Introduction
As the telecom industry undergoes a cloud-native 5G transformation, deploying 5G on public cloud platforms has emerged as a pivotal enabler of innovation, scalability, and cost optimization. This blog focuses on the specific, actionable benefits of running hyperscale 5G networks on public cloud platforms, moving beyond high-level motivations to explore tangible outcomes and real-world implications.
While this blog focuses on the specific advantages of deploying 5G on public cloud platforms, it is essential to acknowledge that cloud-native 5G networks built on private, or hybrid cloud models can also offer similar benefits in different contexts. Private clouds, for instance, provide enhanced control over sensitive data, while hybrid models offer a balance between scalability and data sovereignty.
Scalability and Agility
- Dynamic Resource Allocation: Hyperscalers enable on-demand scalability, allowing Telcos to adjust resources based on real-time traffic patterns and service requirements.
- Improved Customer Responsiveness: Ensures Telcos can meet demand spikes, such as during live events, with minimal delays.
- Faster Service Launches: Pre-integrated cloud-native 5G solutions reduce the time needed to roll out new services.
Cost Efficiency
- OPEX vs CAPEX in 5G deployment: Transition from capital-intensive investments (CAPEX) to operational expenditure (OPEX) models reduces upfront costs.
- Pay-as-You-Go Flexibility: Hyperscaler pricing models align with usage patterns, ensuring Telcos pay only for what they use. Fully cloud-native 5G networks maximize ROI by aligning resource utilization with actual demand, minimizing idle capacity, and leveraging hyperscaler economies of scale.
- Reduced Overheads: Compared to hybrid or private clouds, these deployments require lower maintenance overheads and faster service rollouts, accelerating financial returns. Hyperscalers manage routine maintenance and hardware upgrades, freeing Telcos from infrastructure management burdens.
Innovation Enablement and Developer Ecosystems
- Accelerated Experimentation: Cloud-native 5G environments support rapid prototyping and testing of new applications, including edge computing for 5G and AI/ML in 5G network optimization.
- Expanded Application Horizons: Telcos can explore cutting-edge services, such as AR/VR, industrial IoT, and connected healthcare solutions more efficiently.
- Access to Open APIs: Hyperscalers provide a wealth of APIs, empowering Telcos to integrate services with minimal friction.
- Ecosystem Collaboration: Hyperscaler marketplaces connect Telcos with third-party developers to co-create innovative solutions.
Operational Simplification and Future-Readiness
- Simplified Management: Offloading infrastructure operations to hyperscalers reduces operational complexity and allows Telcos to focus on core services.
- Smaller Teams, Greater Efficiency: Automation tools enable smaller teams to manage large-scale deployments efficiently.
- Ease of Technology Transition: Hyperscaler-managed infrastructure facilitates smooth upgrades to future technologies like 6G without significant disruptions.
- Reduced Technical Debt: Minimizes long-term maintenance challenges and ensures the network remains adaptive to evolving standards.
Advanced Analytics and Insights
- Actionable Data Insights: Advanced analytics tools provide real-time insights into network performance and user behavior.
- Proactive Network Optimization: AI-driven analytics in 5G networks enable Telcos to anticipate and resolve potential bottlenecks.
Global Reach and Resilience
- Multi-Region Deployment: Hyperscalers’ global footprint allows Telcos to launch services seamlessly across geographies.
- Built-In Fault Tolerance: Advanced disaster recovery mechanisms ensure uninterrupted service delivery, even during regional outages.
- Enhanced Availability: Geographically distributed data centers improve network reliability and user experience.
Edge Capabilities and Sustainability
- Low-Latency Performance: Edge zones bring compute and storage closer to end-users, enabling ultra-low-latency services critical for applications like autonomous vehicles and industrial IoT.
- Support for New Use Cases: Edge computing allows Telcos to offer differentiated services for gaming, healthcare, and smart city applications.
- Green Initiatives: Hyperscalers’ energy-efficient infrastructure and renewable energy investments align with Telcos’ ESG objectives. Cloud-native architectures further enhance sustainability by optimizing resource usage, reducing energy footprint of idle infrastructure and automating processes that minimize operational waste. Traditional deployments, with their fixed resources and underutilized capacities, typically consume significantly more energy.
- Shared Resources: Public cloud infrastructure lower the environmental impact compared to standalone data centers.
5G Network Monetization
Hyperscaler-based 5G offers unique opportunities for business model innovation and monetization, surpassing the capabilities of private cloud-based 5G. By leveraging hyperscalers’ ecosystems and advanced capabilities, telecom operators can unlock new revenue streams and transition to platform-based business models. Key aspects include:
- CAMARA APIs for 5G Network Monetization
- CAMARA APIs: Hyperscaler-supported initiatives like CAMARA provide standardized APIs that enable Telcos to expose and monetize network capabilities. These APIs empower developers to create tailored applications, such as QoS management or latency optimization for specific industries. Cloud-native models unlock monetization opportunities more effectively than traditional or hybrid frameworks by supporting scalable business models like Network as a Service (NaaS) and API-driven marketplaces, which contribute significantly to ROI.
- Benefits: Hyperscaler APIs streamline integration with enterprise systems, enabling faster time-to-market compared to proprietary or private cloud setups.
- Network as a Service (NaaS)
- Leveraging Cloud-Native Network Slicing for Enterprise 5G: Hyperscaler-based 5G facilitates dynamic and scalable network slicing, allowing Telcos to deliver industry-specific solutions with guaranteed SLAs. Examples include ultra-low-latency slices for autonomous vehicles or high-bandwidth slices for media streaming.
- Cloud-Native O-RAN: Hyperscaler cloud-native frameworks simplify the deployment of Open RAN technologies, enabling Telcos to offer flexible and efficient connectivity solutions.
- Benefits: Hyperscalers provide infrastructure and automation to operationalize Network as a Service (NaaS) models at scale, reducing complexity compared to private cloud approaches.
- Hyperscaler Marketplaces and Edge Innovation
- Startup Ecosystem: Hyperscaler marketplaces connect Telcos with startups and third-party developers, fostering innovative services at the edge. These include AR/VR applications, industrial IoT solutions, and AI-driven real-time analytics.
- Transition to Appstore Economy: By leveraging these ecosystems, Telcos can evolve into platforms offering an app store-like experience for enterprises, enabling API economies and recurring revenue streams.
- Benefits: Hyperscalers’ global reach and pre-built ecosystems eliminate the need for Telcos to build their own marketplaces, accelerating adoption.
- AI and GenAI Opportunities
- Role of AI and Automation in 5G Network Management: Hyperscalers offer advanced AI/ML platforms, enabling Telcos to provide AI-powered services like predictive maintenance in telecom cloud networks, fraud detection, and operational analytics to enterprise customers.
- Generative AI for Retail: Telcos can leverage hyperscalers’ GenAI capabilities to develop customer-centric apps for retail, including virtual assistants, personalized shopping experiences, and advanced marketing tools.
- Benefits: Hyperscalers’ cutting-edge AI platforms and tools allow Telcos to quickly implement GenAI solutions, which would be costly and resource-intensive on private cloud infrastructures.
Examples From Global Operators
Boost Mobile’s AWS Collaboration
Boost Mobile partnered with AWS to deploy its cloud-native 5G network, marking a groundbreaking integration of telecom and hyperscaler ecosystems. Key outcomes included:
- Fully Cloud-Native 5G Architecture: Fully Cloud-Native 5G Architecture: Boost Mobile’s 5G core and operations are hosted on AWS, excluding minimal RAN components.
- Automation and Scalability: By leveraging AWS’s global infrastructure and automation tools, Boost Mobile achieved operational efficiency and scalability.
- Innovative Services: Boost Mobile utilized AWS’s AI/ML capabilities to tailor advanced applications such as autonomous vehicles and industrial IoT.
Acknowledging the Challenges
While the benefits of public cloud for 5G are transformative, Telcos must address challenges such as latency management, integration with legacy systems, and cost predictability. These issues are discussed in detail in our upcoming blog “Challenges and Mitigations of Running 5G on Public Cloud”.
Conclusion
Public cloud for 5G offers unparalleled advantages for deploying and operating cloud-native 5G networks. From 5G network scalability and cost optimization to innovation and sustainability, hyperscalers empower Telcos to meet the demands of an increasingly connected world. By embracing these benefits, operators can redefine their role in the telecom ecosystem and unlock new revenue streams. In the subsequent parts of this series, we will delve deeper into the best practices and strategies for harnessing the full potential of hyper-cloud 5G.
Authors:
Vivek Tiwary, Vice President and Head of Network Services Business, Tata Elxsi
RajaGopalan Rajappa, CTO, Communication Technologies and Platforms, Tata Elxsi
