Vodafone
Vodafone: GenAI overhyped, will spend $151M to enhance its chatbot with AI
GenAI is probably the most “overhyped” technology for many years in the telecom industry, said Vodafone Group’s chief technology officer (CTO) Scott Petty at a press briefing this week. “Hopefully, we are reaching the peak of those inflated expectations, because we are about to drop into a trough of disillusionment,” he said.
“This industry is moving too quickly,” Petty explained. “The evolution of particularly GPUs and the infrastructure means that by the time you’d actually bought them and got them installed you’d be N minus one or N minus two in terms of the technology, and you’d be spending a lot of effort and resource just trying to run the infrastructure and the LLMs that sit around that.”
Partnerships with hyper-scalers remain Vodafone’s preference, he said. Earlier this year, Vodafone and Microsoft signed a 10-year strategic agreement to use Microsoft GenAI in Vodafone’s network.
Vodafone is planning to invest some €140 million ($151 million) in artificial intelligence (AI) systems this year to improve the handling of customer inquiries, the company said on July 4th. Vodafone said it is investing in advanced AI from Microsoft and OpenAI to improve its chatbot, dubbed TOBi, so that it can respond faster and resolve customer issues more effectively.
The chatbot was introduced into Vodafone’s customer service five years ago and is equipped with the real voice of a Vodafone employee.
The new system, which is called SuperTOBi in many countries, has already been introduced in Italy and Portugal and will be rolled out in Germany and Turkey later this month with other markets to follow later in the year, Vodafone said in a press release.
According to the company, SuperTOBi “can understand and respond faster to complex customer enquiries better than traditional chatbots.” The new bot will assist customers with various tasks, such as troubleshooting hardware issues and setting up fixed-line routers, the company said.
Vodafone is not about to expose Vodafone’s data to publicly available models like ChatGPT. Nor will the UK based telco create large language models (LLMs) on its own. Instead, a team of 50 data scientists are working on fine-tuning LLMs like Anthropic and Vertex. Vodafone can expose information to those LLMs by dipping into its 24-petabyte data “ocean,” created with Google. Secure containers within public clouds ensure private information is securely cordoned off and unavailable to others.
According to Petty’s estimates, the performance speed of LLMs has improved by a factor of 12 in the last nine months alone, while operational costs have decreased by a factor of six. A telco that invested nine months ago would already have outdated and expensive technology. Petty, moreover, is not the only telco CTO wary of plunging into Nvidia’s GPU chips.
“This is a very weird moment in time where power is very expensive, natural resources are scarce and GPUs are extremely expensive,” said Bruno Zerbib, the CTO of France’s Orange, at the 2024 Mobile World Congress in Barcelona, Spain. “You have to be very careful with your investment because you might buy a GPU product from a famous company right now that has a monopolistic position.”
Petty thinks LLM processing may eventually need to be processed outside hyper-scalers’ facilities. “To really create the performance that we want, we are going to need to push those capabilities further toward the edge of the network,” he said. “It is not going to be the hype cycle of the back end of 2024. But in 2025 and 2026, you’ll start to see those applications and capabilities being deployed at speed.”
“The time it takes for that data to get up and back will dictate whether you’re happy as a consumer to use that interface as your primary interface, and the investment in latency is going to be critically important,” said Petty. “We’re fortunate that 5G standalone drives low latency capability, but it’s not deployed at scale. We don’t have ubiquitous coverage. We need to make sure that those things are available to enable those applications.”
Data from Ericsson supports that view, showing that 5G population coverage is just 70% across Europe, compared with 90% in North America and 95% in China. The figure for midband spectrum – considered a 5G sweet spot that combines decent coverage with high-speed service – is as low as 30% in Europe, against 85% in North America and 95% in China.
Non-standalone (NSA) 5G, which connects a 5G radio access network (RAN) to a 4G core (EPC), is “dominating the market,” said Ericsson.
Vodafone has pledged to spend £11 billion (US$14 billion) on the rollout of a nationwide standalone 5G network in the UK if authorities bless its proposed merger with Three. With more customers, additional spectrum and a bigger footprint, the combined company would be able to generate healthier returns and invest in network improvements, the company said. But a UK merger would not aid the operator in Europe’s four-player markets.
Petty believes a “pay for search” economic model may emerge using GenAI virtual assistants. “This will see an evolution of a two-sided economic model that probably didn’t get in the growth of the Internet in the last 20 years,” but it would not be unlike today’s market for content delivery networks (CDNs).
