The emergence of 5G technology has aroused people's expectations and excitement.

As the industry prepares for change, it is critical to understand how to fully exploit the potential of 5G.

Connect everything and change people's lives! Every "G" and technological advancement in the telecommunications industry directly affects people's lives and provides catalysts and channels for the formation of scalable shared value business and social innovation. Now is the perfect time to reflect on key trends and areas of transformation, with a particular focus on (programmable) networking and how to achieve completeness through the “four pillars” of design, namely higher performance, sustainability, openness and automation. The value of 5G.

So in today’s “era of convergence and consolidation,” let’s take a look at what this means for the future of the telecoms industry and beyond, including exploring transformation vectors, opportunities for communications service providers (CSPs) and the focus on radio and transmission. In other words, it’s time to change the way we think about the network—from focusing solely on network exposure capabilities to integrating the network with the cloud and artificial intelligence (AI) as the foundational center of innovation in today’s mobile-first world.

transition vector

Catalysts for business and social transformation are evolving, accelerating and converging, from the energy transition and net zero, to IT/OT convergence, (the integration of information technology systems with operational technology) industrial automation, supply chain resiliency, multi-vendor environments, hybrid The convergence of architecture with data, applications and devices, and the increasing diversity, scope, scale and complexity of cybersecurity threats.

In the security space alone, the scale and complexity of the challenges are evident, from the rise of nation-state actors and organized crime group (OCG) activity, to the speed of ransomware threats, and the double-edged sword of artificial intelligence and GenAI. Both can be used to avoid risks; or, equally, to actually create them, such as the increase in machine learning poisoning seen through large language models (LLMs).

Strengthening ecosystem collaboration is a growing trend, as exemplified by Ericsson's recent $14 billion deal with AT&T. This is the largest OpenRAN deal in the industry and demonstrates the focus on open network architecture, with the two companies also recently completing the first CloudRAN call.

Other vectors of change include infrastructure cloudification, the move to horizontal architectures with vendor diversity, and the potential around open interfaces. Additionally, the role and impact of legislation comes into focus, from regulatory rules in the mobile telecommunications mergers and acquisitions (M&A) space to artificial intelligence and GenAI governance.

Specific cost pressures continue to mount rapidly, including high spectrum fees and fundamental data challenges affecting all industries, with data fragmented across on-premises, hybrid and multi-cloud environments. You know, the average annual organizational cost of poor data quality is very high. It’s clear that even in today’s “artificial intelligence era,” data remains a differentiator.

Leveraging the evolving capabilities of 5G networks to create new value pools is critical for service providers to achieve profitable growth.

Photothermal power generation business opportunities

To sum up, the complex and dynamic landscape will naturally affect CSP business opportunities and the potential to create new value. Ericsson highlighted four key areas in its "Mobile Business Review Report 2024".

• Enhanced Mobile Broadband (eMBB) - a more efficient and superior version of 4GMBB
• 固定无线接入(FWA)和无线广域网-适用于住宅和企业领域，提供更高的每用户平均收入(ARPU)。在美国等市场，FWA作为一种促进宽带入户的一种手段，显示出显著增长。
• Differentiated connectivity solutions – including enterprise private networks, time-critical communications, and network slicing for consumers or enterprises using public 5G independent connectivity
• Innovation, ecosystem growth, programmable networking - Web APIs enable app developers to innovate at scale

As the Ericsson Mobile Report highlights, the number of global 5G users has increased to 1.6 billion, equivalent to 18% of all mobile users, and global CSPs are providing or exploring services and go-to-market models. Today, approximately 290 5G networks are already in commercial use, with more than 40 of them serving their customers based on the more advanced 5G standalone technology (5GSA). This ability to deliver high-performance, differentiated networks on 5G SA heralds the next phase of growth, unlocking opportunities for performance-based business models while increasing developer accessibility to network capabilities through open APIs.

Looking ahead, in today’s “era of convergence,” Ericsson’s research aligns with broader research such as Capgemini’s “5G and beyond,” which highlights the need for effective monetization strategies while reflecting on the next wave of 5G The “cross-cutting theme” – bringing together 5G mobile networks, PN, satellite, NTN and mission-critical communications. This will further expand the network ecosystem’s ability to solve problems across multiple verticals and foster new business opportunities.

Radio and transmission

The ability to optimize innovation and minimize energy consumption? This seems like the perfect marriage of environmental, social and governance (ESG) goals and performance. Especially in the context where achieving and demonstrating energy efficiency in radio access networks (RAN) has never been more important, and considering that the majority of energy consumption within telecommunications networks actually originates from the RAN. A recent study by the GSMA Mobile Intelligence Unit estimated that this proportion is as high as 80%.

These radios are "hardware ready" to support the OpenRAN fronthaul interface. The long-range radios (Radio4823, Radio4461HP (High Power), Radio8873 and Radio8873HP) are built using the latest Ericsson system-on-chip (SoC). The new AIR3255 and AIR3284 models both feature next-generation MassiveMIMOSoC for beamforming, full uplink receivers and eCPRI, with more uplink accelerators and higher energy efficiency. It can be seen that the "future network" has been given life - it can be realized through three key steps: 1. Modernization; 2. Industrialization; 3. Transformation.

Shift to horizontal architecture, i.e. supplier diversity across architectural layers, including radio units. A range of efficiency, sustainability and energy-saving tools stand out, from eliminating fans with passive cooling, to features such as power amplifiers and deep sleep. Altogether, this makes Ericsson’s radio portfolio the most comprehensive and sustainable Open RAN (eCPRI based on Packet Fronthaul) radio portfolio in the industry.

Materials matter, smaller and lighter means fewer components and therefore lower power consumption. An example of this is Ericsson's 32T32RC band radio, which is already the lightest and smallest radio in the world and is getting even lighter and smaller! The launch of the AIR3255 is a groundbreaking massive MIMO TDD with a reduced carbon footprint 20%, while saving 25% energy.

Features such as new low-loss metal filters also come into play here. All in all, this represents a very impressive improvement - especially as it is combined with the network performance advantages brought by Ericsson chips. Additionally, the portfolio provides depth of coverage. For example, if you combine AIR3255 with 4486 and 4485 radios, you get the capacity to cover 7 frequency layers in one sector!