The evolution of 5G-Advanced (5G-A) technology and the emerging network-cloud-AI synergy present significant revenue generation opportunities for telecom operators, said Li Peng, Corporate Senior Vice President and President of ICT Sales & Service of Huawei, at MWC Shanghai 2024.
Addressing the event, “Maximizing value from experience with 5G-Advanced,” Li Peng said that accelerating integrated capabilities and driving model innovation are essential for shifting from single-dimensional to multi-dimensional operations and from traffic monetization to experience monetization.
High-quality supply, both upgraded and innovative supplies, is a key driver for creating new demand. However, in today’s business landscape, innovative supply gains more significance as it incorporates business model innovation. Li Peng explained the difference, “While upgraded supply stimulates demand for improvement, innovative supply stimulates new and untapped demand.”
In the context of the ongoing evolution in tech and business, 5G and 5G-A, with their potential to revolutionize communication, connectivity and the broader mobile ecosystem, have empowered carriers to become innovative suppliers. Compared to previous generation technologies, 5G-A offers a tenfold increase in capabilities enabling unprecedented speeds, ultra-low latency, and massive device connectivity, fostering innovative applications across various sectors.
To fully harness the potential of 5G-A, the mobile communications industry must focus on innovative supply solutions, stimulating new and untapped user demands and ensuring sustained, healthy growth, Li Peng said.
Li Peng explained four scenarios which highlight the transformative potential of 5G-A technology, focusing on user experience, innovative services, industry applications, and enhanced capabilities in various domains.
First, he explained how Deterministic Network Experience with 5G-A can offer differentiated packages for different user groups and provide personalized services to increase revenue and enhance high-end customer stickiness. For example, consider scenarios like business travelers prioritizing downlink rate, live streamers focusing on uplink rate, and gamers being concerned about latency. In such cases, 5G-A can ensure user experience anytime and anywhere using strategies like wireless QCI-based scheduling, and GBR service.
Second, the Cloud Phone services can be improved using the low-latency 5G-A network and the cloud resource pool capability deployed on demand, catering to the varying demands of different demographics for real-time computing power, data isolation, and interactive collaboration. The Cloud T card released by Zhejiang China Mobile is an example that shows the successful innovation in cloud phones. The Cloud T card integrates computing, network, and cloud capabilities. Users can access high-definition cloud phone portal and log in to Migu Audio & Video and third-party applications in one go and enjoy TV series and NBA content. Carriers can adopt these strategies to offer varying computing power levels such as low, medium and high, to monetize multiple dimensions.
Third, Li Peng explained the 5G-A network capabilities and offerings in the B2B scenarios. 5G-A enhances capabilities in terms of uplink and downlink rates, latency, positioning, and deterministic networks, and enables further upgrade of more than 30,000 industry private networks already in operation. From production assistance to core production processes, 5G-A drives greater industry value. For example, during train operations, AI vehicle detection applications enable intelligent operation and maintenance (O&M) of the entire train line, boosting overall efficiency by more than 30%. By leveraging these capabilities of 5G-A, carriers can further diversify their network monetization strategy in the B2B segment by offering services such as network SLA-guaranteed service, highly reliable network design, and edge intelligence.
As the age of mobile AI is approaching rapidly, embracing 5G Advanced capability aggregation and model innovation becomes crucial. Carriers can provide differentiated experience services for users through network, cloud, and intelligent capability aggregation, stimulating their potential demand. This will also help them accelerate business model innovation and stay ahead of the value chain in the age of mobile AI. Already several leading carriers have taken active steps to embrace 5G-A. More than 30 carriers have completed technical verification on 5G-A live networks, while more than 60 carriers and partners have announced 5G-A commercial plans. The industry has also witnessed the launch of more than 20 5G-A 3CC CA phones. Li Peng concluded saying that Huawei is willing to work with carriers to embrace 5G-A, accelerate capability convergence and model innovation, and stride to a new era of experience monetization.
