New private networking opportunity for mobile virtual network operators (MVNO)
Private networks are going big nowadays but still a very limited number of people can address the gap in understanding how it works and which players could extract value from this growing phenomenon. In order to explain the base mechanisms and describe how new opportunities for MVNOs are created, Fawad Dar, who is responsible for uninterrupted work of the infrastructure has given an interview discussing the private networks specifics.
The momentum is gained globally by this network technology which is based on private cellular concept which can be used in a number of different industries and spheres, including medicine, education, logistics, mining and manufacturing, oil and gas, transportation, retail, banking and so on. Currently, majority of companies worldwide has already begun revealing its potential using existing LTE/4G facilities though a longer signal propagation outdoors and lower latency provided. In these terms deployment of 5G is an extremely promising event, due to some qualitative improvements in terms of throughout, latency and the capacity of virtualizing network functions. Another important impact of private networks is flexibility in tuning capacity for performance control. This agile approach can be used for specific needs in different applications and scenarios.
Moreover, Mr. Fawad Dar reveals the key factor defining the solution’s competitiveness and success in the market. From his point of view, people nowadays are glued to a digital environment around them. Due to complex products and Omni-connectivity of services around, the switching costs drastically increased. People tend to be seeking a fully integrated product to fulfil their needs. For such agents, as Mobile Virtual Network Operators (MVNOs), applying and managing this class of solutions is an attractive financial opportunity leading to solid premises and other, non-financial, benefits. This is triggered by a general inability of businesses to employ the technology themselves because they lack required core competences to govern data properly. MVNOs here own crucial intangible assets which are so much valued by enterprises now.
Among some other relevant factors which create an opportunity for mobile virtual network operators, the expert mentions democratization of licensed spectrum by a number of incentives and legislation imposed by different state authorities (for instance, such as the CBRS Alliance in the United States or similar ones in Europe) and the availability of non-carrier grade private networking equipment. The change of power balance is expected to happen soon, with a shift to innovative service delivery as a source of competitive advantage. And those who handle the technology and seize the moment are supposed to dominate the market soon.
