Cost Sharing May Be Needed To Pay for 5G, Network Enhancements, TIA Told
DALLAS -- A focus on collaboration among industries including carriers, vendors and software makers continued to be urged by Telecommunications Industry Association panelists (see 1606070021 and 1606060044) to speed automation of wireless networks and help undergird commercialization of 5G. Such collaboration also may include cost sharing as infrastructure is built out further and software moved closer to the edge of networks where they connect with wireless and other devices, they said. It may even involve municipalities, TIA 2016 panelists said. The collaborative nature of this work underscores that not one type of company is considered a service provider anymore, some said: Instead, that name can apply to many different players.
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Some of the new IoT, cloud-based and other services that will spring from virtualized cellular networks and 5G may result in new revenue opportunities, TIA 2016 attendees heard. Such products could have lure for consumers and businesses, speakers said. By moving data closer to smartphone and other network users, privacy and security may also get a boost, speakers said. Video streaming also may benefit by locating content that's in demand closer to end-users, said executives of network-equipment and other wireless vendors.
“All of that video can’t be stored in some remote data center in Omaha" because of the inefficiencies that would result, said Vice President-Marketing Linsey Miller of embedded computing firm Artesyn. "The cloud needs to be distributed to the edge of the network." Companies are working to combine aspects of IT infrastructure with the cloud and to move it closer to wireless consumers, panelists said. A goal is "massively scaled computing delivered as close to the consumer as you can get," which is needed for some of "these apps to work," said Ken Fischer, Nokia senior cloud architect.
As FCC Commissioner Jessica Rosenworcel had said earlier Wednesday (see 1606080035), getting to 5G isn't just about new IoT technology and services, but also about the infrastructure to support it, noted Henry Wong, Intel senior staff technologist. Industry "needs to work with the policy folks" to best realize the advantages in the "distributed architecture" where information and data move between points, he said. Locating video and other content and data closer to users can help them control how information is shared, bolstering privacy and helping with security, said Wong and others. Such things help make "smart cities smart," Wong said.
Issues include who pays for this and how quickly it happens, particularly the final stages of network virtualization because some functions may not be automated for years or decades, panelists including Fischer said. "One of the biggest questions is who is going to pay for this distributed infrastructure," said Miller. "The services that these generic service providers are going to provide you, the end user, need access, need infrastructure, but no one person is going to go ahead and throw money at it," said Wong. He sought "a collaborative to facilitate the access, to facilitate the wire." Fischer asked, "Who is going to own all of this, who is going to build out all of those things?”
Carriers, end-customers and maybe sometimes municipalities will pay for such network virtualization, said Fischer and others. "Who needs it the worst first, and how can they take advantage of the fact that it's a shareable asset?" he asked. New business models and approaches are needed, panelists said. Business-to-business services are one way to fund this, said Miller, pointing to security and video surveillance among other products where it may make more sense for a firm to lease rather than buy. "The service providers probably will be the ones that really shine in terms of making this investment" in networks and virtualization, she said. "The enterprise play is pretty big as far as monetization.”