Open RAN is the only way to deploy 5G networks (5G Standalone)

The Indian telecom industry is at a crossroads today. As the Mobile Network Operators (MNOs) prepare for the 5G spectrum auction and launch of 5G services later this year, the industry needs to decide whether to continue with siloed legacy network architecture or adopt the new-age virtualized, and software-centric Open RAN technology.

A growing number of service providers, including MTN, Vodafone and Orange, among others, are realizing that Open RAN offers tremendous benefits, including a more vibrant ecosystem, network simplification and a significant drop in capital and operational expenses. In addition, it is empowering MNOs to cost-effectively enhance network performance.

Cumulative open RAN revenue from 2020 to 2025 is projected to be as high as $15 billion, with Open RAN likely to account for more than 10 per cent of the overall RAN market by 2025, according to a Dell’Oro report.

5G-led network transformation 

5G offers a perfect opportunity to the Indian MNOs to move away from hardware-centric monolithic networks for more agile, flexible and programmable networks. While Open RAN can be used in All G networks from 2G, 3G, 4G and 5G, it is a must-have for 5G as the technology demands a fundamentally different approach to network architecture.

With ultra-high-speed broadband and extremely low latency, 5G is an enabler for several new use cases like remote surgery, autonomous driving, immersive education, cloud gaming, smart city and Industry 4.0, among others. 5G is not entirely focused on the consumer segment, unlike previous communications standards. 5G promises to transform several industries, including logistics, manufacturing, healthcare, public safety and mining. Further, it is a more spectrally efficient technology and allows MNOs to connect more users simultaneously using the same infrastructure. The traditional network architecture is not geared for new use cases.

As of November 2021, there have been approximately 170 commercial 5G deployments covering 7 per cent of the global population, according to GSMA. About 25 per cent of the global connections will be on 5G by 2025.

Open RAN disaggregates hardware and software components of the network and enables MNOs to run software-based network functions on standard commercial-off-the-shelf (COTS) servers. Essentially this allows MNOs to procure different network components from different vendors, thus improving network economics and building a more vibrant partner ecosystem.

5G use cases can be divided into three categories: Enhanced Mobile Broadband (eMBB), Ultra-Reliability and Low Latency Communications (uRLLC), and Massive Machine Type Communications (mMTC).

Today, most of the 5G deployments are based on Non-Standalone (NSA), which uses the existing 4G network to provide better speed and network experience. eMBB is a natural evolution of 4G and offers faster data rates and superior user experience. So, while eMBB use cases are possible with 5G NSA, this is not true for uRLLC and mMTC use cases.

Several pathbreaking 5G use cases, using uRLLC and mMTC, like remote surgery, autonomous vehicles, and smart grids, need a 5G SA network. True 5G experience is only possible with 5G Standalone (SA), which uses 5G core and 5G radios.

Why 5G SA needs cloud-native Open RAN?

Open RAN that connects to 5G Standalone (SA) are ideal for new applications as they provide extreme reliability, improve latency, and allow more people and devices to use mobile data at the same time.

This year more and more MNOs are likely to transition to 5G SA and several 5G use cases will start to become mainstream. Global Mobile Suppliers Association (GSA) Research has identified 97 MNOs as investing in 5G SA (including those evaluating/testing, piloting, planning, deploying as well as those that have launched 5G SA networks) as of November 2021. Further, GSA has cataloged 20 MNOs as having deployed/launched 5G standalone in public networks.

5G use cases empower service providers to go beyond offering basic connectivity solutions. However, MNOs can leverage this opportunity only if they partner and collaborate with vendors, start-ups, content, and application developers. In this respect, Open RAN offers a significant advantage over legacy networks because Open RAN is inherently built to integrate a broad ecosystem of software and hardware vendors. Further, Open RAN provides unprecedented flexibility and scalability to meet 5G application requirements across different industry verticals with varying network demands for capacity, latency and performance.

Open RAN-based 5G SA ensures interoperability and network intelligence while reducing the Total Cost of Ownership (TCO). A cloud-native Open RAN solution also enables automation which is required to simplify network management and ensure scalable and agile network operations. It also ensures automated orchestration and management, which provides long-term benefits for the MNO, including Zero Touch Provisioning, Continuous Integration/Continuous Delivery (CI/CD) and Artificial Intelligence and Machine Learning (AI/ML)-enabled network monitoring and optimization.

Adding one more layer for new technology is only going to make the network more complex and difficult to manage. Cloud-native Open RAN that connects to 5G Standalone (SA) enables automation of network management, making the networks more agile, flexible and easier to manage. More importantly, it reduces the time-to-market for new services, improves profitability, and decreases network expenses.