Startup Story: netElastic


Startup Stories

Tell us about your start up
netElastic is an innovative software company that provides high-performance routing solutions for broadband service providers worldwide. netElastic developed one of the first software-based (or virtual) broadband network gateways (vBNGs) and has been a leader in vBNG technology ever since. netElastic CGNAT helps broadband providers conserve IPv4 addresses while ensuring a smooth transition to IPv6. And netElastic’s software-based CGNAT offers the lowest TCO in the industry.

What is your USP?
For broadband service providers that want to grow their subscribers, and not their costs, netElastic’s software-based BNG and CGNAT (Carrier-grade NAT) provide the scalability and flexibility they need with the lowest TCO in the industry.

What is your relationship with the telecom sector?
netElastic sells BNG and CGNAT software to broadband service providers / internet service providers.

Why did you establish the business?
netElastic was formed by experienced telecom executives that wanted to bring the benefits of network virtualization to the telecommunications industry.

What does the future hold for your business?
The future looks incredibly bright for netElastic. With governments worldwide spending millions (and billions) of dollars to provide internet access to all citizens, netElastic is uniquely positioned to help broadband providers grow with scalable, flexible, and cost-effective software-based BNG and CGNAT solutions.

COMPANY CV
Headquarters: Santa Clara, California, United States
Number of employees: 10
Last funding type: Self-funding
Website url: www.netelastic.com
Founder: Jason Lu
CEO: Weixiao Liu

You can meet netElastic in the Startup Village at Connected America this March. Find out more here

5G+: Orange launches 5G standalone in Spain


News

Orange is the first operator in Spain to launch 5G standalone (SA) in Spain, a move it hopes will give it a competitive edge over rivals

Today, Orange has announced the launch of its commercial 5G SA network in Spain, dubbing the new service 5G+.

Orange’s 5G+ service (not to be confused with AT&T’s 5G service of the same name, which is not 5G SA) will initially be available only in Madrid, Barcelona, Valencia, and Seville, with further locations expected to be added later this year.

In these initial four cities, coverage exceeds 90%.

Customers will not face any additional charges for using the 5G+ service but will require a compatible device.

According to Orange, 5G+ will come with numerous benefits for customers, including improved indoor coverage (due to the use of native 5G bands), lower latency, longer device battery life, and improved security.

In addition, the technology will also enable network slicing capabilities for the first time, allowing the operator to create virtual ‘slices’ of spectrum for customers, which can be modified to meet their needs.

Despite the enormous hype generated by the mobile industry around the advent of 5G, the technology has thus far proved difficult to monetise for telcos.

This has been largely related to the type of network being deployed, with initial 5G deployments being deployed over non-standalone (NSA) architecture, coupling 5G RAN equipment with an LTE core. While this offers a considerable increase in speed and capacity compared to existing 4G services, it lacks the ability to deliver the ultra-low latency and high-capacity connectivity needed for some of 5G’s most highly anticipated use cases, like extended reality (XR) and autonomous driving.

Without these exciting new capabilities, consumers have proven reluctant to pay a premium for a 5G service they largely view as little more than a speed boost.

5G SA, on the other hand, replaces the LTE core with a 5G core (in Orange’s case, using technology from Ericsson, Nokia, and Oracle Communications), delivering the major improvements to latency and capacity required to unlock some of these more exciting use cases.

As such, 5G SA has been marketed by some in the industry as ‘real 5G’, finally delivering on the promised hype. Indeed, in its press release, Orange itself suggests that its 5G+ network will allow for the ‘full exploitation of all 5G capabilities’.

The operator hopes that these more advanced capabilities will naturally allow for novel 5G monetisation opportunities in both the consumer and enterprise segments, helping to enable everything from industrial XR to cloud gaming.

But despite the hopes pinned upon 5G SA to deliver ‘real 5G’, the wider telecoms industry has been slow to make the switch to the new technology. While many operators hoped to have the transition completed in 2022, recent research from Dell’Oro Group showed that only 39 operators worldwide have so far deployed 5G SA.

So why the delay?

The answer is both technical and economic in nature. The move from NSA to SA 5G architecture is incredibly complex – seemingly more so than initially anticipated by operators around the world. In the UK, for example, BT’s CTO Howard Watson described the shift as a “sea change in the underlying architecture” late last year, telling journalists the company would take their time to ensure a smooth transition.

