ChannelVision Sept-Oct 2017

of its network, which is likely to cost hundreds of millions of pounds per year over several years, to meet the demand for data as it prepares for 5G to be introduced.  Despite this data “demand,” there is still work to do in identifying the right business models and revenue opportunities to monetize 5G. With 5G theoretically 40 times faster than the hypothetical limit of 4G, it will take a great deal of expensive up- grading of the current infrastructure to fulfil its claims.   It is evident that the infrastructure overhaul will be huge – and expen- sive. The 5G roll out will require the current mobile networks to be more wired, and the applications running on 5G need not just high bandwidth but also low latency. Similarly, ser- vice providers must ensure they have the correct protocols in place to unlock the potential of 5G. They will need to ensure they have an ef- fective Stream Control Transmission Protocol (SCTP) solution in place for Diameter signalling. As implementa- tions begin to roll out, the growth of Diameter will continue to acceler- ate so the need for a good transport layer should be a priority. If service providers aren’t prepared they could face not being able to carry the huge levels of traffic required by the host application to any and all of its pos- sible destinations. With this expensive upgrade in mind, will consumers be willing to pay more for 5G data to support this, and if not, how will operators pay for this new infrastructure? There is no clear plan as yet as to who will pay for this or how 5G can be monetized. If you look at the traditional business model, the service provider makes money from the subscriber, which the service provider then invests in new equipment and services. Yet, there is a danger of this chain being broken with 5G roll out. Service providers cannot guarantee that they will make money out of the subscriber because they’re not developing the new ser- vices for consumers to increase rev- enue. If service providers are going to play the long game, they have to understand where that monetization can come from. If they get it wrong, it precludes them from making money further down the line. Despite all this talk of 5G, there is still a lot that can be done to improve current 4G networks. Research from consumer watchdog Which? found that the rest of the U.K. is lagging behind London when it comes to ac- cessing 4G data services. Therefore, service providers perhaps should focus on developing a strong 4G service for subscribers and not be- lieve the 5G hype coming from OEMs that are desperate to develop new handset features that will require 5G capabilities. Service providers will need to have this front of mind when learning how the current 4G network can work alongside the development of 5G. In doing so, not only can they keep up-to-date with modern-day user Mobile & Wireless BIG WIRELESS SAVINGS Dynalink Communications is a Nationwide CLEC that caters to Agents by o ering Evergreen Agreements with No Annual Commitments. Visit us on the web to learn why Dynalink Communications is the Only Phone Company you will ever need. 35 % Savings upto AT&T Nationwide Coverage Agent Commission AwardWinning Support FreePhone Upgrades DynaLinktel.com 877.396.2546 Channel Vision | September - October, 2017 28