In this week's edition of the New IP's Virtual Newsbites, it's all about boosting the network to meet increasing demand for video and mobile services.
Here's a round up of what's hit our news desk this week:
For the tenth consecutive Olympic Games, NBC Olympics selected AT&T networking services and integrated solutions for its production of the global athletic competition. The division of NBC Sports Group will use AT&T Private Line, Ethernet Private Line and Video Broadcast to transmit high-definition coverage of the 2016 Olympic and Paralympic Games in Rio de Janeiro, Brazil. AT&T Inc. (NYSE: T) has also sponsored the United States Olympic Committee since 1984, working with Team USA and Olympic and Paralympic contestants to keep them connected as they travel for training and competition, AT&T says.
Hybrid cloud, network virtualization and growing data volume are the top anticipated factors driving end-customer spending this year, according to Brocade Communications Systems Inc. (Nasdaq: BRCD)’s annual channel trends survey. In fact, 24% of respondents cited hybrid cloud and network virtualization as the reason behind spending, while 14% pointed to the competitive pressure to deliver enhanced services, Brocade finds. There are challenges too: 27% of partners cite network security; 21% point to managing security in hybrid cloud; and almost 22% say solving the challenges around data recovery between data centers is the third most pressing hurdle, the study says.
Demand for mobile content will surpass service providers’ ability to provide it unless they accelerate investment in technologies such as 5G and cloud, according to recent report by Bell Labs Consulting, a division of Nokia Bell Labs. By 2020 WiFi will meet 67% of worldwide consumption demand and technologies such as 3G, LTE, small cells and 5G will address an additional 14% of global users’ needs, the study says.
However, this leaves a deficit of 19% -- unless service providers more rapidly implement 5G, network function virtualization (NFV), software-defined networking (SDN), cloud and new business models that close this gap, according to the report. Internet of Things -- which will represent 2% of mobile traffic in five years -- could increase the insufficiency as more video-intensive devices enter the market, Bell Labs cautions.
SDN and NFV Pump Up the Network Power -- and Profits
In North America, the combination of 2G, 3G and 4G will deliver approximately 4.8 GB per user per month. By adopting newer technologies such as small cells, 5G, NFV and SDN, service providers will "profitably deliver" about 12.8 GB per user per month, Bell Labs says. (Source: Bell Labs Consulting)
Speaking of 5G and projections, ABI Research predicts mobile broadband operators will earn $247 billion in worldwide 5G revenue in 2025. Most of that revenue will come from North America, Asia-Pacific and Western Europe, and will begin after the ecosystem finalizes technical details about millimeter wave by 2020, according to the research firm.
Although many service providers and developers anxiously await 5G’s arrival, there are hurdles. In addition to standards development, these include spectrum fragmentation, coverage range, product availability, capex/opex and use cases that deliver profits while specifically leveraging 5G’s benefits, ABI says. "5G will be a fast-growing cellular technology, most probably faster than preceding generations, including 4G," says Joe Hoffman, managing director and vice president at ABI Research, in a statement. "The technology migration over the next few years will mean the continued decline of 2G. 3G and 4G will grow in many markets, but 5G will generate new use cases and market revenues."
Last but not least, Verizon Communications Inc. (NYSE: VZ) plans to deliver more than 800 miles of fiber optic cable to Boston, part of a $300 million-plus investment over six years the service provider is making in the city. Through the partnership, Verizon will attach wireless gear to city lights and utility poles for improved mobile service and expects to receive licensing to offer FioS television service in the region. Boston will trial Verizon’s Smart Cities technologies such as sensors and traffic signal controls, expanding to address environmental sensors, energy efficiency and city lighting management, according to Verizon.
Boston Gets Smart(er)
Verizon will invest more than $300 million to deliver fiber optic cable and an Internet of Things Smart Cities solution that controls traffic lights to ease congestion, manages city lights to save costs and resources and other IoT solutions to help the area's environment and economy.