Meanwhile, the global economic situation is making network rollouts more expensive and reducing customer spending, leaving operators unsure if they will be able to get a quick return on investment.

As a result, we are left with a mobile industry in no major hurry to upgrade to 5G SA, but is instead happy to bide its time and wait to learn lessons from early adopters ­– including Orange.

Want to keep up to date with all of the latest news from the international telecoms sector? Click here to receive Total Telecom’s daily newsletter direct to your inbox

Also in the news:
China Mobile and China Telecom withdraw from Sea-Me-We 6 project
CityFibre’s network up and running in Inverness
KDDI selects Samsung for its 5G Standalone core

China Mobile and China Telecom withdraw from Sea-Me-We 6 project


News

Reports suggest that the companies withdrew their investment last year, with geopolitical tensions with the US proving insurmountable

According to a report from the Financial Times, China’s two largest mobile operators – China Mobile and China Telecom – have withdrawn their participation in the South East Asia-Middle East-West Europe 6 (Sea-Me-We 6) submarine cable project.

The Sea-Me-We 6 system was first announced last year, with the cable set to span some 19,200km linking Singapore to Marseille, France.

The latest in a series of Sea-Me-We cables, this new iteration is set to be built with 10 fibre pairs, with a total capacity of 126 Tbps, aiming to deliver robust connectivity across South Asia.

The system will reach 12 initial countries, with branches to further locations expected to be added later in the cable’s lifespan.

The project is backed by a consortium including major companies from all over the world, including Microsoft, Orange, Telecom Egypt, Telekom Malaysia, Telin, and all three of China’s major mobile operators: China Unicom, China Mobile, and China Telecom.

The entire project is estimated to cost around half a billion dollars, with China Mobile and China Telecom’s combined investment accounting for around 20% of that total.

The Sea-Me-We 6 system is expected to be ready for service in 2025.

The China Mobile and China Telecom appear to have withdrawn quietly last year, with sources suggesting that they cancelled their involvement after American firm SubCom was selected to build and deploy the cable over Hengtong Marine, China’s foremost fibre cable manufacturer.

China Unicom, the smallest of China’s three mobile operators, seemingly remains involved in the project.

While the loss of around 20% of the projects funding is surely painful for the rest of the consortium, an anonymous consortium member commented that the loss of the Chinese firms was “important but not critical”.

The withdrawal is seen by many as the latest evidence of the ongoing geopolitical conflict between the US and China, with the submarine cable industry having been increasingly pulled into the fray over the past three years.

Since 2020, the US has viewed subsea cable systems connecting the US to China and Hong Kong as potential threats to national security, having refused to permit their activation on numerous occasions.

Want to keep up with all of the latest submarine cable network news from around the world? Join the discussion at the live Submarine Networks EMEA conference

Also in the news:
Comcast signs deals worth $50m with State of Indiana for rural fibre expansion
Verizon records 5G upload speeds of over 1Gbps
Yorkshire Water partners with BT for smart water project

CityFibre’s network up and running in Inverness


Press Release

CityFibre, the UK’s largest independent full fibre platform, has completed the primary-build of its full fibre network in Inverness. The new network is now ready for service to over 28,000 homes, representing over 90% of the city’s residential properties, as well as businesses, key public sector and community sites.  

Inverness is the fifth location (second in Scotland) in CityFibre’s nationwide rollout to reach the primary build complete stage, making it one of the best-connected locations in the UK. 

Construction began on the £24.5m project in 2019 and CityFibre has since laid over 400km of dense full fibre infrastructure across the city. While the primary build is complete, CityFibre’s work will continue to reach further areas including properties on private or unadopted roads, new build sites and business parks.  

Access to the network enables local communities to enjoy affordable, gigabit-capable, and reliable full fibre broadband from a range of internet service providers (ISPs) including Vodafone, TalkTalk, BrawBand, Zen, Brillband, Zybre and Giganet. All homes passed by the network can schedule a full fibre installation within five working days of placing an order or find out when their home has been made ready for service. 

CityFibre’s private investment in Inverness followed the award of a public sector contract via Capita, part of the Scotland-wide SWAN programme. The project has seen future-proof gigabit-capable full fibre rolled out to schools, libraries, offices, hospitals, health centres and university campuses. In total, over 150 public sector sites across Inverness, Fort William, Thurso and Wick have been connected. 

