CV_Spring_2021

5 G slicing is a crucial enabler of new business models and a key concept to empower the potential of 5G. Commu- nications service providers (CSPs) can slice their network assets using different criteria such as security or traffic types. Using network slicing, CSPs can offer varied service levels of network availability, throughput, latency, level of security and several other performance indicators. This lays the groundwork for a more controllable and flexible connection environment without modifying the underlying infra- structure’s properties that provide the raw network capabilities. A full slicing mechanism is expect- ed by 2024, at which point 5G slicing will generate $20 billion in revenue, according to global tech market advisory firm ABI Research. “There are three business drivers for 5G slicing. One, new services can be deployed with little or no disruption to existing services. Service agility is a challenge with today’s networks because the introduction of new servic- es necessitates reconfiguration of underlying networks,” said Don Alusha, senior analyst at ABI Research. Secondly, verticals can optimize network efficiency with a potentially lower cost. “Shared network infrastructure is used across multiple 5G slices, promot- ing better resource utilization and can, in theory, reduce integration scope and complexity,” Alusha continued. And third, “5G slicing enables verti- cal partners to bring to market a wider range of business services based on network slices that are customized in line with required service-level agree- ments and network key performance indications,” said Alusha. The extensive scope that charac- terizes the deployment of a 5G slice requires wider ecosystem maturity. In that regard, vendors are investing in propelling ecosystem cohesion and bulking up their 5G slicing capabili- ties. For example, ZTE has a compre- hensive portfolio that spans slicing management for core network, trans- port and access. Similarly, Amdocs, Ericsson, Huawei and Nokia are some vendors, among many others, that are designing 5G slice-specific packages that offer synergies with existing systems and networks. A full 5G slicing mechanism will involve interworking with a plethora of existing systems and interconnection among multiple vendors. Ultimately, widespread deployment of 5G slicing requires that the industry realign traditional ways of doing business to include knowledge of the enterprise environment. This domain inherently constitutes a foreign land for CSPs, and there is a risk attached. To that end, ABI Research suggests that CSPs should overhaul their internal structures. They should depart from the silo service model of today, an organizational arrangement that creates redundancies and inefficiencies. Further, according to ABI Research, the industry should build relationships with vertical partners to address their pain points better and eventually transi- tion from existing PoCs to commercial deployments. On the commercial front, work remains to be done for the indus- try to collectively identify 5G slicing business models to be adopted. “5G slicing is a journey for the indus - try,” Alusha said. “The foundation for basic use cases has already been estab- lished. For example, same vendor 5G slicing and campus/LAN deployments are expected to be commercialized in the next couple of years. “Multi-vendor implementations and WAN-type deployments are more challenging,” he concluded. “These capabilities will potentially be brought to market starting in 2023 and beyond, with a proliferation of 5G standalone core deployments, invest- ment in edge computing to develop low-latency use cases, and further industry consensus on how terminals can support network slicing.” o MOBILE & WIRELESS By Bruce Christian GRAB A SLICE 5G slicing set to propel network growth, revenue opportunities 24 CHANNEL V ISION | May 2021