“Most CDNs are actually paid for by the content distribution companies – the Netflixes, the TV sports – because they want a great experience for their users for the paid content they’ve bought. When it’s free content, maybe the owner of that content is less willing to invest to build out the capabilities in the network.”
Like other industry executives, Petty must hope the debates about net neutrality and fair contribution do not plunge telcos into a long disillusionment trough.
References:
Vodafone CTO: AI will overhaul 5G networks and Internet economics (lightreading.com)
Vodafone UK report touts benefits of 5G SA for Small Biz; cover for proposed merger with Three UK?
Vodafone UK report touts benefits of 5G SA for Small Biz; cover for proposed merger with Three UK?
A new Vodafone report claims that small businesses in the UK could be missing out on up to £8.6 billion (US $10.8 billion) a year in productivity savings due to the very slow rollout of 5G standalone (5G SA) [1.]. The report states:
• Based on current progress rates, and without further action, by 2030 the UK would rank 5th on this index, scoring lower that Denmark, Finland, Sweden and the Netherlands. The UK would lose its position as one of the foremost places in Europe to start a new business.
• But an accelerated rollout of standalone 5G (5GSA) would allow the UK to jump three places from its current position by 2030, becoming the second-best place in Europe for business to secure the connectivity and digital competitiveness needed to grow.
Note 1. Vodafone defines 5G SA as follows:
Standalone 5G (5G SA) refers to the rollout of 5G connectivity on an entirely new network, as opposed to building upon the existing 4G network. Whilst this enables the network to enjoy some of the benefits of superfast connectivity, 5G SA is not subject to the limitations of the 4G networks, and is therefore able to support high-density deployments, such as smart sensors and real time data sharing.
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The report cites agriculture as an example, where the use of 5G SA for activities such as real-time data monitoring and AI-based forecasting could help those laboring in the industry save on average at least 6% of their working hours.
In particular, the report’s sidebar on Agriculture states:
With agricultural activities tending to be much more spread out than other SME business operations, this means that having a reliable 5G-supported network is especially needed to reap the productivity rewards across new and exciting technological frontiers:
• Real-time data monitoring: Technologies like the Internet of Things (IoT) and real-time data sensors on a standalone 5G network can capture the status of virtually everything that farmers typically spend the most time on assessing: the weather, soil quality, and crop health.
By seeing data in real time, farmers can access the information they need and use technology to support decision-making for when to water crops or use pesticides – greatly reducing working hours and costs.
• AI decision-making and forecasting: With the wealth of uninterrupted data that can be collected on a standalone 5G network by smart technology, this enhances the information that AI can use to make more informed, faster recommendations to farmers than manually. AI programs can forecast things such as future crop health and optimised farming schedules to maximise crop yields.
• Precision machinery: New machine technology can also use data to determine more precise amounts of resources to use in the field for crop health, reducing wastage and saving time than if completed manually. Pioneering unmanned machinery, including for weeding and seeding, can save farmers more hours in the field to focus on other areas of the agricultural business.
Through a meta-analysis of surveys on how the 296,000 workers employed by agriculture SMEs typically spend their working times, we expect that they can save on average at least 6% of their working hours – or over 3.1 working weeks per worker – through a national standalone 5G network and the technologies it enables. This equates to all these workers collectively saving over 37.7 million working hours per year – delivering productivity savings of £112 million per year.
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A possible motivator of this report is Vodafone’s desire to complete its proposed merger with the UK’s Three, a deal that would allow Vodafone to rollout a nationwide 5G SA network. The report contends that a merger with Three would lift Vodafone from fifth to second place in a “European Index” that compares and ranks the competitiveness of each country’s 5G offerings for small businesses across 17 countries.
During a keynote at MWC Barcelona 2024, Vodafone Group CEO Margherita Della Valle commented that the proposed merger with Three will drive 5G “to all the areas that need it so badly.” She added “It will have a very positive impact on the U.K. economy. And we’ve also said it very clearly, we’re not going to change our pricing policies as a consequence.”
Vodafone said that it has committed to invest £11 billion ($13.9 billion) in 5G SA to cover 99% of the UK population by 2034 — should the merger with Three be approved by the regulators.
