Which services and applications will be
the first to benefit from the 5G transition
Hitesh Jain
Sr. Product Market Development Director
5G – Transition, It is here and now, reinventing business model
5G, unique Mobile Subscribers
estimated to be 1.5B + 25 Billion
IoT connections.
– GSMA
with Annual revenue of $300B
5G Investments on Capex alone
would reach to
48B$ + Opex (200B$)
© 2018 Syniverse Technologies LLC. All rights reserved. Any use of these materials, including reproduction, modification, distribution or republication, without the prior 2
written consent of Syniverse Technologies, is strictly prohibited. These materials are CONFIDENTIAL and shall not be disclosed to anyone beyond the intended recipient.
5G – Transition, It is here and now, reinventing business model
High Capex investment– Pressure on Asset-light telcos under the leasing model to differentiate themselves in digital services
Financial returns
Current ROIC of the operator 17% , projected 80% 20%
to reduce to 12% by 2020 Own 5G Extensive
Network implementation
64% of the Operators say that Capex planning Baseline capital employed 5G-related capex and financially
12% ROIC
is driven by technology and not by business strenuous
case - PWC
80% 12% 8%
Share 5G Difficulties in
Business case + Commercial Strategy Network coordinating
5G-related Digital operations and
15% ROIC Baseline capital employed
Scope for 20% Improvement on ROIC capex services implementation
80% 20%
Open-ness : Lease 5G
Relative ease of
Any to Any Partnership Network operations and
15% ROIC Baseline capital employed Digital services implementation
Redefining Competition , Collaboration with
Competitors
Source: DBS Bank
5G private networks may be built by
enterprises looking to upgrade their networks
- Gartner
© 2018 Syniverse Technologies LLC. All rights reserved. Any use of these materials, including reproduction, modification, distribution or republication, without the prior 3
written consent of Syniverse Technologies, is strictly prohibited. These materials are CONFIDENTIAL and shall not be disclosed to anyone beyond the intended recipient.
5G – Transition, It is here and now, reinventing business model
The technology strategy is mature for most operators,
A sharp right turn along the value chain is needed while commercial strategy and business case remains
to emerge a long-term winner. immature for most.
The technology strategy is mature for most Current status of 5G strategy development,1 %
operators, while commercial strategy and
business case remains immature for most Complete and
17
approved 26
37
In the near Future: 5G will rely heavily on 4G LTE strategy
57 54
for ubiquitous and seamless coverage everywhere 39
in the network 30
39
First-draft
strategy 22 24
43 43
No strategy/early
22 22 24
thoughts
5G pilot Technology Business Operational and Commercial
strategy strategy case maintenance strategy
strategy
1100% = 46 operators. Figures may not sum to 100%, because of rounding
Source : McKinsey & Co.
© 2018 Syniverse Technologies LLC. All rights reserved. Any use of these materials, including reproduction, modification, distribution or republication, without the prior 4
written consent of Syniverse Technologies, is strictly prohibited. These materials are CONFIDENTIAL and shall not be disclosed to anyone beyond the intended recipient.
The early phase / transition phase
Application and services would be the one which supports and enables commercial ready
collaboration
Expected use for 5G capable networks
Percentage of Respondents The global 5G applications
IoT communications 59%
and services market:
Video 53% Value 132B$ in 2020 and is
Controls/automation 45% Controls/automation,
fixed wireless access, expected to reach 663B$ by 2027
Fixed wireless access 44% high-performance edge
High-performance edge analysis 42%
analytics and location
tracking are a second
CAGR of 25.8% between 2020
Location tracking 40% tier of uses for 5G-
capable networks
and 2027
AR. VR. Immersive video or… 30%
Smart city 29% Source : Zion Market Research.
Image recognition 27%
Blockchain 26%
Publice safety/emergency radio 25%
Autonomous vehicles 21%
Noncritical sensors 20%
Real-time rendering 18%
Source : Gartner
© 2018 Syniverse Technologies LLC. All rights reserved. Any use of these materials, including reproduction, modification, distribution or republication, without the prior 5
written consent of Syniverse Technologies, is strictly prohibited. These materials are CONFIDENTIAL and shall not be disclosed to anyone beyond the intended recipient.
Services and applications during early phase,
focus on quick monetization
The hyper-connected approach: Mobile operators would create
a blend of pre-existing technologies covering 2G, 3G, 4G, Wi-fi
and others to allow higher coverage and availability, with the
key differentiator being greater connectivity
Attributes –
Open & Secure Architecture:
Collaborative, secure, decentralize
Enables continuous growth of business and
infrastructure & Commercial Models
© 2018 Syniverse Technologies LLC. All rights reserved. Any use of these materials, including reproduction, modification, distribution or republication, without the prior 6
written consent of Syniverse Technologies, is strictly prohibited. These materials are CONFIDENTIAL and shall not be disclosed to anyone beyond the intended recipient.
