Taking the temperature of the telco market with EY’s Adrian Baschnonga 


Insight 

At Mobile World Congress (MWC) in Barcelona last month, we caught up with Adrian Baschnonga, EY’s Global (Technology, Media and Telecom) TMT Lead Analyst, to get his insights into the top trends of this year’s event

Having covered the telco sector for a long time coming to his first MWC in 2001, Adrian highlights the importance of events like this to be able to “take the pulse” of the industry. 

One of Adrian’s key takeaways of the event this year is the importance of ecosystems and partnerships, “detecting in comparison to previous years, a lot more openness in terms of collaboration and companies willing to work with each other. 

But it never used to be like this. Why does he think this has changed?  

“Because these days, no single company has all the competencies that their customers need, so bringing someone else in is essential, particularly when it’s an enterprise customer and they are looking at buying different technologies,” he says. “For example, if you’re providing 5G or IoT to a business, customers might want AI or analytics as part of that, so partnering would mean providing multiple services more easily.”

Every year, EY conduct the “Reimagining Industry Futures Study”, which aims to find out what do businesses want from emerging technologies (such as IoT, 5G, AI, or edge computing etc), and importantly, what do they think of the providers of those technologies. 

It’s there to get an enterprise customer perspective. What they are finding, is that business are investing in these technologies, and how do they combine these technologies together to create value and provide an integrated service portfolio. 

 Last year, EY published a list of its top 10 predicted risks for 2024, and concerns around security and privacy came up top. The list was an amalgamation of all the research that Adrian does. What is coming out from this research, is that telcos are trusted when it comes to protecting data, but when it comes “newer” things such as AI, they are asking questions on issues like data ethics, and so the bar on telcos having to protect their network and cyber resilience is raised.  

“It’s a consequence of the fact there is lot of technology change, coupled with the fact that telcos have got a decent track record, but they are having to spend increasing amounts on research on dealing with potential cyber breaches, so data and security is top of the agenda at the moment. 

Regardless of whether or not AI can be regarded as “new”, it was one of the main hot topics at the event that everyone was talking about. Underneath the shiny PR, how can telcos utilise it to its full extent? 

Adrian spoke on how AI has been around for a while, but Generative AI is newer. What EY are finding, is that a lot of companies are trying to find a way to harness the latest version of AI (Gen AI) within their preexisting transformation frameworks, that already have a measure of AI in them already. “They want to take this baby step approach to adaption rather than radical adoption. This is the key thing in at the moment – how do they include these exciting new technologies into their business models in a phased and structured way?” 

“How do they bring AI into their network, to improve energy efficiency for example, or to automate customer interaction. And choosing which ones are easiest to adopt right now versus which require some more work?” he continued. 

Bringing the conversation closer to home, Adrian discussed the current economic climate in the UK, the cost-of-living crisis in the UK, and how this is impacting competitiveness amongst telcos. 

The current cost of living crisis in the UK asks questions about the pricing models that telcos have. Customers want to see more pricing predictability, (according to recent EY research, 80% of people). They want more fixed priced guarantees, in a market where prices typically increase year on year. 

So, there is scope for operators to be more flexible, and transparent in how they are communicating their price, in exact number and not percentages. It’s all about how they can align to changing customer expectations. 

Going forward, customers may look for flexibility, such as pay as you go models. But it will be up to service providers to bring simplicity to their customers – and get rid of the advertising asterisks!  

Keep up to date with the latest telecoms news by subscribing to the Total Telecom daily newsletter 

Also in the news:
BT wins £26m contract to connect UK schools
Apple fined €1.8bn by European Commission over Spotify row
Japan to reduce regulatory pressure on incumbent NTT

Hormuud launches 5G in Somalia

Hormuud Telecom launched 5G in key locations across Somalia with 4G customers receiving free upgrades to the next generation technology starting from today (March 21). 

Subscribers will see their connectivity upgrade to 5G at no extra cost in the following locations: Mogadishu, Kismayo, Galkayo and Baidoa, Dhusamareeb, Beledwayne, Afgoye, Merca and Dhobley. The operator noted its 5G coverage across these locations is up to 81%. 

Hormuud highlighted how the the faster speed and reliability will be a significant tool for subscirbers that rely on mobile money services for business and leisure. 

The 5G service will provide speeds of 10Gbps/100Gbps/200Gbps/400Gbps based on request per single wavelength with a total capacity of 0.96Tbps/9.6Tbps/19Tbps/38Tbps.

Hormuud will offer customers an unlimited data plan that costs US$20 per month which it claimed rivals the most affordable in Africa. Hormuud customers use on average 5GB monthly, which is up from 1-2 gigabytes two years ago.

The new technology will support deployment of IoT products that will upgrade Hormuud’s disaster management systems, enabling the platform to monitor environmental conditions in real time through sensors. 

Hormuud noted 70% of Somalia’s population has access to 4G connectivity following the operator’s 4G network deployment that began in 2015. The company is aiming for 88% coverage in urban areas and 70% in rural locations. 