References:
https://www.fiercewireless.com/5g/vodafone-uk-sees-ps86bn-gain-smes-faster-5g-sa-rollout
https://www.fiercewireless.com/5g/three-ireland-launches-5g-standalone-ericsson
https://dgtlinfra.com/5g-standalone-sa/
Building and Operating a Cloud Native 5G SA Core Network
Global 5G Market Snapshot; Dell’Oro and GSA Updates on 5G SA networks and devices
Ericsson Mobility Report touts “5G SA opportunities”
Analysys Mason: 40 operational 5G SA networks worldwide; Sub-Sahara Africa dominates new launches
5G SA networks (real 5G) remain conspicuous by their absence
Where Have You Gone 5G? Midband spectrum, FWA, 2024 decline in CAPEX and RAN revenue
Vodafone Germany deploys Ericsson 5G radio to cut energy use up to 40%
Vodafone Germany has partnered with Ericsson to deploy new power-saving radio technology on its 5G network. The radio unit 6646 bundles three different frequencies (900, 800 and 700 MHz) and radio cells in one system in the control center located at the bottom of a mobile base station. By bundling the active technology, 5G base stations function with 32-40% less power.
The advantage of mobile radio stations with area frequencies is that they provide particularly large areas with stable and reliable mobile radio coverage. By bundling the active technology of different frequency ranges and several radio cells in one unit, they now require between 32 and 40 percent less energy, according to trials on the Vodafone network. Following successful tests in the North Rhine-Westphalia (NRW) region, the telecommunications group is now successively activating the technology in the live network together with its technology partner Ericsson.
The new energy-saving radio from Ericsson has been intensively tested in the live network in Wachtendonk in the Lower Rhine region over the past few weeks. The positive test results demonstrate an energy-saving potential of up to 40 percent per 5G base station and are the reason for today’s large-scale rollout. The new technology will be installed and automatically activated in NRW, Rhineland-Palatinate, Hesse, Saarland and Baden-Württemberg during routine maintenance and modernization work.
Test results on the Vodafone network show that energy requirements can be reduced by more than 2,500 kilowatt hours (kWh) per mobile phone site per year by bundling the active technology. This is roughly equivalent to the annual energy requirement of a two-person household per mobile phone station. If the technology is activated on a large scale in the network, significantly more than 30 million kilowatt hours of electricity can be saved each year. At the same time, stable and reliable network coverage will also be strengthened in rural regions.
Vodafone Germany CEO Philippe Rogge, says: “For the first time, we are bundling the active antenna technology of different area frequencies in mobile communications. This is good for smartphone users in rural areas and good for our planet. Because with the new technology, we are bringing fast and reliable 5G networks even better to people in rural areas and deep into buildings. At the same time, we are reducing the energy requirements of our mobile phone antennas. We expect to be able to save more than 30 million kilowatt hours of electricity per year with large-scale activation in our network.”
Daniel Leimbach, Head of Western Europe at Ericsson, says: “Energy consumption reduced by up to 40 percent, weight reduced by 60 percent – around a year ago, we celebrated a world premiere at the launch of the Radio 6646 at the Eurolab in Aachen. At the Imagine Live Innovation Day in the research and development center, our experts presented the innovative 5G technology for the first time. We are all the more pleased that Vodafone is convinced of its performance and energy efficiency and is installing the technology in the area. Because only innovations that are scalable, economical and powerful at the same time deliver the full benefits for mobile customers and sustainability.
The technology in Ericsson’s new radio:
Ericsson’s new remote radio combines the different 5G area frequencies 900, 800 and 700 MHz as well as the components of several radio cells into one compact system in a more sustainable way. By bundling three frequencies and several radio cells, the transmission technology consumes significantly less energy for each individual frequency range at full power. In addition, the new radio is 60 percent lighter and therefore requires less energy and material in the manufacturing process.
On the way to CO2 neutrality:
The new antenna product is another building block on Vodafone’s path to becoming more sustainable step by step. The Düsseldorf-based company has set itself specific targets to be CO2-neutral by 2025. The network is the biggest and most important lever here. Vodafone Germany has therefore been sourcing 100 percent of its electricity from renewable sources since 2020. It is also constantly testing new technologies and solutions to make the German mobile network more sustainable and conserve resources. For example, the dynamic energy-saving mode in the mobile network has already been ensuring an intelligent adjustment between actual energy demand and consumption around the clock for over a year.
