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Networking Solutions

Will Ericsson Be Able To Pave The Way For 5G Adoption To Help Increase Business Revenues?

By TD NewsDesk

TD NewsDesk

Updated on Fri, Sep 22, 2023

Overall Rating
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Yay, we got 5G! If only 5G deployments were that easy, right?

Well, a lot of companies are looking to get there and the ones that are already there are trying to improve it. In a bid to enhance the technology and its allied processes, Swedish multinational networking and telecommunications company Ericsson has partnered with Deutsche Telekom.

What are they doing though? Before we explore that, let’s clear up what 5G is all about.

What Is 5G?

  • To put it in the words of Ericsson’s website, “5G is the fifth generation of cellular networks. Up to 100 times faster than 4G, 5G is creating never-before-seen opportunities for people and businesses.”

  • 5G, the next iteration in cellular technology, offers faster connections, low latency and greater bandwidth.

  • These qualities are reshaping industries and societies by enhancing everyday operations and experiences. This includes boosting services such as e-health, connected vehicles, traffic systems and others.

  • Furthermore, Ericsson believes that the networking technology can “help create a smarter, safer and more sustainable future.”


So, What Is Ericsson Doing?

  • Recently, Ericsson announced it teamed up with Deutsche Telekom to offer a new set of software tools, known as Network Application Programming Interface (API).

  • The tools, aimed at business customers and developers, will help bring in more revenue for telecom operators and help developers create new mobile network-based use cases.

  • The software will be based off the Vonage platform, a company that was acquired by Ericsson in 2022 for $6.2 billion.

  • Speaking about the move, Börje Ekholm, the CEO of Ericsson, said, "We view the API business as a standalone business in itself, so we need to make that profitable by itself and the way the revenue split works is attractive for us and will be attractive for Deutsche Telekom"


What Other Efforts Are Being Made In This Direction?

  • STL Partners, a telecom research firm, believes that the revenue from mobile network APIs will reach $20+ billion by 2028. It’s no wonder that numerous companies are pushing to make the most out of the technology and Network APIs.

  • In fact, over 140 companies have got together to define, develop and test Network APIs on an open-source project, called CAMARA. This consists of companies such as Accenture, T-Mobile, Microsoft, Nokia, Orange, Telefonica, Verizon, Vodafone and even Ericsson among others.

  • CAMARA, which is within the Linux Foundation, works in close collaboration with the GSMA (Global System for Mobile Communications Association) Operator Platform Group to align and publish APIs.

  • Additionally, it’s become important for telecom operators to increase revenues and gain returns on the hundreds of billions of dollars they’ve invested in 5G infrastructure. One avenue they’ve turned toward is selling faster connections to businesses looking to automate factories.

  • To this, Borje Ekholm said, "They (operators) want to get more revenue, they will be able to sell features, whether it's speed, latency, location authentication, they are going to sell a lot of different things coming out of the network … That gives a new source of revenue they haven't had for a long time."

What do you think of Ericsson’s efforts? Do you think 5G will become the networking standard soon, thanks to such initiatives and partnerships?

Let us know in the comments below!

First published on Fri, Sep 22, 2023

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Networking Solutions Network API 5G Mobile Connectivity Mobile Solutions Ericsson Deutsche Telekom CAMARA

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