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The Network edge and the Telco industry

Updated: 4 days ago



This blog post series aims to outline the industry initiatives around network edge, the status and projections for growth and practical steps Telco's can take with the help of Brightpath to address the opportunity.


Industry Initiatives Addressing Network Edge Compute: ETSI, 3GPP, and GSMA

The rapid evolution of edge computing has prompted significant industry initiatives from key organizations such as the European Telecommunications Standards Institute (ETSI), the 3rd Generation Partnership Project (3GPP), and the Global System for Mobile Communications Association (GSMA). These initiatives aim to standardize and optimize edge computing technologies to enhance network performance, support new applications, and drive innovation.


ETSI and Multi-access Edge Computing (MEC)

ETSI has been at the forefront of edge computing standardization through its Multi-access Edge Computing (MEC) initiative. MEC provides a standardized framework for deploying applications at the network edge, offering ultra-low latency, high bandwidth, and real-time access to network information. This enables enterprises to deploy innovative applications and services closer to end-users, improving performance and user experience. ETSI's MEC initiative also emphasizes openness, with open APIs and an open ecosystem to foster collaboration and innovation.


3GPP and Edge Computing Integration

3GPP has integrated edge computing into its 5G standards, recognizing the importance of edge capabilities in achieving the performance goals of 5G networks. The 3GPP specifications for edge computing focus on enabling seamless integration of edge services with mobile networks, supporting various access technologies such as LTE, WiFi, and 5G. This integration ensures that edge computing can be leveraged across different network environments, enhancing flexibility and scalability.


GSMA and Edge Computing for Industry Verticals

The GSMA's Operator Platform Project is a key enabler for network exposure, facilitating edge computing and other applications. This initiative aims to provide a common platform for operators to expose their network capabilities to enterprise customers and developers, allowing for the monetization of these capabilities. By offering a standardized architecture and federation capabilities, the Operator Platform enables enterprises to connect to a single platform and access the capabilities of multiple networks. This approach not only supports edge computing but also enhances service delivery and fosters innovation across various industries.


AI-RAN Alliance

Whilst AI-RAN builds on C-RAN and O-RAN's use of cloud infrastructure to provide AI at the edge "for-RAN" to optimize operation, it also looks to provide an "and-RAN" environment where 3rd party application can run in a common infrastructure and provide applications "on-RAN" examples of which are discussed in the next section Applications Potentially Driving the Need for Edge Computing.


Synergized Architecture and Future Directions

To further harmonize standards and promote industry adoption, ETSI and 3GPP have collaborated on a synergized architecture that leverages both MEC and 3GPP specifications. This architecture aims to simplify innovation co-creation, accelerate time-to-market, and offer common practices and tools for developers. Future directions for these initiatives include enhancing security, supporting mobility, and enabling multi-operator, multi-network environments.


Applications Potentially Driving the Need for Edge Computing

Edge computing is significantly enhancing the end-user experience by bringing data processing closer to users. This shift reduces latency, improves performance, and enables new capabilities.


Computer Vision examples

Computer vision is another key application driving the need for edge computing. By processing video data locally, edge computing can enable real-time analysis for various critical applications:


- Security: Edge computing allows for real-time video surveillance and threat detection. AI algorithms can analyse video feeds to identify suspicious activities or unauthorized access, enabling immediate response and enhancing overall security.


- Safety: In environments like factories, construction sites, and public spaces, edge computing can monitor video feeds to detect safety hazards, such as the presence of unauthorized personnel, equipment malfunctions, or unsafe practices. This ensures timely interventions and improves workplace safety.


- Traffic Management: Edge computing enables real-time traffic monitoring and management. Video analytics can analyse traffic patterns, detect accidents, and manage traffic signals to optimize flow. This reduces congestion and improves overall traffic efficiency.


Internet of Things (IoT)

IoT devices are becoming ubiquitous, from smart home appliances to wearable health monitors. Edge computing allows these devices to process data locally, reducing the need to send data to distant servers. This leads to faster response times and more reliable performance. For instance, a smart thermostat can analyse temperature data and adjust settings in real time, providing better climate control and energy efficiency.


Augmented Reality (AR) and Virtual Reality (VR)

AR and VR applications require real-time data processing to provide immersive and responsive experiences. Edge computing ensures that processing happens close to the user, minimizing latency and providing a smoother experience. This is crucial for applications in training, remote assistance, gaming, and virtual tours, where real-time interactions are essential.


Autonomous Vehicles

Self-driving cars rely on vast amounts of data from sensors and cameras to make real-time decisions. Edge computing enables these vehicles to process data locally, ensuring rapid response times and improving safety. By reducing the reliance on centralized data centres, autonomous vehicles can operate more efficiently and reliably.


AI-Powered Applications and the Benefits of Generative AI with Edge Computing

Edge computing is revolutionizing AI-powered applications by bringing data processing closer to the end user, enhancing performance, and enabling real-time responses. Generative AI (GenAI) models, which create content such as text, images, and music, particularly benefit from edge computing in several ways:


- Reduced Latency for Real-Time Interactions


Generative AI applications, such as chatbots, virtual assistants, and real-time translation services, require fast response times to provide a seamless user experience. Edge computing reduces the latency by processing data locally, ensuring that users receive instant responses. This is critical for applications where delay can disrupt the interaction, such as customer service chatbots and interactive educational tools.