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References:
Ericsson and Vodafone deploy new energy-efficient, light 5G radio in London
Ericsson and U.S. PAWR 5G SA network for rural agricultural research
TDC NET with Ericsson launch first 5G Standalone network in Denmark
Ericsson powers Singtel 5G SA core network; lightest and smallest Massive MIMO radio
Ericsson announces 5G standalone NR software and 2 new Massive MIMO radios
Vodafone Idea (Vi) is worth ZERO; needs additional liquidity support from lenders
While announcing its FY23 earnings, UK telecom company, Vodafone Plc said the Group’s carrying value of investment in Indian listed firm Vodafone Idea (Vi) is Zero. Also, that the Group is recording no further losses related to Vi. The troubled-laden Vi is still in need of additional liquidity and plans to raise funds going forward. In its FY23 report, Vodafone Plc said, “VIL remains in need of additional liquidity support from its lenders and intends to raise additional funding.”
Vodafone seems to be backing away from Vi. The business needs more money, that Vodafone is certainly not willing to provide, and that zero valuation indicates that it will put no more effort into saving it. There are significant uncertainties in relation to Vi’s ability to make payments in relation to any remaining liabilities covered by the mechanism and no further cash payments are considered probable from the Group as at 31 March 2023, it added.
“VIL [Vodafone Idea Ltd] remains in need of additional liquidity support from its lenders and intends to raise additional funding. There are significant uncertainties in relation to VIL’s ability to make payments in relation to any remaining liabilities covered by the mechanism and no further cash payments are considered probable from the Group as at 31 March 2023,” Vodafone said, in the notes to its consolidated financial statements for the 2023 financial year.
Furthermore, Vodafone said, “the carrying value of the Group’s investment in VIL is nil and the Group is recording no further share of losses in respect of VIL.”
It should be noted that Vi is the only Indian telco that has NOT yet deployed 5G services. Since the launch of 5G last October, Reliance Jio’s 5G services have become available in more than 400 cities and towns, while Airtel’s 5G services can be accessed in more than 500. Jio plans to provide all-India 5G coverage by December, with Airtel aiming for blanket availability by March next year.
Recently, Vodafone Idea complained to the Telecom Regulatory Authority of India (TRAI), accusing its rivals of predatory 5G pricing. Although it has been shedding customers for years, there can be little doubt that losses have accelerated since the launch of 5G. Vodafone Idea had lost about 7 million in the four months leading up to 5G’s launch in October last year. In the four months following the introduction of 5G services by Airtel and Jio, its losses soared to about 10 million.
Vodafone Idea is known to have a significant percentage of high-spending customers who have remained loyal to it. These customers typically show limited interest in lower tariffs, but many will have been drawn to 5G services available only from other telcos, with Vodafone Idea’s 5G plan nowhere close to fruition. Airtel and Jio, accordingly, are racing to build 5G networks and attract as many Vodafone Idea subscribers as possible.
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When Vodafone and Idea Cellular entered into an merger agreement in 2017, the parties had agreed to a mechanism for payments between the Group and Vodafone Idea, pursuant to the difference between the crystallisation of certain identified contingent liabilitiesin relation to legal, regulatory, tax and other matters, and refunds relating to Vodafone India and Idea Cellular. Cash payments s or cash receipts relating to these matters must have been made or received by Vi before any amount becomes due from or owed to the Group.
Hence, any future future payments by the Group to VIL as a result of this agreement would only be made after satisfaction of this and other contractual conditions. Thereby, the UK-based telco said, “Vodafone Group’s potential exposure to liabilities within VIL is capped by the mechanism described above; consequently, contingent liabilities arising from litigation in India concerning operations of Vodafone India are not reported.”
Vodafone Plc’s potential exposure under this mechanism is capped at ₹64 billion n (€719 million) following payments made under this mechanism from Vodafone to VIL, in the year ended 31 March 2021, totalling ₹19 billion (€235 million).
In FY23, Vodafone Plc’s revenue increased by 0.3% to €45.7 billion driven by growth in Africa and higher equipment sales, offset by lower European service revenue and adverse exchange rate movements. While adjusted EBITDAal declined by 1.3% to €14.7 billion due to higher energy costs, and commercial underperformance in Germany.
References:
https://telecoms.com/521728/vodafone-sees-no-remaining-value-in-indian-operation/
Vodafone Germany plans to activate 2,700 new 5G cell sites in 1H 2023
Vodafone Germany plans to activate 2,700 new 5G cell sites with a total of 8,000 antennas in the first half of 2023, the telco said today in a press release. The company has so far connected 80% of the German population with 5G. It has activated 5G at 12,000 sites with more than 36,000 antennas altogether. For the 5G expansion, Vodafone Germany is relying on frequencies in the 3.6 GHz, 1.8 GHz and 700 MHz bands in large urban areas, residential areas and suburbs, and rural areas across Germany.
