IBM Research: 5G and Edge Essential for the Development of Future Communication Services

Although the COVID-19 pandemic has led to an increase in connectivity opportunities, two-thirds of telecommunications leaders believe that Edge and 5G technologies are crucial for the future growth of their organizations, while 74 percent of directors from the most successful companies believe that partnerships with major network players, including ‘hyperscale’ companies, will be key to the strategic interests of these companies, according to the study ‘The End of Communication Services as We Know Them’.

According to the aforementioned study, 59 percent of respondents believe that their organizations need to implement artificial intelligence (AI) and automation technologies, while 50 percent agree that they must become strategic cloud platforms connected to a diverse partner ecosystem. The research conducted by the IBM Institute for Business Value (IBV) sought the opinions of 500 executives from the telecommunications sector across 21 countries, as stated in the press release.

Although the process of introducing Edge 5G technologies can be costly, 91% of leading executives in the telecommunications sector said they expect improvements in financial results over the next five years due to the introduction of these technologies. In comparison, only 54 percent of the remaining respondents believe the same. Additionally, the race to transform telecommunications networks into software platforms continues to accelerate.

– The COVID-19 pandemic has clearly demonstrated the importance and role of telecommunications in the functioning of today’s society and business. AI and cloud computing-based technologies and systems have proven to be key when it comes to business resilience, connectivity, and responding to the needs of today’s digitalized users – explained Tomislav Makar, Chief Technology and Information Officer at A1 Croatia.

This emphasizes one of the conclusions of the IBM study: telecommunications companies must become platforms that will leverage all the capabilities of Edge and 5G technologies to operate successfully.

– I believe this is a trend that will define the business models of future telecommunications. Therefore, we are successfully collaborating with IBM Croatia on numerous digital transformation projects aimed at creating innovations and a top-notch digital experience for over 2 million users of A1 Croatia – added Makar.

Similarly, the automation of telecommunications networks plays an important role in the transformation of telecommunications networks, and 79% of executives from top-performing companies say they must automate infrastructure, operations, and network functionality. It is also important for telecommunications service providers to give direct access to all automation capabilities to companies, while 61% believe this should be extended to partner ecosystems.

Furthermore, another IBV study shows that 71 percent of telecommunications operators estimate that cloud computing technology will become the foundation for achieving new results in the next 2 to 3 years, and 61 percent believe the same is true for 5G. In this context, 60 percent of respondents consider it particularly important to strengthen data security and confidentiality to provide the highest quality service to their users in the next two to three years, with a special emphasis on data security.

– The global trend we see in telecommunications shows that telecommunications company executives are increasingly turning to building open hybrid cloud platforms that can support an ever-diversifying and more flexible partner ecosystem – said Tomislav Balun, Business Director, IBM Croatia, adding that IBM collaborates with telecommunications companies worldwide, providing support in transforming business processes and infrastructure, creating innovations, and enhancing customer experience in the 5G era.

IBM Research is developing new programs and innovations in telecommunications, such as the recent announcement of the first 2-nanometer chip that significantly contributes to the efficiency and performance of any device, from 5G network stations to mobile phones or tablets (for example, increasing battery life by 4 times). Additionally, IBM collaborates and supports over 40 global partner companies through the IBM Cloud for Telecommunications ecosystem, and recently announced a new AI-based automation software solution, IBM Cloud Pak for Network Automation, designed to simplify and facilitate the application of 5G technology for companies and enable service delivery within minutes instead of days, as stated by IBM.

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