches – aimed at generating awareness and initial user demand. However, much of the core network upgrade is still ongoing and as operators start to deploy full-scale 5G standalone networks, there has been a marked increase in the use of advanced planning and design software to speed up key tasks such as site selection to ensure that 5G can be deployed with adequate coverage.

Even with much of the attention looking forward as it relates to 5G, the existing 4G and even 3G networks are still the real breadwinner for operators. Which means that 5G investment must be tempered with the reality of keeping 4G networks thriving and meeting the shift in consumption models that issues such as the pandemic and intense competition has placed on operators.

Network lifecycle automation

The research highlights other challenges around operations and the corresponding sets of management tools currently in use. In the telecoms space, the survey reveals that 56% of operators currently use a collection of tools that address various parts of the infrastructure. Only 1-in-7 of the organisations surveyed has an integrated, end-to-end network management and automation solution. Part of the reason is the organic way in which networks have grown across generations and the survey states that nearly half (46%) report that they face difficulties getting these tools to deliver consistent end-to-end automation. In fact, the survey found that only 1% of respondents were completely satisfied with their network management tools.  This situation is made more challenging for operators that need to maintain service across potentially 4 different generations of (2G, 3G, 4G and 5G) networks.

The desire to unify management technologies, along with gains offered from automation are focused on several key areas. Not unsurprisingly, the primary expected benefit is around cost saving (73%), although improved network performance (71%) and accelerated 5G roll-out (70%) are not far behind.

One of the most interesting findings was where operators see themselves today on the journey to 5G along with their contrasting priorities for 2021 and 2022. This year, only 19% were focused on the creation and delivery of new services on top of 5G such as IoT or low-latency use cases. This suggests that most operators recognise that there is still a lot more infrastructure work to carry out.  Looking out to next year and new 5G services jumps to almost the top of the list of priorities (55%) suggesting that many see 2022 as the year when the rollout will be complete, and they can start testing the water of new products.

Overcoming challenges

The optimism about the speed of 5G rollouts needs to be tempered by several factors. The first is that operators still need to spread engineering time between existing network operations and the 5G push. This is hampered by limited RF expertise and a broader trend to reduce back-office staffing due to highly competitive trading conditions.  Increasing productivity has been a clear demand from the industry over the last few years; a sentiment reinforced by the survey that found 61% of respondents equated the use of network lifecycle automation as a way of improving productivity.

Another major disruptor is the arrival of the new OpenRAN ecosystem that – although still only adopted by a few operators – is gaining interest rapidly. OpenRAN may well make it easier to develop lower cost and more flexible networks – but brings another set of skills and management requirements into an already crowded arena.

The recent survey is just a single snapshot into an industry going through one of its most significant periods of upheaval. It mirrors, in many ways, the IT industry’s decade long shift towards microservice-based architectures and the cloud – much of which enable more and more automation. The need for tooling that can work independent of vendor and network generation is a clear priority for many – and the next 24 months will witness pioneers that can translate the vision into highly efficient processes as the first to market with innovative new 5G services.

Bouygues throws down the gauntlet to SFR

 

 

 

 

 

 

Bouygues Telecom wants to be France’s second-largest mobile operator by 2026.

This is doubtless a long-harboured ambition, but the telco made it official at its capital markets day late last week, at which it unveiled an aggressive growth plan for the next five years.

The company marked its 25^th anniversary with the launch of its Ambition 2026 plan, a multi-faceted strategy through which it aims to become the second-largest mobile operator in France after incumbent Orange and, in its own words, “a major player in fibre,” amongst other things.

In many ways, the plan lacks detail, but it’s pretty clear that is essentially centred around the integration of Euro-Information Telecom (EIT), the alternative operator acquired by Bouygues Telecom last year; the deal received regulatory approvals and closed on 31 December. EIT styles itself as France’s fifth telecoms operator, offering Internet and TV packages as well as MVNO operations under various brands with 2 million customers.

That deal, as much as Bouygues’ subsequent overt targeting of the number two spot, will have given its current holder SFR pause for thought.

According to Bouygues, its mobile market share excluding M2M stood at 16.4% in Q3 last year, putting it in fourth place behind Iliad with 18%, SFR with 24% and leader Orange with 30.3%, although it is bigger than Iliad when M2M customers are factored in. The telco’s mobile customer base at that date was 12.3 million, thus we can extrapolate that the addition of EIT’s 2 million customers would up its market share by somewhere between two and three percentage points. That puts it ahead of Iliad but still leaves it some way behind SFR.

However, it’s about much more than the additional customers EIT brings with it. Bouygues acquired EIT from Crédit Mutuel and at the same time signed a long-term distribution deal that will enable the sale of its fixed and mobile services via the French bank’s network of 4,200 branches.

While areas of Bougues Telecom’s growth plan might seem a little vague – its intention to “benefit from” last year’s brand revamp, for example – adding customers, sub-brands and a broad distribution network via M&A is pretty straightforward. It’s questionable whether that will be enough to see it snag the number two spot in mobile in as little as five years, but it’s certainly a good start.

Other facets of Bouygues’ Ambition 2026 plan include the goal to gain 3 million new FTTH customers in that period; double FTTH network coverage from an estimated 17 million premises at the end of last year to 35 million at the end of 2026 (with an interim target of 27 million by end-2022); double market share in fixed B2B; and become a wholesale fixed player.

On the financial front, Bouygues Telecom expects to significantly increase revenues and earnings during the period. It has set a target of generating more than €7 billion in sales from services in 2026, up from an estimated €4.9 billion in 2020 – its full-year results are due for publication on 18 February – and EBITDA after Leases of around €2.5 billion, up from €1.5 billion, increasing its margin to 35% from 31%. It is also aiming for free cash flow of around €600 million, compared with an estimated €250 million last year and €300 million in 2019.

Those are ambitious targets. Bouygues Telecom did not call its new strategic plan Ambition 2026 for nothing.