Minister of Telecommunication for the Federal Government of Somalia, Jama Hassan Khalif, said: “As Somalia strides towards stability, the launch of 5G services by Hormuud Telecom emerges as a critical milestone. This initiative is more than just a technological advancement; it’s a symbol of our nation’s commitment to growth and constant improvement.

“Enhanced connectivity is pivotal for Somalia, underpinning the growth of a resilient economy and empowered citizens – it’s about giving every Somali, their family, and their business, access to the digital tools they need to thrive.”

Hormuud Telecom CEO Ahmed Yusuf added: “We aim to ensure that the benefits of 5G – faster internet, improved services across sectors such as healthcare, education, and agriculture – become accessible to all, fostering a future where everyone can benefit, in myriad ways, from this advanced technology.

“This initiative is about more than just connectivity; it’s about empowering our communities, stimulating progress, and paving the way for a thriving, digitally inclusive society. »   

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Nokia breaks the mould with mmWave for FWA

Fixed Wireless Access (FWA) is an attractive play for many operators, and Nokia believes its potential can be further enhanced with the arrival of 5G FWA solutions using higher millimeter wave (mmWave) spectrum.

5G mid-band FWA already supports a number of different deployment scenarios. Fixed broadband operators are using it to complement fiber deployments, plugging coverage gaps and quickly building out their footprint to increase market share. Mobile operators are taking advantage of its fast time-to-market and low start-up costs to compete with fixed-fiber services.

Like all technologies, FWA comes with its challenges. In a recent operator study, Nokia found that mid-band FWA deployments are leaving 19 per cent of subscribers with low signal levels, resulting in wasted network capacity. Around 29 per cent of capacity in such cases could have been restored to the operator just by having the CPE device correctly positioned, either indoors or using an outdoors device, for optimal performance. Using outdoor antennas rather than indoor CPE at the cell edge could achieve a 62 per cent gain in network capacity, says the company.

As FWA users consume around 20 times more data than mobile uses, managing capacity is a key consideration in FWA deployments, to ensure neither FWA nor mobile services are compromised, and to protect an operator’s valuable investment in spectrum. Conserving radio resources from the start is far more efficient than later investments to upgrade the network or change devices to regain that lost capacity.

Employing 5G mmWave FWA at and above 24 GHz, with its resulting benefits in capacity and performance, is becoming increasingly attractive for operators, says Nokia.  

mmWave has already been successful at delivering wireless capacity in hot zones and high-traffic urban environments where limited range and signal attenuation don’t present a significant problem. This signal attenuation has led to a long-standing belief that mmWave is only for urban areas and it can’t really be used in other scenarios.

Not so, says Nokia. By advocating the deployment of mmWave as a capacity overlay to mid-band spectrum, Nokia says it can add much needed capacity for FWA subscribers that are within mmWave range from the base station, while freeing up the mid-bands for mobile broadband and more distant FWA subscribers. The operator study mentioned earlier found that 50 per cent of suburban FWA subscribers would be able to connect to and benefit from a mmWave capacity overlay.

Nokia is busting the myths around FWA mmWave with their advances in antenna technology and device intelligence. These advances mean that mmWave FWA can be deployed in non-line-of-sight locations (NLOS) and over far greater distances, says Nokia. The company has announced a new outdoor mmWave device, the FastMile 5Gmm Receiver that does exactly this. A 27dBi gain antenna overcomes propagation loss and weak signals. It also scans the environment in 360 degrees, using advanced analytics to create a fingerprint of the radio environment, and directing itself to the best signal that it receives. This means it can connect to signals from any direction, whether they are direct or reflected.

So, if something comes along that blocks the signal, such as a tree growing, the antenna can find another signal path including reflections, and continue to connect. This dispels another myth, says Nokia: that mmWave FWA doesn’t work in non-LoS conditions.

However, when LoS isn’t an issue, mmWave has another very attractive use case. In Australia, nbn is deploying Nokia’s mmWave technology in rural areas and achieving broadband speeds up to 1 Gb/s over a 7km range. Nokia has shown that its FastMile FWA technology can drive mmWave signals out over 12km. This makes FWA a compelling choice where the economics of deploying fiber broadband don’t make sense.

Ensuring a brilliant end-user experience is a key concern for Nokia. Network planning tools enable operators to look at radio capacity and cell site locations to know where to market their FWA services. The same data is then used at point of sales to validate the service levels for every new subscriber. An intelligent mobile application then guides the end-user or a technician to install their FWA CPE in the best position to maximize broadband performance and optimize capacity usage of the radio network.

Nokia FWA devices also enable operators to drive new revenues beyond connectivity. The Corteca software within Nokia devices uses application container technology so that enhanced features, such as cyber security or low-latency performance for gaming, can be downloaded to the FWA CPE and sold to subscribers as add-on services that increase ARPU.