A recent report by the consultancy Hatch, commissioned by CityFibre, found Inverness stands to benefit from significant economic, social and environmental impacts from its new digital infrastructure platform, including over £100m in productivity and innovation gains alone. It also reported an expected £46m increase in the value of local homes as a result of the project, thanks to the availability of vastly improved internet speed and reliability. 

Allan McEwan, Area Manager at CityFibre, said: “Our rollout in Inverness marks an exciting step forward for digital connectivity across the city. With the UK’s finest full fibre network under its streets, residents, businesses and the city as a whole will reap the benefits for generations to come. We want to thank the local community and key partners, including the Highland Council, for their support as we have completed the rollout. 

“Inverness is a city filled with opportunity and ambition, which is why it has always been such an important build for us. Full fibre is vital for the UK’s long-term growth, and we look forward to building on our previous success powering the city’s future economic development.” 

Drew Hendry, MP for Inverness, Nairn, Badenoch and Strathspey, said: “The transformation of Inverness into a full fibre city is a hugely welcome step towards ensuring the Highlands thrive today and tomorrow, with a successful Inverness City at its heart. This commercial investment from CityFibre has been instrumental in sparking competition, encouraging wider investment and ensuring broadband users across the region get a better deal when it comes to their connectivity at home.  

“This is a major boost for residents, businesses and services alike, and we look forward to harnessing the power of full fibre to drive growth and inclusion across the region.” 

Cllr Ken Gowans, Chair of the Economy & Infrastructure Committee at The Highland Council, said:CityFibre’s rollout of full fibre across Inverness marks the beginning of a new and prosperous digital era for the city. Digital infrastructure has become the cornerstone of modern day-life, and we are delighted with how the technology is already improving their professional and personal lives.  

“The completion of the private network across the city follows the successful rollout of the public network last year. With many key buildings being brought onto the network during the Covid-19 pandemic, it has proven to be an invaluable resource for the city, and we are excited to see the completed project continue to build on this success.” 

Are the UK’s fibre network operators rolling out infrastructure quickly enough to meet government targets? Join the ecosystem in discussion at this year’s Connected North conference live in Manchester

Also in the news:
Comcast signs deals worth $50m with State of Indiana for rural fibre expansion
Verizon records 5G upload speeds of over 1Gbps
Yorkshire Water partners with BT for smart water project

KDDI selects Samsung for its 5G Standalone core


Press Release

Samsung Electronics today announced the company has been selected by KDDI to provide its cloud-native 5G Standalone (SA) Core for the operator’s commercial network across Japan. Samsung’s 5G SA Core will deliver a range of advantages for KDDI’s network, including lower latency and high reliability as well as 5G-enhanced capabilities. This ushers in a new generation of services and applications available to KDDI’s consumers and enterprise customers.

Samsung’s 5G Core solution supports both 4G and 5G networks, offering seamless migration from 4G to 5G. The company’s 5G Core is also designed with critical features to ensure the stability and reliability of the network such as an overload control feature to counteract sudden traffic spikes as well as geo-redundancy support. For geographic redundant deployment, Samsung and KDDI are operating multiple cores in various locations, with each core dimensioned to pick up loads in case one of the active cores becomes unavailable due to traffic bursts or natural disasters.

“We strive to provide the best mobile experiences to our customers through network innovation and our advanced 5G SA network will offer immense capabilities,” said Toshikazu Yokai, Managing Executive Officer, General Manager of Mobile Network Technical Development Division at KDDI. “With Samsung’s 5G SA Core, we will offer unprecedented speed, instantaneous connectivity and high reliability which could bring numerous new experience value for consumers and enterprises. We look forward to continue advancing 5G networks to stay ahead of our customers’ needs.”

“KDDI has been at the forefront of opening up the next frontier of 5G services and we are proud to see our long-term collaboration deepen with new opportunities as we drive continuous innovation and realize technology vision together,” said Junehee Lee, Executive Vice President, Head of Global Sales & Marketing, Networks Business at Samsung Electronics. “We look forward to continuing our collaboration with KDDI to reshape the 5G services landscape in Japan and achieving new 5G milestones.”

