Nokia is planning to introduce multiple software-as-a-service (SaaS) for communication service providers (CSPs), in an attempt to give operators a less expensive, more flexible, and more customer-centric pathway for operating their network and delivering new services.

To seize the 5G opportunity, CSPs need to shift away from the legacy practice of deploying customized software for analytics, security, network management, and other functions, that run on costly, complex, on-premise infrastructure.

To drive that shift, Nokia’s approach to SaaS for CSPs is about improving value and reducing complexity by providing innovative software consumed purely on demand through a subscription, eliminating large up front capital expenditure; by avoiding the need to perform on-site software maintenance and updates; and by accelerating CSPs’ ability to launch new services faster and achieve “time to value” quicker.

As part of the line-up of SaaS services, Nokia data marketplace (NDM) is now commercially available through a SaaS framework to give CSPs an easy and secure way to share and access data. NDM was launched “as a service” earlier this year. The new SaaS version of NDM offers enhanced automation, efficiency and scalability to CSPs and enterprises in a variety of industry verticals, including energy, public sector, transportation, and smart cities.

For the 2021-2025 period, Nokia is targeting a SaaS addressable market, comprised of CSPs and enterprises, with a value of $3.1 billion and an annual growth rate of approximately 25-30%. Nokia is in discussions with several CSPs around the world about using its SaaS services, including security.

As it introduces SaaS services in a simplified delivery model, Nokia expects to combine these independent services into three high-value SaaS “suites” focused on Digital Engagement, Marketplaces and Networking, each composed of integrated SaaS services. Some SaaS services within these suites, such as security, will provide value across suite domains.

Nokia has other SaaS for CSP services that will be announced in early 2022.

Commenting on the development, Raghav Sahgal, president, cloud and network services Nokia, said, “The convergence of 5G, cloud native software and SaaS creates a great and fast-growing opportunity for Nokia. With the groundwork we have already been laying our SaaS delivery framework is in a very strong competitive position. It enables a combination of rapid time to value with on-demand access for Nokia SaaS applications and low cost of ownership, based on a pay-as-you-go / pay-as-you-grow commercial model. This is a multi-year journey and we are going at it aggressively.”