During 2022, Vodafone technicians commissioned 5,450 5G sites with more than 16,000 antennas. In total, Vodafone has already equipped 36,000 antennas with 5G, the company has said. The network operator said its 5G network is already providing coverage to 65 million people across the country, representing nearly 80% of Germany’s population.
Vodafone Germany had previously noted that its 5G Standalone (SA) network is currently available to nearly 20 million people across Germany. Vodafone previously said that 5G SA technology will reach nationwide coverage by 2025. The German telco had already deployed over 3,000 base stations for the provision of 5G SA services. Vodafone initially launched its 5G network in Germany in 2019, using 3.5 GHz frequencies that it acquired from Telefónica in 2018.
The telco also said it will continue to expand its LTE infrastructure across the country. Nationwide, Vodafone said it currently supplies around 98% of households with LTE.
“In 2023, Vodafone will bring the LTE mobile communications standard to even more people and to even more places: almost 1,900 expansion measures are pending in the first half of the year to set up new stations, carry out modernization work and install additional LTE antennas at existing stations,” Vodafone said.
“Together with Altice, Vodafone will start Germany’s largest fiber optic alliance in spring 2023, subject to the approval of the antitrust authorities. The goal is to supply up to 7 million households with new fiber optic connections in the next 6 years,” Vodafone added.
Vodafone Germany had recently successfully completed a field test with Open RAN (O-RAN) technology in Plauen, in the Saxony region.
The German carrier had recently announced that it will carry out comprehensive pilot projects for open 5G radio access networks at several locations in Germany. The first two stations for the operator’s O-RAN technology are located in rural Bavaria. The pilots are scheduled to start in early 2023 and mark the beginning of a broader deployment of O-RAN technology in Vodafone’s European mobile networks.
The pilot projects will use O-RAN hardware and software, which Vodafone successfully tested in the U.K. earlier this year. Samsung is currently supplying mobile technology and software for these O-RAN trials.
Separately, Vodafone has agreed to sell its Hungarian division for €1.7billion (£1.5billion) to local telecoms company 4iG and the Hungarian state. The sale is expected to be completed this month, with the proceeds to be used to pay off some of Vodafone’s debt.
References:
Vodafone UK opens Edge Innovation Lab; partners with AWS for distributed MEC zone in Manchester
Vodafone-UK has opened a new Edge Innovation Lab in MediaCity, Salford – the first of its kind in the UK. The lab will support the development of Manchester, and the surrounding region, into a Northern digital powerhouse, according to the company. The lab will give enterprises in the region an opportunity to trial new use cases that rely on real-time connectivity.
In addition to equipping the lab with dedicated MEC servers, Vodafone has also partnered with Amazon Web Services (AWS) to deploy a distributed MEC zone in Manchester, which will presumably give enterprises a taste of what ‘real-world’ performance might look like. Voda has also roped in IBM’s IT spin-off Kyndryl to offer customers professional and managed MEC and cloud services.
Spending on edge-related hardware, software and services is expected to reach $176 billion worldwide this year, according to IDC, rising to $274 billion by 2025. With figures like this doing the rounds, it’s little wonder that Vodafone is keen to get enterprise customers to buy into the concept.
“The lab offers innovators the opportunity to experiment with next-generation technologies and bring to life ideas that could revolutionise the way we do business and deliver public services,” said Nick Gliddon, UK business director at Vodafone, in a statement. “It will place Manchester and the surrounding region at the centre of the next stage of digital revolution.”
MEC technology enables real time data processing at the network edge, allowing for the creation of low latency services that would not be possible on today’s traditional network infrastructure. This offers innovators in the Greater Manchester area an opportunity to be at the forefront of next generation digital services.
By installing specialist servers either in Vodafone or customer facilities, applications are able to respond to command significantly faster. This time applications take to respond, known as latency, is a barrier for next generation innovations that require almost instantaneous reactions, or are powered by artificial intelligence. When combined with 5G, latency could be reduced to speeds faster than the human brain processes information.
Use cases enabled by MEC include autonomous vehicles, autonomous operations in factories, immersive augmented and virtual reality, remote medicine, cloud gaming and drone transport.