When thinking about deploying FWA to connect homes and business, the mid-bands are still going to be the first choice for operators in most scenarios, says Nokia. But as FWA deployments continue to accelerate – industry experts expect 250 million FWA subscribers by 2028 – mmWave FWA is becoming a vital tool for preserving capacity and maintaining service levels. It will also prove valuable in helping operators meet their regulatory service coverage commitments and as a tactical deployment tool where fiber can’t be deployed, as nbn is demonstrating with its rural FWA service.

Nor will an mmWave FWA solution of the kind being deployed by nbn work for everyone, and it probably won’t be widely repeated. The need for a long-distance rural application meant that nbn had a specific network that they built for rural connectivity using 4G, and which was upgraded to mmWave. They had that total LoS environment, and in that kind of scenario it can be economic.

So even though deployment scenarios for mmWave over FWA may be very specific, Nokia is showing that this is a much more useful tool than everybody thinks.

Click here to know more about Nokia’s 5G mmWave FWA solution.

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Africell taps Perception to launch OTT mobile TV in Angola

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Belgian cable operator Telenet to enter EV market 


News

The move will begin on 1st April this year 

Belgian cable operator Telenet, which is wholly owned by Liberty Global, has announced that it will enter into the energy market in April as it launches its new service “Blossom”, which will be used for the installation and running of at home charging stations for electric cars. 

Blossom will be spun out as separate company under the Telenet group, which will initially focus on focus on installing and activating smart charging stations for the employees of companies, with private customers coming later. 

According to Telenet, there will be 1.7 million electric vehicles on the road in Belgium by 2030 with 65% of vehicle charging done at home. The estimate that 800,000 home charging stations will be installed by the end of the decade, but currently, say Telenet, the user experience is not adequate. 

The ambition behind the project is clear. According to a press release, Telenet aims for Blossom to “to become an ally to customers in the energy transition by providing innovative and simple home solutions. Specifically, Blossom will start offering a service to smartly charge electric vehicles at home. Initially, the focus will lie on the corporate market. In a later phase, Blossom will also offer charging services directly to self-employed workers and private customers.” 

Blossom will partner with Scoptvision, Optimile, and Unit-T, amongst others, to launch the company. 

“By placing renewed emphasis on the ongoing digitization of our society, as well as the rapid electrification of our mobility, we can optimize both the installation and management of home charging stations through a unique digital platform,” said Telenet CEO John Porter. “This way, we can simplify the lives of both employees and employers and create a win-win for both parties,” he continued. 

Parent company Liberty Global launched a similar service in the UK in 2022 with a venture called “Egg”. The service will, amongst other things, provide subscription-based electric vehicle charging. The subscription model had not been available in the UK before, and Liberty Global say “customers benefit from ongoing maintenance and technical support, all included in a monthly £30 fee and without any up-front fees”. 

This is a great example of a company in the broadband and telco industry going beyond their usual connectivity realm – and is the type of thing we’re looking for to win “The Beyond Connectivity” award at this year’s World Communication Awards – held in London this December.  

The winner of this award will have developed a product or service that moves beyond the traditional connectivity-based offerings, into new business areas or new market segments – enter now! 

Also in the news:
BT wins £26m contract to connect UK schools
Apple fined €1.8bn by European Commission over Spotify row
Japan to reduce regulatory pressure on incumbent NTT

Telekom Malaysia app streamlines prescriptions for pharmacies

Keep up-to-date with all the latest news, articles, event and product updates posted on Developing Telecoms.
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Virgin Media O2 Breaks New Ground with Smart Pole Trial  


News 

The trial will boost mobile capacity in dense urban areas 

British broadband and mobile operator Virgin Media O2 (VMO2) has announced its latest initiative – the Smart Pole Trial, in collaboration with shareholder Liberty Global.  

As part of the trial, VMO2 has erected 4G and 5G smart poles on their existing fibre network to help boost mobile network coverage and capacity. 

The poles are smaller than normal mobile masts and can be set up quickly and without regulatory hurdles such as planning permission. As VMO2 have approximately 25,000 street cabinet dotted across the UK, the trial allows for a wide scale rollout that would speed up network build, reduce costs and de-risk upgrade programmes.  

The company also claim that in a UK first, the electricity “is supplied by Virgin Media’s fibre network rather than a traditional power supply through innovative ‘digital electricity’ technology, which transmits power from on-street cabinets in the local area along fibre optic cables”. 

There is also the possibility that in the future, the smart poles could power smart city solutions and electric vehicle chargers using the company’s existing network. 

“As we continue investing to upgrade and expand our network, we’re always looking for new ways to work smarter and deliver more for our customers,” said Chief Technology Officer Jeanie York in a press release.  

“The ability to use our existing national fixed network to backhaul and power small cells could be transformational – helping us save time and money, open up new revenue streams, support smart city technology and fully leverage the benefits of our scaled converged network,” she continued. 

Keep up to date with the latest telecoms news by subscribing to the Total Telecom daily newsletter 

Also in the news:
BT wins £26m contract to connect UK schools
Apple fined €1.8bn by European Commission over Spotify row
Japan to reduce regulatory pressure on incumbent NTT