Network Transformation

Special vs Custom vs Standard? Choosing the Building Blocks-15

Continuing from last week, let me explain this week how operators can leverage the edge assets and how they can monetize them.

Let me straight away jump at the two keys aspects:-

A) As the data processing move to the edge, it will require a large number of distributed small edge data centers, the operators have the assets, the space, the power and the data connectivity including fiber access to these locations. It will be best for the operators to create partnerships with existing cloud operators such as Azure or AWS. It is happening around the world already. Look at the recent announcement fro Reliance Jio about their partnership with Azure. Reliance will bundle Azure services for individuals as well as enterprises along with connectivity. I do not know the commercial arrangements around that deal, will Microsoft own the data centers or will they have some kind of revenue share arrangement? I guess the best for Jio will be to own the edge data centers as well as the connectivity piece and have some revenue share arrangement.

B) Once the distributed data centers infrastructure is created, the operators can then leverage it to launch their own cloud infra for additional applications that could be regional or language sensitive. This will create an incremental stream of business for the operators in the short term and make them cloud players in the long run.

Next week, we will examine the potential issues regarding these two and discuss them. So stay tuned!

Leave a Reply

Your email address will not be published. Required fields are marked *