Vodafone has deployed Dedicated MEC servers at the Edge Innovation Lab and has launched a Distributed MEC zone in the Manchester area in partnership with Amazon Web Services (AWS), as part of their AWS Wavelength Zone infrastructure. Vodafone will also showcase Mixed Reality and Visual Inspection services at the lab. Vodafone has partnered with Kyndryl to offer customers professional and managed services for dedicated MEC and wider cloud-managed services to Vodafone customers.
Tosca Colangeli, president, Kyndryl UK&I, said: “We are excited, as part of our strategic partnership with Vodafone, to be supporting the Edge Innovation Lab in Salford and to use the facility as inspiration and co-creation for our joint customer engagements.
“We expect edge technologies to increasingly become an enabler of business outcomes, allowing end users – and machines – and industries including manufacturing, energy and retail, to reap the benefits of traditional cloud computing while gaining advantages such as reduced data latency, better data autonomy and enhanced security.”
This builds on Vodafone’s four-year partnership with HOST in MediaCity, where the lab will be located.
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Opinion —Nick Wood of telecoms.com wrote:
Barely a day goes by at the moment without someone opening a lab somewhere.
- Monday saw Nokia cut the ribbon on a 5G and 6G research facility at its campus in Amadora, Portugal. Its focus is software, specifically embedded and real-time software. It wants to employ 100 staff over the next two years.
- Last Tuesday, Ericsson revealed plans to spend tens of millions of pounds over the course of the next decade on a UK-based 6G research programme. A team of researchers, academics, PhD students and CSP and industry partners will look at aspects like network resilience and security, AI, cognitive networks and energy efficiency.
- A day later, UK-based Colt strengthened its partnership with IBM by opening an Industry 4.0 lab, also in the UK. It will offer enterprises in the manufacturing sector hands-on experience with various applications enabled by their respective cloud and edge networking solutions in an effort to lower barriers to adoption and generate a bit of business for Colt and IBM along the way.
- A couple of weeks ago, Orange Belgium opened its second 5G lab. The first is based in Antwerp, but this new one is in Liège, and will focus on standalone (SA) 5G use cases.
The growing number of labs showcasing what can be done with 5G and related tech like MEC and slicing only goes to show just how desperate the industry is to evolve beyond enhanced mobile broadband (eMBB) and into new service categories that will hopefully generate more revenue. Meanwhile, Nokia and Ericsson researching 6G is just prudent planning on their part – they need to have something expensive to sell to operators in 10 years time.
Whatever the motivation, it seems to be a good time to be in the lab-building business.
References:
OpenRAN in 30% of Vodafone European network by 2030; Europe way behind China and South Korea in 5G deployments
Vodafone will use OpenRAN technology in 30% of its masts across Europe by 2030, said Johan Wibergh, Vodafone Group Chief Technology Officer, in a speech at Mobile World Congress (MWC) 2022 in Barcelona.
Around 30,000 Vodafone cell sites across Europe will eventually use OpenRAN, he said, with rural areas the first to benefit from the new 4G and 5G masts that use the more flexible radio technology.
When the roll-out reaches cities, the equipment from any existing 5G masts being replaced will then be reused elsewhere to reduce unnecessary wastage, he said.
Vodafone has been one of the key drivers behind the development and use of OpenRAN, building one of the first-ever live OpenRAN masts in Wales. This was followed by the construction of OpenRAN masts in Cornwall, as well as the UK’s first 5G OpenRAN site.
At MWC 2022, Vodafone announced new smartphone sustainability initiatives, as well as the trial of new Internet of Things technology to enable cars to pay automatically for their own refueling.
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Earlier this week, Vodafone Group CEO Nick Read addressed MWC 2022 attendees in a keynote speech, highlighting the challenges and opportunities facing the mobile industry. Among them are the following:
Europe needs to be digital to remain globally competitive and maintain its leadership role in key sectors such as automotive, aerospace, defence, and agriculture. The regions that have 5G first, will be the regions that innovate fastest.
Yet, at current rates, it will take until at least the end of the decade, for Europe to match the transformational “full 5G experience” that China will already have achieved this year. If we look at 5G population coverage around the world – South Korea is over 90%, China 60%, USA 45%, and Europe under 10% – and with Africa hardly even at the starting line. Europe will only catch up if we reverse the ill-health and hyper-fragmentation of our sector. We must have local scale to close the investment gap. Otherwise, we will be the passive by-stander of the new tech order.
