The CCA Voice - Spring/Summer 2014 - (Page 58)

THEME: ON THE EDGE: MEETING CONSUMER DEMAND Our Connected World: The Necessity of NFV for Telcos By: Mikko Disini Director of Product Marketing, Service Provider Platforms, Citrix A s more and more connected devices infiltrate our society, mobile carriers are faced with the challenge of delivering a high quality user experience while at the same time, remaining competitive among fellow carriers. With issues like customer churn and data-sucking mobile apps and streaming services not showing any signs of slowing, mobile carriers have found themselves in a pickle known as the "mobile data crunch." So, what can be done to help carriers cope with this strain on their networks? The answer is Network Functions Virtualization (NFV). In less than two years, NFV has become one of the most highly touted trends in telecommunications and is poised to transform the industry and the way service providers deliver infrastructure. The telecom-led NFV initiative uses standard IT virtualization technology to merge traditional network equipment onto standardized high-volume servers, switches and storage. Through NFV, carriers can use software to implement network functions to be run on a range of industry standard server hardware, eliminating the need for new, proprietary 58 THE equipment installations. While many are familiar with the benefits of virtualization in the enterprise IT and data center worlds, this technology as part of NFV is also a game changer for service provider and carrier communities. NFV assists in addressing the explosive capacity demand of mobile traffic and provides quantifiable benefits such as improved service agility, scalability, shorter introduction time for new functions, and substantial reduction of CapEX and OpEX. NFV also enables operators to scale their infrastructure to support value added services. With the emergence of app stores, mobile operators are no longer part of value chain for consumer apps. However, operators can still offer customized and value added services such as firewall, VPN and deep packet inspection to large and small enterprises. Through NFV, these services can be implemented much faster, providing a competitive advantage to the operator. Another benefit is network sharing between operators. Operators in many regions have already pooled their network resources for OpEx reduction. Such network sharing is limited to radio networks. With NFV, operators can host their virtualized core networks in common data centers for further cost reduction. At the same time, each operator requires its own service delivery processes for differentiation. Application delivery controllers (ADC) enable virtualized network sharing by performing service chaining, multitenancy and customized billing. Despite the hype and benefits of NFV, many carriers are justifiably cautious when it comes to virtualizing their networks, with reliability and performance as their main concerns. To retain customers, these networks must be extremely reliable and high VOICE * www.competitivecarriers.org * Spring/Summer 2014 performing, with the ability to scale to support millions of users. As more companies make the investment in NFV technology, subscribers are also able to reap the benefits through new services such as on-demand bandwidth and services, as well as tiered security. The emergence of NFV technology will be a major factor for Tier 1 service providers in terms of their ability to reach and potentially exceed consumer demand. In fact, according to Research and Markets, NFV is poised to transform the entire telco infrastructure ecosystem, with Mind Commerce estimating that global spending on NFV solutions will grow at a CAGR of 46 percent between 2014 and 2019, with NFV revenues expected to reach $1.3 billion by the end of 2019. The widespread adoption of NFV will empower telcos and enable a multitude of network functions to be cost effectively implemented. We're looking forward to the imminent industry transformation that will positively affect both carriers and their customers. http://www.competitivecarriers.org

Table of Contents for the Digital Edition of The CCA Voice - Spring/Summer 2014

Chairman’s Letter by Jonathan Foxman
A Message from the President and CEO by Steven K. Berry
CCA’s 2013 Annual Achievement Award Winners
Staying Ahead of “The Next Big Thing”
Near Tragedy in Nevada Demonstrates Need for Rural Investment
Competition – The Foundation for a Healthy Industry
Putting the “Incentive” in Incentive Auction
Beat ’Em or Join ’Em: Data Roaming in a 4G LTE World
2014: The Year of Small Cell Deployment
Band Class 12 – Beyond Broadband
Chat Mobility Utilizes Multi-Faceted Plan to Attract & Retain Customers
Blurred Lines: Reinventing in the Rural Market
Regional Carrier Bridges Digital Divide with Massive Network Upgrade
Wireless Challenges and Solutions for Competitive Carriers
Expanding America’s Wireless Networks: It Takes a Village
Lead with Location
Giving Your Customer Their Preferred Choices in Billing: Paper, Electronic, and Mobile
Monetizing Data Demand with Personalized Services
Making Sure Long-Distance Calls Reach Rural Subscribers
Mobility Growth with Emerging Devices
Mobile Broadband and the Rise of Mobile Security Challenges
On the Verge: Fulfilling 4G-LTE Consumer Demand in America
Transform Your Business by Making It Simpler
Lessons Learned on the Road to LTE
Let’s Get Personal
Even If the Voice Packets Make It, Does the Lack of Quality Ruin It?
Our Connected World: The Necessity of NFV for Telcos
Ten Hot Consumer Trends in 2014 and Beyond
Gain Your Edge: Effective Edge Out Strategies with 4G LTE
Reaching Consumer Demand Through Marketing in the Rural Driven Markets
Tips for Improving the Customer Experience
Creating a Super High-Capacity Network in Rural America
Your Competitors Are Coming for Your Customers
Index of Advertisers
Congressional Spotlight: Representative Robert “Bob” Latta

The CCA Voice - Spring/Summer 2014

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