The standalone architecture will enable KDDI to create an independent 5G network, enabling lower latency capabilities that are essential to high-performance use cases such as smart factories, automated vehicles, cloud-based online gaming and multi-camera live streaming at sporting events.

Samsung’s 5G Core will also enable KDDI to optimize network slicing  a feature that requires a full 5G SA Core. Network slicing divides a single physical network infrastructure into multiple virtual slices, where each slice is dedicated for a specific user case or application. With this feature, a single network can dynamically support multiple 5G use cases and applications at once, accelerating the delivery of new services and meeting the tailored demands of enterprises and consumers. For instance, operators can create a low latency slice for automated vehicles, an IoT slice for smart factories and a high bandwidth slice for live video streaming  all within the same network.

With the deployment of 5G SA Core, Samsung is providing a wide portfolio of its 5G solutions to KDDI — ranging from RAN to Core. In their collaboration, Samsung has been providing its 5G network solutions which support the operator’s low-, mid- and mmWave spectrum bands  including Massive MIMO radios.

For more than a decade, the two companies have been working together, hitting major 5G networks milestones including KDDI’s selection of Samsung as a 5G network solutions provider and 5G network rollout on 700MHz. Recently, KDDI and Samsung announced the industry’s first demonstration of Service Level Agreements (SLA) assurance network slicing using a RAN Intelligent Controller (RIC) on a live 5G SA network and the initiation of the commercial deployment of Open virtualized RAN (vRAN) sites in Osaka, which is also the world’s first commercial MU-MIMO implementation with O-RAN compliant multivendor interoperability.

Samsung has pioneered the successful delivery of 5G end-to-end solutions including chipsets, radios and core. Through ongoing research and development, Samsung drives the industry to advance 5G networks with its market-leading product portfolio from virtualized RAN and Core to private network solutions and AI-powered automation tools. The company is currently providing network solutions to mobile operators that deliver connectivity to hundreds of millions of users around the world.

Keep up to date with all the latest telecoms news with the Total Telecom newsletter

Also in the news:
Comcast signs deals worth $50m with State of Indiana for rural fibre expansion
Verizon records 5G upload speeds of over 1Gbps
Yorkshire Water partners with BT for smart water project

Ofcom launches review into telco price hikes


News

With most broadband providers set implement inflation-linked mid-contract price jumps, the regulator is set to investigate whether their customers are being sufficiently informed

Last month, following the publication of Office of National Statistics inflation data, most of the UK’s mobile and broadband operators confirmed that they would, as feared, be increasing their contract prices in line with inflation.

Customers can expect to be hit by an average mid-contract price hike of around 14.4%, most of which will come into effect between March and April this year.

But the question is, do customers know this increase is coming?

The legality of mid-contract price hikes is well established in consumer law, but how these increases are communicated to customers is highly varied. Some communication services providers (CSPs) include planned price increases in the fine print of the contracts themselves, while others typically give customers 30 days’ notice of any incoming increase to their bills.

But at a time when the cost-of-living crisis is piling pressure on consumers, Ofcom is keen to be especially vigilant to ensure customers know what they are getting into when they sign a connectivity contract.

In December last year, the regulator launched an industry-wide enforcement programme, seeking to ensure CSPs are making the pricing terms in their contracts both prominent and transparent.

The programme was built on the results of a preliminary investigation into the matter, which found that that around one in three customers did not realise their CSP could legally increase the price of their contract, with far fewer understanding how these increases would be calculated.

Now, Ofcom has announced that they will take this investigation process one step further, launching an official review into whether customers are given “sufficient certainty and clarity about what they can expect to pay”.

“Customers need certainty and clarity about what they will pay over the course of their contract. But inflation-linked price rises can be unclear and unpredictable. So we’re concerned that providers are making it difficult for customers to know what to expect,” said Cristina Luna-Esteban, Ofcom’s Director of Telecoms Consumer Protection. “We’re taking a thorough look at these types of contract terms, to understand fully the extent to which customers truly know what they’re signing up to, and whether tougher protections are needed.”

The review will particularly explore the ways in which inflation and percentage-linked price rises are communicated to customers.

Initial findings from the probe are expected to be published later in the year.