Local scale is needed to close the investment gap and ensure we can deploy 5G at pace. Regional scale is needed to close the digitalisation gap. The combination of local and regional scale ensures our economies and societies can enjoy the full benefits of digital innovation and industrialisation.
We have all seen the impact of global digital platforms. Platforms that change the way we conduct our daily lives. Vodafone continues to invest in regional platforms – let me just give you a few examples. In Europe we created our IoT platform which connects more than 140m devices, across 180 countries. The SIM based IoT market has tripled in the last five years, – and in the next 5 years, will hit 5bn connections. 62% of Europe’s leading automotive brands rely on Vodafone IOT. And with that scale, we are able to evolve from the “Internet of Things” to the “Economy of Things.”
References:
https://newscentre.vodafone.co.uk/news/openran-in-30-percent-of-vodafone-european-network-by-2030/
https://www.vodafone.com/news/digital-society/mwc22-new-tech-order
https://newscentre.vodafone.co.uk/press-release/switches-on-first-5g-openran-site/
Ericsson and Vodafone deploy new energy-efficient, light 5G radio in London
This week, Ericsson installed a new antenna-integrated radio solution (AIR 3227) on the roof of Speechmark, Vodafone UK’s central London office that, according to the telecom vendor, reduced the site’s daily network energy consumption by an average of 43% in direct comparison to previous generations of radio technology, and as much as 55% at off-peak times.
Designed for future-proof and sustainable networks, Ericsson’s new radio is 51 percent lighter than existing radio’s [1.] and its more compact design and improved energy management features will help to optimize overall site footprint, making 5G rollout and 4G upgrades faster and easier.
Note 1. The comparison is with the 64TR antenna units from Ericsson that Vodafone has been rolling out so far, which are very heavy (about 60 kilos) and less energy efficient, noted Vodafone UK’s Head of Performance and Radio, Ker Anderson, at a media briefing earlier this week.
“Vodafone is looking for ways to deploy 5G in a more energy-efficient way. When we started rolling out 5G we were using a 64-by-64 [64TR] panel from Ericsson and it’s close to 60 kilos in weight and burns electricity for fun,” noted Anderson, who added that the new AIR 3227 unit, while on paper having half the capacity of the 64TR units, “performs just as well… two years of technology evolution means we can now get the same performance from a 32-by-32 that we got with the first generation 64-by-64. Plus, they’re half the weight, and we’ve got a 43% energy reduction. So it’s been a real godsend for us for this product to come along and it’s the right thing for us to deploy – it’s cheaper, it’s faster, burns less electricity and the performance is really, really good,” Anderson said.
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1,500 of the new energy efficient Ericsson radios will be deployed across Vodafone’s network by April 2022, helping to reduce Vodafone’s forecasted energy consumption of its future 5G network and support a sustainable and responsible 5G rollout.
Andrea Dona, Chief Network Officer, Vodafone UK, says: “Our strategy is simple; turn off anything we don’t need, replace legacy equipment with up-to-date alternatives and use the most energy efficient options available. The success of this trial allows us to explore new ways we can more effectively manage the energy consumption of our network with our partner Ericsson. There is no silver bullet to manage our network energy consumption – it is about putting sustainability at the heart of every decision and adding up all the small gains to make a material difference.”
Björn Odenhammar, Chief Technology Officer, Networks and Managed Services, Ericsson UK and Ireland, says: “Building on the success of an award-winning 5G network in London, it is another fantastic achievement for Vodafone and Ericsson to reduce network energy consumption by a daily average of 43 percent. Sustainability is central to Ericsson’s purpose and our new radio will help Vodafone to reduce network energy consumption, simplify network rollout and efficiently manage the expected growth in data traffic of both current and future 5G networks. Together we are building the 5G network of the future – one that delivers the highest possible performance with improved resource efficiency and low environmental impacts.”
Ericsson and Vodafone UK first launched commercial 5G services in 2019. The strong working partnership was recognised for a high performing best-in-class 5G network in London in 2020. In June 2021, it was announced that Ericsson will be supporting Vodafone’s entire cloud-native 5G Core Standalone for packet core applications – a critical milestone to deliver 5G Standalone connectivity services.
The two companies have also been collaborating to reduce the environmental impact of site upgrades and speed up network deployment through the use of drones and Ericsson’s Intelligent Site Engineering service.
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