- Enhanced Personalization


GenAI models can create personalized content based on user preferences and behavior. By processing data at the edge, these models can deliver highly tailored experiences in real time. For instance, a personalized news app can generate articles based on the user's reading habits, or a music streaming service can create custom playlists on the fly. This level of personalization enhances user engagement and satisfaction.


- Improved Security and Privacy


Processing data at the edge helps protect user privacy by reducing the amount of sensitive information sent to centralized data centres. Generative AI applications, such as those used in healthcare for generating patient reports or in finance for creating personalized investment plans, can benefit from the enhanced security provided by edge computing. By keeping data closer to its source, edge computing minimizes the risk of data breaches and ensures compliance with privacy regulations.


- Efficient Resource Utilization


Generative AI models are computationally intensive and require significant processing power. Edge computing allows these models to leverage local resources, reducing the strain on centralized data centres and improving overall efficiency. This is particularly beneficial in scenarios where bandwidth is limited or where there are constraints on connectivity. For example, a remote location can use edge computing to generate AI-driven content without relying on a constant connection to a central server.


- Real-Time Content Creation


Edge computing enables generative AI to create content in real time, which is essential for applications such as live video editing, augmented reality (AR) filters, and dynamic content generation for gaming. For instance, an AR application can generate realistic overlays and effects in real time, enhancing the user experience. Similarly, a gaming platform can create dynamic in-game content based on player actions, making the gameplay more immersive and engaging.


Gaming

While streaming services may not require low latency, gaming is a different story. Online and cloud gaming benefit enormously from edge computing, which reduces lag and ensures a smooth gaming experience. Edge servers can handle game rendering and processing closer to the player, allowing for seamless and responsive gameplay, especially for multiplayer and fast-paced games.


Critical Conclusions: The Economics of Edge Compute

The economics of edge computing presents a nuanced picture, characterized by significant opportunities alongside notable challenges. On the positive side, edge computing promises to deliver substantial cost savings and efficiency gains for telecom operators and enterprises (imagine backhaul of multiple 8 Mbps UHD worker safety video streams for AI analysis). By processing data closer to the source, edge computing reduces the need for extensive data transmission to centralized cloud servers, thereby lowering latency and bandwidth costs. This localized data processing also enhances performance and supports real-time applications, unlocking new revenue streams through innovative services such as smart cities, autonomous vehicles, and industrial automation.


Moreover, the deployment of edge computing infrastructure aligns with the increasing demand for low-latency, high-bandwidth applications, offering a competitive advantage to early adopters. Telecom operators can monetize their network capabilities by exposing edge compute services through platforms like the GSMA's Operator Platform Project, facilitating seamless integration for enterprises and developers.


However, the economic viability of edge computing is not without its challenges. The initial capital expenditure (CAPEX) required to build and deploy edge infrastructure is substantial, encompassing investments in hardware, software, and network upgrades. Additionally, operational expenditures (OPEX) related to maintaining and managing distributed edge nodes can be significant. Ensuring the security and reliability of edge computing environments also demands continuous investment in advanced cybersecurity measures.


Private vs public shared edge?


Another critical consideration is the choice between private dedicated infrastructure and common shared infrastructure for edge computing. While large enterprises with substantial resources might opt for private dedicated edge infrastructure to ensure maximum control, security, and customization, this approach can be cost-prohibitive for smaller businesses. On the other hand, common shared infrastructure, where multiple enterprises utilize the same edge resources, offers a more cost-effective solution. However, shared infrastructure may come with trade-offs in terms of latency, security, and performance consistency. The success of edge computing will depend on striking the right balance between these two approaches, ensuring that enterprises can choose solutions that best fit their specific needs and budget constraints.


Where is the public edge?


An additional question, for public edge, is where is the edge, if edge compute's main benefit is reduced latency, then this drives the location of the edge compute deeper into the access network, if ITU-T targets for 5G of <= 1ms are to be met, then this pushes edge compute to the gNodeb site location (10's or 100's of thousands depending on the country), however many in the industry are seeing a relaxing of this requirement to <= 10 ms for low latency dependent services such as some autonomous/assisted vehicles use cases, given the speed of light and modern fibre networks this means transport aggregation POPs (100's or 1000's of POPs in a network) but is very dependent on network topology and the number of switching points in the path. These sorts of numbers drive significant investment.


Source : STL Partners : Unlocking the Edge: What’s Next for Data Centres in Europe?
Source : STL Partners : Unlocking the Edge: What’s Next for Data Centres in Europe?

In conclusion, while edge computing holds transformative potential, its economic viability requires careful consideration of both the opportunities and challenges. Strategic investments, robust partnerships, and innovative business models will be essential to fully realize the benefits of edge computing and ensure its sustainable growth in the telecommunications landscape.


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