Are operators doing enough to support their customers during the cost-of-living crisis? Join the discussion with the UK’s telecoms ecosystem at this year’s live Connected North event

Also in the news:
Comcast signs deals worth $50m with State of Indiana for rural fibre expansion
Verizon records 5G upload speeds of over 1Gbps
Yorkshire Water partners with BT for smart water project

Jurassic Fibre, Swish Fibre, Giganet and AllPoints Fibre consolidated into single fibre operator


Press Release

Fern Trading Limited today announced that it is consolidating Jurassic Fibre, Swish Fibre, Giganet and AllPoints Fibre into a single Fibre To The Premises (FTTP) operating entity to accelerate full-fibre delivery in the UK.

The combined group’s Internet Service Provider (ISP) brands will accelerate delivery of a ‘fast and fair’ full fibre offering for retail customers across the enlarged network.

The businesses will combine their regional operations and create a national wholesale network during the course of 2023.

The industry has seen considerable investment and growth in recent years as operators build market momentum and value. The unification of the four businesses will enable them to combine their resources, knowledge and expertise to hasten and grow full fibre network access across the UK.

Jarlath Finnegan, currently CEO of Giganet, will lead the combined group moving forward. He said: “All four companies are excited to build upon the solid foundations they have built over the last few years as a combined force. Together, we will become even stronger through exceptional customer service, combined with a relentless focus on technology and product. We’re looking forward to expanding our presence across the country and providing even more customers with access to full fibre connectivity”.

John Browett, chairman of Fern Trading’s fibre division, said: “In the coming years, the UK fibre market is going to experience exponential change, driven by the massive need to ensure homes and businesses in every part of the UK have access to a fast and fairly priced internet service. We expect to see continued consolidation within the industry, and by combining these successful businesses now, we will be in a fantastic position to take advantage of those market opportunities as they unfold. Our ambitions have always been high, but today represents the start of even bolder aspirations for our place in the UK fibre sector”.

How is the UK’s altnet landscape changing in 2023? Join the discussion with the operators themselves at this year’s Connected North conference live in Manchester

Also in the news:
Comcast signs deals worth $50m with State of Indiana for rural fibre expansion
Verizon records 5G upload speeds of over 1Gbps
Yorkshire Water partners with BT for smart water project

Comcast signs deals worth $50m with State of Indiana for rural fibre expansion


News

The move will see the operator take aim at Indiana’s digital divide, seeking to connect some of the state’s most remote communities with fibre broadband

This week, Comcast has announced that it has signed a number of contracts with Indiana’s Office of Community & Rural Affairs (OCRA), aiming to deliver fibre services to rural locations throughout the state.

The deals are part of Indiana’s Next Level Connections Broadband Grant Program, with Comcast partnering with both state and local governments to deploy around 1,200 miles of fibre. These fibre deployments will impact over 10,000 homes and businesses in 19 counties within Indiana.

In total, the deals are worth roughly $50 million, with Comcast investing $36 million and the state of Indiana investing $13.6 million.

“Next Level Connections is used as a model by other states to deliver the best tech infrastructure to rural areas,” explained Indiana’s lieutenant governor Suzanne Crouch, who also serves as Secretary of Agriculture and Rural Development. “The investments made by Comcast and other partners will not only benefit residents and businesses but also contribute to Indiana’s rural economic engine.”

According to Comcast, the network expansion will be completed within two years.

Comcast notes that it has already invested around $500 million in Indiana over the past three years to expand and upgrade its existing broadband networks.

Are US operators doing enough to reach rural customers with high-quality connectivity? Join the discussion at this year’s Connected America conference

Also in the news:
Bouygues Telecom lays out 2G and 3G sunsetting plans
Ofcom leans towards permitting Openreach’s Equinox 2 price cuts
Nokia: The new Metaverse and our 2030 Vision

Oracle lines up $1.5bn cloud investment in Saudi Arabia


Press Release

With the expanded footprint, Oracle will operate six cloud regions in the Middle East

To meet the rapidly growing demand for its cloud services, Oracle today announced plans to open a third public cloud region in Saudi Arabia. Located in Riyadh, the new cloud region will be part of a planned US $1.5 billion investment from Oracle to expand cloud infrastructure capabilities in the Kingdom. The Oracle Cloud Riyadh Region will join the existing Oracle Cloud Jeddah Region and the planned Oracle Cloud Region to be located in the futuristic city of NEOM.

