Optimize your service with network modernization
Today’s business relies more and more on digital performance, speed, and agility. In order to keep pace with these demands, Communications Service Providers (CSPs) and network operators are continually pressured to enhance customer experience with faster speeds, lower latency, and a new generation of innovative services. Yet, at the same time, cost pressures and sustainability goals dictate the need for improved operational efficiencies, reduced power consumption, and a lower carbon footprint. As CSPs attempt to strike a delicate balance between these conflicting imperatives, network transformation becomes more critical. The question is how can they achieve this transformation as quickly and cost-effectively as possible to maintain competitive advantage? Network modernization and optimization efforts play an important part in meeting this challenge.
Reaching a tipping point
Over time, legacy network architecture becomes increasingly inefficient and outdated, making it costly and time-consuming to maintain and operate. This older equipment tends to be larger than today’s, occupying valuable floor space, as well as producing excessive heat and consuming large amounts of power. In fact, some network operators have seen energy cost increases outpace their sales growth by more than 50 percent in recent years.
These older components also tend to operate below their traffic capacity, reducing overall network performance. Likewise, legacy infrastructure at or near end-of-life is often no longer supported by the original manufacturer. This lack of support means there are no more software updates or component upgrades, which leaves CSPs at risk of security breaches and extended service outages, leading to lost revenue due to inability to meet Service Level Agreements (SLAs).
Moreover, the inefficiency of operating legacy equipment prevents network operators from meeting energy efficiency standards and sustainability objectives. For example, just one rack of legacy equipment can generate as much as 14 metric tons of carbon dioxide each year. For those CSPs operating in locations where state and local governments have imposed laws aimed at reducing greenhouse gas emissions, failure to comply with emissions regulations can bring hefty penalties.
Paving a path to network modernization
Ultimately, while the prospect of replacing this equipment may be intimidating, the consequences of doing nothing can be quite damaging to an operator’s profitability, in terms of rising Operating Expenditures (OpEx) and missed SLA targets. Equally important, continuing to rely on legacy infrastructure results in poor network performance and the inability to adopt innovative new service capabilities, which translates to lost competitive advantage and customer churn.
Thankfully, network modernization does not have to be an all or nothing endeavor, and optimization can be accomplished gradually. When planning network modernization projects, however, the best practice is to begin with activities that will have the most impact in the least time, maximizing Return on Investment (ROI).
Getting over the overlay network
Traditionally, CSPs have relied on the use of overlay networks as a means to quickly deploy new technologies, functionalities, or services. Although this can be a useful approach to implementing network improvements, such as enhancing security or traffic flow, it also introduces excessive management complexity and operational costs. As legacy overlay networks pile up, these networks not only need to perform independently, but they must also interact smoothly to ensure end-to-end network performance, security, and stability. Maintaining these dual-layer or parallel networks hampers CSPs’ ability to optimize and modernize their networks. In a recent global survey of network operators conducted by analysts at Heavy Reading, nearly 75 percent of those surveyed noted that eliminating overlay and parallel networks is either critical or important.
Apply automation and analysis
Recent advancements in automated tools powered by Artificial Intelligence (AI) and Machine Learning (ML) are invaluable in maximizing network modernization success. With access to AI-powered optimization algorithms, CSPs can automate labor-intensive data harvesting and analysis to reduce overall manual effort.
Additionally, AI/ML automation tools and technology can gather beneficial information about energy use and network performance in real-time. This helps identify problems and risks, gleaning insights that support intelligent decision-making to improve the speed and quality of network modernization projects.
Sustainability transformation
Migrating legacy networks to newer, more sustainable technologies helps CSPs reduce power consumption and increase reuse of resources, thereby improving efficiency, cutting costs, and saving time. Furthermore, a focus on the latest infrastructure also enables and encourages innovation, setting the stage for introduction of profitable new services and increasing ROI.
When phasing out legacy components in favor of more efficient systems and technologies, outdated infrastructure and systems can be removed and replaced or retired in place by decommissioning non-traffic cards and shelves. Before moving forward, network managers should take the time to collect and analyze data, including a regional traffic assessment to ensure the best overall strategy for migrating and consolidating traffic.
Of course, migrating live network traffic presents the mission-critical challenge of assuring Quality of Service (QoS) and customer experience for existing subscribers, so it’s important to ensure that network engineers have sufficient experience and expertise. Nevertheless, swapping out or retiring inefficient legacy equipment for more sustainable technology presents substantial benefits and cost savings.
Beyond cutting OpEx by reducing power consumption and eliminating penalties, network modernization also offers the chance to recoup other investments. These might include reselling legacy infrastructure, reclaiming equipment spares, and potentially vacating under-utilized sites to quickly realize real estate savings – all adding up to a lower Total Cost of Ownership (TCO) for the overall network.
Speeding ahead to zero
Ultimately, in order for CSPs to excel in the face of fierce competition and rapid change, they must continually evolve, optimize, and modernize their networks to be more sustainable, economical, and innovative. A proactive, well-planned approach to network modernization empowers the transformation CSPs need to deliver next-generation services, bolster competitive advantages, and increase profitability. By embracing sustainable transformation in their network modernization practices, network operators not only reduce emissions and demonstrate progress towards net-zero, they also build a more sustainable business model for the future. At Fujitsu, we offer services for sustainable network transformation.
