Ericsson Sees Increased momentum for design and optimization services as CSPs tackle network complexity

As 5G continues to roll out globally, enhancing user experience and tackling network complexity is fundamental for communications service providers (CSPs).

During 2020, Ericsson saw increased uptake of its cognitive software for design and optimization in networks around the globe.

As commercial 5G networks expand, CSPs are under increasing pressure to deliver superior user experience and reduce network complexity, all while managing an expansion of connected devices and rapidly increasing data traffic. Securing a superior experience is key to business success.

According to an analysis conducted by Ericsson, service providers with the highest network quality enjoys a higher average ARPU (+31 percent) and lower average churn (-27 percent).

In addition, there’s also growing pressure to improve efficiency, contain network operational spending, and prevent it from eating into margins.  According to another Ericsson report, 56 percent of CSPs believe that OPEX will increase with 5G while 64 percent say they are focusing on adopting AI to transform their approach to planning.

In response to these trends, Ericsson has expanded its Network Design & Optimization (NDO) portfolio with Ericsson Operations Engine Cognitive Software. Cognitive Software uses deep learning algorithms to gain unique insights into network performance and customer experience. Fundamental to this is delivering a telco-grade solution that is multi-technology and multivendor, while combining expert system knowledge to address real network problems.

The first implementations of our Cognitive Optimization solution – which were rolled out first in Japan & China- confirm 98% field-validated accuracy in issue detection, 50% increased identification of hidden problems and up to 30% increased operational efficiency in optimization activities. Benefits from the Cognitive Planning solution show an increase of operational efficiency of up to 60 percent, and up to 40 percent reductions in unnecessary expansions.

Ericsson’s cognitive solution is currently deployed across 7.4 Million cells on commercial contracts with leading service providers, both using Ericsson RAN and other vendor suppliers. To put it in context, a small-medium network is 50-100K cells and a large network is about 500K.

“Ericsson’s Cognitive Software suite is a strong blend of network design and optimization domain knowledge with state-of-the-art AI algorithms. Its flexible delivery model, enriched data sets, and use of customer experience modelling in NDO address the needs of service providers moving to 5G.”

Andy Hicks, Principal Analyst at GlobalData

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