Connected everything in a 5G World
3GPP Access Options
PGW SGW MME
AMF SMF UPF
MNO unified core Cloud
Cellular RAN MNO unified core services/content
IoT devices
Diameter / 5G
Diameter
SC proxy
5G SC Universal
MVNO MNO unified core Syniverse IPX clearing
Connected CDRs
cars Cloud IoT application
IoT
Private network AAA
Platforms
PGW SGW MME
Private
AMF SMF UPF Clouds
Consumers MEC Secure Global Secure Global
devices Access Syniverse unified core Access Enterprises
Private network
“Smart” cities,
campuses, etc.
© 2018 Syniverse Technologies LLC. All rights reserved. Any use of these materials, including reproduction, modification, distribution or republication, without the prior 7
written consent of Syniverse Technologies, is strictly prohibited. These materials are CONFIDENTIAL and shall not be disclosed to anyone beyond the intended recipient.
Creating secure interconnections and commercial models
Syniverse is uniquely positioned to provide device connectivity and also create and
monetize public network interconnections for enterprises and service providers
Provide device connectivity to Enterprise
and IoT applications
MNO 5G Core for traditional mobile access
Syniverse Unified Core for private networks
3GPP Access Options
and MVNOs
Create, authenticate and secure
connections between networks and service
providers
Syniverse IPX and 5G Signaling Controller
(HTTP/2)
Syniverse Secure global access
Facilitate commercial agreements between
customers, service providers, and MNOs
Syniverse Marketplace
Syniverse Universal Clearing and Settlement
© 2018 Syniverse Technologies LLC. All rights reserved. Any use of these materials, including reproduction, modification, distribution or republication, without the prior 8
written consent of Syniverse Technologies, is strictly prohibited. These materials are CONFIDENTIAL and shall not be disclosed to anyone beyond the intended recipient.
Enabling the evolving mobile market community
The capabilities of 5G to deliver new network solutions (eMBB, mMTC, URLLC) will impact
the market ecosystem and encourage new ways of providing and consuming services
Marketplace to enable secure service
exchange and monetize commercial
models
Universal clearing and settlement based
on exchange of universal data records
Multi-party billing arrangement
Non-traditional service elements
Enterprise participation
Non-traditional service providers
Flexible billing cycles
Interconnectivity infrastructure required to
facilitate Enterprise and Consumer
connections to applications and services
© 2018 Syniverse Technologies LLC. All rights reserved. Any use of these materials, including reproduction, modification, distribution or republication, without the prior 9
written consent of Syniverse Technologies, is strictly prohibited. These materials are CONFIDENTIAL and shall not be disclosed to anyone beyond the intended recipient.
Source for above Information:
https://www.mckinsey.com/industries/telecommunications/our-insights/a-5g-manifesto-for-the-ceo
https://www.dbs.com/in/personal/aics/templatedata/article/generic/data/en/GR/012017/170127_insights_the_push_for_5g_shaking_up_the_landscape.xml&
cid=aio_heroblock_gl_in_01
https://www.tmforum.org/
https://www.gsma.com/mobileeconomy/wp-content/uploads/2018/05/The-Mobile-Economy-2018.pdf
https://www.forbes.com/sites/insights-intelai/2018/09/21/five-ways-5g-will-rock-our-world/#723ffdaa73f6
www.Gartner.com
https://www2.deloitte.com/insights/us/en/topics/emerging-technologies/5g-next-gen-network-of-networks.html
https://investors.att.com/~/media/Files/A/ATT-IR/financial-reports/quarterly-earnings/2019/1q-2019/ATT%201Q19%20Earnings.pdf
https://www.sdxcentral.com/5g/definitions/5g-architecture/
https://futurumresearch.com/exploring-early-5g-use/
https://www.globenewswire.com/news-release/2018/11/30/1659818/0/en/Comprehensive-Forecasts-for-Leading-5G-Applications-and-Services-2018-2023-
Enterprise-and-Industrial-IoT-Enhanced-Mobile-Services-and-Ultra-Reliable-and-Low-Latency-Communication.html
https://www.sdxcentral.com/5g/definitions/5g-architecture/
http://telecoms.com/opinion/5g-from-personal-transformation-to-society-enterprise-transformation/
https://www.telecomlead.com/mwc/gsma-reveals-5g-investment-and-subscriber-trends-at-mwc-89242
© 2018 Syniverse Technologies LLC. All rights reserved. Any use of these materials, including reproduction, modification, distribution or republication, without the prior 10
written consent of Syniverse Technologies, is strictly prohibited. These materials are CONFIDENTIAL and shall not be disclosed to anyone beyond the intended recipient.