This investment is included in an MoU that Oracle has signed with the Ministry of Communications and Information Technology (MCIT) to help Saudi Arabian businesses take advantage of the latest innovations in the cloud. The MoU was signed during Oracle CEO, Safra Catz’s recent visit to Riyadh in the presence of His Excellency Eng. Haitham AlOhali, Vice Minister, Ministry of Communications and Information Technology (MCIT).

To quickly meet the requirements of its growing cloud business in Saudi Arabia, Oracle will also expand the capacity of the Oracle Cloud Jeddah Region.

“In the last century, Saudi Arabia transformed its economy by developing the infrastructure needed to produce, refine, process and transport hydrocarbons. This century we are committed to creating the digital infrastructure that will underpin future economies,” said His Excellency Khalid Al-Falih, Minister of Investment. “Oracle’s decision to expand its cloud computing capacity in the Kingdom will play a key role in unlocking the opportunities that rapid technological advancements are creating. MISA will continue in its quest to enable the building of a robust digital infrastructure, by creating an attractive environment for these investments – for example, by establishing special economic zones that are tailored to particular industries such as cloud computing and digital transformation.”

As part of the MoU, Oracle will also work with MCIT and the Communications and Information Technology Commission (CITC) to establish a commercial and operational model for an additional cloud region in Saudi Arabia that is aligned with Saudi government requirements and local data residency regulations. Oracle will also work with MCIT to help foster the development of Saudi Arabia’s cloud industry.

Unique among hyperscale providers, Oracle Cloud Infrastructure (OCI) offers customer choice to deploy OCI based on regulations, data residency, or latency requirements. OCI distributed cloud includes its public regions, Dedicated Region, Oracle Exadata Cloud@Customer, multicloud offerings, and recently-announced Oracle Alloy.

“Oracle’s investment will rapidly accelerate the cloud transformation across Saudi Arabia’s business and public sector,” said Richard Smith, Executive Vice President, Technology – EMEA, Oracle. “Oracle Cloud delivers pioneering innovation in technologies like AI, Machine Learning, and IoT, and it will help fuel the economic growth and digital transformation that is an integral part of the Saudi Vision 2030.”

Want to keep up with all of the latest international telecoms news? Sign up now to receive Total Telecom’s daily newsletter

Also in the news:
Bouygues Telecom lays out 2G and 3G sunsetting plans
Ofcom leans towards permitting Openreach’s Equinox 2 price cuts
Nokia: The new Metaverse and our 2030 Vision

Bouygues Telecom lays out 2G and 3G sunsetting plans


News

The French operator said it will shut down its 2G networks in 2026, followed by its 3G network in 2029

This week, Bouygues Telecom’s B2B Market Director, Jean-Christophe Ravaux, has been quoted by French news media L’Usine Digitale suggesting that the company still has a few years to go before shutting down its 2G and 3G networks.

According to the article, Ravaux says that the French mobile operator is aiming to shut down its 2G network in 2026 and its 3G network by 2029.

“The closure of these networks is a fundamental trend because these technologies are coming to an end,” he said. “That’s why it makes sense to reallocate these frequencies to 4G and 5G for better quality of service. This is the meaning of the story. We have therefore decided, after studying the interest for our customers, to switch off our 2G network at the end of 2026 and our 3G network at the end of 2029.”

This schedule is roughly in-line with that the company’s local rivals; Altice France (SFR) said earlier this year that they are also aiming to decommission their 2G network in 2026 and their 3G network by the end of 2028, with Orange saying it would target 2025 for the shutdown of 2G and 2028 for 3G.

It is worth noting here that strategies regarding the shutdown of 2G and 3G networks vary widely from market to market. In the UK, for example, all of the national mobile operators have committed to shutting down their 3G networks by the end of 2024, though 2G networks may, in some cases, remain operational until 2033.

This is because 2G networks provide a useful low-power fallback, is well suited for machine-to-machine communications (such as for smart meters), and in some cases is the only network available in some of the country’s most rural regions.

France’s neighbour Germany has been even faster to sunset these older networks, with all of the country’s mobile operators having shut down their 3G services already, and most targeting 2G decommissioning by the end of 2025.

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Bullish Jansen questions need for choice