Skip to main content

Network and IT Infrastructure is Morphing Together

Some large internet application providers increasingly source their own infrastructure from Asia-Pacific ODM/OEM vendors. Telecom network operators with tens of billions more revenue now look at the IT ecosystem and seek to benefit from what ABI Research calls the WebScale economies.

In some ways, Telcos can emulate the in-house networking hardware design and development of WebScale firms -- such as Google, Facebook and Amazon -- and in other ways they cannot.

It is no secret that much of the telecom infrastructure is based on the Intel x86 Xeon architecture and many of the Network Functions fit very well into a server architecture.

In their latest global market study, ABI Research looked at the pros and cons of telecom operators seeking commercial "white box" IT hardware for their core network elements.

The findings support inclusion of more commercial IT into the mobile broadband network and deployment with a top-tier IT vendor to minimize risk and uncertainty.

"Network operators are correct in observing that a given x86 processor delivers pretty much the same MIPs no matter in whose box it is installed," says Joe Hoffman, practice director at ABI Research.

But unlike the WebScale firms, mobile networks are fiendishly complex and no operator has expertise to build an in-house solution. These network operators still need the telecom infrastructure vendors to provide the Network Functions software.

Competitive pressure and the scale of the IT ecosystem will continue to deliver the best value for processing power. As a result, top tier infrastructure vendors are partially or wholly embracing commercial IT infrastructure.

Further, ABI Research finds the role of the infrastructure vendor will evolve to that of a software and system integrator -- and that is already happening now with an end-to-end IT based solution from at least one vendor.

These findings are part of ABI Research’s Software Defined Networking and NFV research service, which includes analyses, market data, insights, and competitive assessments.

Popular posts from this blog

Wireless Solutions Advance Work from Home Trends

Despite a challenging backdrop from the ongoing effects of the global COVID-19 pandemic, the negative impact on fifth-generation (5G) wireless supply chains has been minimal compared to the wider mobile smartphone market. This led to 5G mobile devices becoming more diverse, brought to market quickly at a variety of price points, thereby accelerating affordability and adoption. The mobile market is transitioning to 5G and many leading vendors are now exploring the low-priced 5G smartphone segment. According to the latest worldwide market study by ABI Research, 681 million 5G handsets will be shipped in 2022. Therefore, the race is on for OEMs to find that all-important level of differentiation in their flagship portfolios to help boost margins and improve market share. 5G Wireless Market Development Vendors continue to drive the adoption of new product designs, screen technology, chipsets, and camera setups -- notably within the flagship smartphone segment. Meanwhile, the leaders seek a

Software-Defined Infrastructure: The Platform of Choice

As more organizations adapt to a hybrid working model for their distributed workforce, enterprise CIOs and CTOs are tasked with delivering new productivity-enabling applications, while also seeking ways to effectively reduce IT cost, complexity, and risk. Traditional IT hardware infrastructure is evolving to more software-based solutions. The worldwide software-defined infrastructure (SDI) combined software market reached $12.17 billion during 2020 -- that's an increase of 5 percent over 2019, according to the latest market study by International Data Corporation (IDC). The market grew faster than other core IT technologies. The three technology pillars within the SDI market are: software-defined compute (53 percent of market value), software-defined storage controller (36 percent), and software-defined networking (11 percent). "Software-defined infrastructure solutions have long been popular for companies looking to eliminate cost, complexity, and risk within their data cente

Digital Identity Verification Market to Reach $16.7B

As more enterprise organizations embrace the ongoing transition to digital business transformation, CIOs and CTOs are adopting new technologies that enable the secure identification of individuals within their key stakeholder communities. A "digital identity" is a unique representation of a person. It enables individuals to prove their physical identity during transactions. Moreover, a digital identity is a set of validated digital attributes and credentials for online interactions -- similar to a person's identity within the physical world. Individuals can use a 'digital ID' to be verified through an authorized digital channel. Usually issued or regulated by a national ID scheme, a digital identity serves to identify a unique person online or offline. Digital Identity Systems Market Development Complementary to more traditional forms of identification, digital identity verification systems can enhance the authenticity, security, confidentiality, and efficiency of