Networks and services cannot be divorced from the vendors that help to make them a reality. The Vendor Transformation posts look to ways in which network infrastructure suppliers are competing or otherwise evolving themselves – for good or bad.
• Radisys, a RAN software provider owned by India’s Reliance Industries, is acquiring Mimosa Networks, which supplies fixed-wireless gear to Reliance’s mobile operator Jio.
• Both private and public investment dedicated to securing India’s telecom independence is surging in India as the country rolls out 5G.
Roughly four years after it acquired the company in late-2018, radio access networking (RAN) vendor Airspan recently announced it has agreed to sell Mimosa Networks, its fixed-wireless unit, to Radisys, a RAN software provider owned by Indian conglomerate Reliance Industries, for $60 million. In 2022, Mimosa reported about $25 million in revenue.
After a COVID-related decline in CapEx in 2020, US operators returned almost exactly to 2019 levels in 2021, in line with guidance provided at the beginning of the year.
Operators are planning to increase CapEx by double digits in 2022, with the increase being driven by midband 5G deployments and increasing appetite for fiber from both large and small operators.
An analysis of US operator financial results based on Q4 2021 earnings releases shows that CapEx in 2021 came in nearly identically to 2019 levels after a COVID-driven dip in 2020. The nine network operators shown below – all of which spent more than $1 billion in CapEx – spent $70.6 billion in 2021 CapEx, up 5.2% from 2020 and nearly flat from 2019. GlobalData estimates that the big three that account for nearly 70% of total CapEx – AT&T, Verizon, and T-Mobile USA – spent roughly $49 billion, up 7% from 2020. Continue reading “Midband 5G and Fiber Drive Increased 2022 CapEx Guidance from US Operators”→
SoftBank plans to issue a sustainability bond to help fund its high-altitude platform station (HAPS) project designed to enable Internet service in currently hard-to-reach locales.
Investors may be reluctant to invest in the new bond because of the long timeframe to commercial viability, lack of a clear path to profit, and emerging competition from LEO competitors like Starlink and Project Kuiper.
Japanese investment management conglomerate SoftBank Corporation announced it will issue a sustainability bond to fund its novel HAPS project designed to enable Internet service in currently hard-to-reach locales. Sustainability bonds are becoming an increasingly popular way for telecoms operators to fund environmental initiatives; however, investors may be skeptical of SoftBank’s plans to use a sustainability bond to fund development of its still-unproven HAPS model. Continue reading “SoftBank Sustainability Bond Plans May Face Skeptical Investment Community”→
Orange’s expansion of its equipment refurbishing efforts to the radio network represents new levels of scale, complexity, and maturity in its circular economy initiative.
Fears that reused radio equipment will not match the improved energy consumption of new units have not been borne out in real-world usage.
In October 2021, Paris-based multinational telecoms operator Orange announced an agreementwith Nokia to increase its use of refurbished network equipment across its entire 26-country footprint. Beginning with radio access network (RAN) equipment, the arrangement will extend to other network infrastructure elements. In taking this step, Orange is establishing an advanced position that it hopes other telecoms groups will follow. Continue reading “Orange and Nokia Push the Circular Economy Forward with RAN Refurbishment”→
AT&T announced a new initiative designed to help its customers dramatically reduce greenhouse gas emissions. The company still has work to do on internal ‘greenification.’
Verizon is taking a different approach, issuing its second and third $1 billion green bonds recently to fund a host of renewable energy contracts.
AT&T arguably took a leadership position among U.S. telecommunication operators, announcing August 31 that it will drive a reduction of a gigaton of greenhouse gas (GHG) emissions —1 billion metric tons — by 2035, in conjunction with a consortium of partners that includes Microsoft, Equinix, Duke Energy, and a number of research universities. A gigaton is equal to roughly 15% of total U.S. greenhouse gas emissions and 3% of global emissions based on 2020 estimates. Continue reading “AT&T and Verizon Showcase Two Approaches to Environmental Sustainability”→
Samsung has traditionally found itself outside of the sphere of influence with European operators, but a combination of emerging vRAN and O-RAN technologies and geopolitics is creating a new opportunity.
The company’s O-RAN deal with Vodafone UK, announced in June, is small in size but could represent the beginning of a long tail of opportunity.
At Huawei’s recent analyst event, the company said that it was placing greater emphasis on building a services and software partner ecosystem.
Although Huawei has historically not built much of a partner ecosystem outside its local deployment and maintenance relationships, it now has several pieces in place to make more progress in the area.
At the annual Huawei Analyst Summit (HAS) in April 2021 – the second year it was conducted largely virtually – Huawei’s Software and Services leadership went into detail on its advancements and strategies for the group. Discussions touched several times on Huawei’s desire to build up its partner ecosystem, both to expand the innovation it can deliver to clients and to extend its reach to additional service provider business lines. Huawei has historically maintained a substantial ecosystem in local country network deployment and operations field forces, but its progress on building a service creation ecosystem has been less apparent. At HAS, Huawei executives made clear they understand that developing an ecosystem is vital to its goal of emphasizing software and services as a means to enhance customer loyalty and diversify its revenue stream in the wake of ongoing hardware supply chain challenges. Continue reading “Huawei Software and Services Lays the Foundation for an Ecosystem Play”→