Vertiv releases latest research on Edge Opportunity for Telecom Operators
Vertiv together with technology analyst firm Omdia has released a new report on the implications of the shift to edge computing for telecom operators and the best tactics and strategies for capitalising on edge growth.
The report ‘Telcos and edge computing: opportunity, threat or distraction?’ reveals that growth in edge computing could generate new revenue opportunities for operators. Omdia, formerly Ovum, says specifically that mobile and wireline operators can build a platform for the development of edge services while saving massively on costs by combining existing cell tower networks with central offices and aggregation points such as edge data centres.
The Omdia report also reveals that edge growth should open up new areas of competition, with 36% of those surveyed believing that network operators will be most important in the creation of new revenue services from edge. Application developers (30%) and public cloud providers (25%) are also seen as key edge players.
Julian Bright, senior telecoms analyst, Omdia and author of the research, comments, “Communications service providers (CSPs) believe they see a clear opportunity in the emerging edge computing market, but other potential players including public cloud providers and over-the-top (OTT) content players, are equally attracted by the prospect of delivering the edge. The size of share that service providers can expect to capture in the market for edge computing will depend on several factors. These include how successfully they can evolve their networks to support edge computing paradigms and avoid becoming mere connectivity providers.”
The Omdia report specifically addresses the role prefabricated modular data centres (PFM) will likely play in helping telecoms operators deliver future edge infrastructure, with the PFM market forecast to grow from $1.2 billion in 2018 to $4.3 billion in 2023. This projected growth is driven by telcos and the growth of edge computing, as well as overall growth by cloud service providers, the report highlights.
Alongside rapid deployment, energy efficiency is also a key concern for network operators. In a recently published update to a landmark 2019 survey commissioned by Vertiv – 2020: Same Hopes, More Fears – technology analyst firm 451 Research identified that the energy costs associated with edge and 5G connectivity remain a serious concern for operators.
To address these evolving needs, Vertiv is constantly developing new infrastructure, software and services to optimise energy use across the network together with telco partners and customers. The company’s efforts in this area have been recognized by the GSMA through a verified case study of Vertiv’s work with Telefónica, allowing both companies to be shortlisted as finalists for Best Mobile Innovation for Climate Action at the GSMA Global Mobile Awards (GLOMO).
“Edge computing is witnessing tremendous growth in India, opening up a lot of opportunities for the telecom sector. In order to implement the shift to the edge effectively, it’s imperative for network providers to be equipped with reliable and efficient infrastructure. At Vertiv, we have always followed through on our commitment to providing quality services and support to all our customers. Edge computing will help telecom providers take the next step towards their growth plans and this extensive report helps provide insight into the opportunities that lie ahead,” says Dinesh Dhut, senior director, telecom products and solutions, Vertiv India.
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