COMPLEMENTARY MOBILE

OPERATOR BUSINESS MODELS TO

FACILITATE FAST EMERGENCE OF

DIGITIZED SOCIETY

Matti Latva-aho

Centre for Wireless Communications (CWC)

University of Oulu, Finland

http://www.5gcwc.com/

From User Centricity towards IoT

214.3.2016

From ABC (Always Best Connected) to the next 50 billion connected devices

2003 2013

Three Use Scenarios for Future Digitized Society

14.3.2016 3

The role of local connectivity is ever increasing.

5G Spectrum

414.3.2016

Small cells will be the foundation for 5G.

5G Is Not Just Radio Technology

• Technology boost is a key enabler for

– New services

– New ways for spectrum sharing policies and

using higher frequencies

– Creating totally new business potential through

major changes in 5G networks operation.

14.3.2016 5

Although radio technologies are evolving fast,

probably the biggest changes are business models related.

=> The key motivator to build 5G testnetwork to our campus

Key Drivers to Boost Small Cells

6

Spectrum

Deregulation

Densification/

Small Cells

Context &

Insentives

€€€

Context & Insentives

7

The owner of the space must have a role

and insentive in building, operating and

maintaining the network as well as

creating context related content and

services.

How Operator Roles May Change in 5G?

• Wide coverage area expensive to maintain– Insentives for operators? Emergence of public operators?

• Lot of traffic in densely placed small cells– Network maintanance difficult in indoors

• Spectrum regulation likely to go towards shared spectrum– Spectrum and operator business less regulated

• Content will be changing much faster and lot of content

relevant only to the context will be there; users/machines

generate lot of content– Dynamic local caching to be shared by any operator customer

• Access and content provisioning will finally be separated– YouTube and Netflix have already done that in practise!

• Emergence of new local micro operators?

14.3.2016 8

Micro Operator - mOP

• A virtual operator does not have own infrastructure but

has own customer base.

• A micro operator (mOP) has own infrastructure but not

necessarily own customer base.

• Revenue models for mOPs are not based on monthly

fees of bytes.– Part of property offering – inclusion to rent

– Part of customer service model

– Improving the efficiency of public service

• Possible only via changes in spectrum regulation:

– How to make the entry to market attractive via low entry costs

– Would boost infrastructure development necessary for future IoT

9

University of Oulu Builds Future Wireless Campus

• University wide platform for research, education,

daily life and business acceleration including:– Open technology and service development platform for

collaborators;

– Big data collection, analysis and utilization;

– Future wireless campus;

– University wide navigation solution;

– Rich content based interactive teaching;

– 5G radio prototyping;

– Crowd sourcing based service creation;

– IoT applications with aggressive business acceleration.

Collaborators in The Finnish 5G Flagship

Four major parts in the

national testnetwork:

- CWC Open 5G Network

- VTT 5G testnetwork

- Aalto 5G testnetwork

- Ylivieska LSA

testnetwork

5G Test Network Finland (www.5gtnf.fi) programme composed

of 4 projects runnign at all major citieds.

Oulu Open 5G Offerings

• Real-life Lab for testing 5G portfolio, New Services,

Applications and Business Models

• Current status– Outdoor & indoor coverage built @ 2.6GHz. 3.5GHz soon to be added

– Health Lab at University Hospital connected mid-2016. Other institutions on need

basis

– Commercial EPC for 100k users under installation. Interconnection to other networks

available

– Mobile edge computing for service development and Big Data analysis Q3/16

– IoT extension with ~1000 nodes enabling future wireless campus planned for Q4/16

– Q1/17

– 100 testphones currently; target to offer SIM for students and personnel to enable

testing with 15-20000 users at the campus area

14.3.2016 12

Existing and near future commercial (LTE) technologies implemented with

carrier grade and OSS enabling also trials for different operator service models.

5G Proof-of-Concept Radios Tested in Live Network

LTE-A and 5G protype radiosEPC with possibility

for edge computing

Our target is to bring in 5G PoC radios to verify, e.g., operation of adaptive

beamforming at mmWaves in a real network.

Roadmap for 2016-20182016 LTE support for M2M

PoC 5G radios

Virtualized, cloud based core

Test environment available for 3rd

parties

Real-time network management

running

Mobile edge computing

IMS / VoLTE

Network programming APIs

CDN services

Trusted and non-trusted WLAN

integration + controllers

2017 LTE-U / LWA

PoC for Gbit/s level data rate over

mmWave radio link

PoC for ms level latency over 5G

8k video stream

5G channel model validation

SDN/OpenFlow controlled network

transport

Co-operation with other research

projects

Co-operation with new industry

players

2018 5G Network Architecture validation

Micro-operator business model

research & validation

Connections to 5G test beds around

the world

Capabilities on performing tests on

major foreseen 5G frequencies

Detailed real-life tests on 5G link and

radio features (massive MIMO, ultra-

wide band, etc.)

Network-level performance tests with

novel core functionality

3rd party usage principles:http://5gtn.willab.fi/wp-content/uploads/2016/01/Common-description-of-operative-models-for-third-party-activities-in-the-5G-test-network_160114.pdf

We want to offer Oulu Open 5G Network and our partner network to be used

in future H2020 projects. Contact: matti.latva-aho@ee.oulu.fi or ari.pouttu@ee.oulu.fi

Partners: