Thinking of deploying edge computing? Here are four approaches.
Based on enterprise strategies, the use cases addressed and the underlying business case, Communication Service Providers (CSPs) can use four different deployment options, or a combination of those options that address new edge business opportunities.
Edge computing is an enabler of new services
Communication Service Providers (CSP) are looking for new revenue sources to grow their businesses, especially in the enterprise area, which will be increasingly important in the future. According to the Ericsson report ‘5G for business: a 2030 market compass’, by 2030 as much as USD 700 billion of the 5G-enabled, business-to-business value could be addressed by CSPs. However, the edge is not a standalone product or an offering but an enabler for use-cases requiring security, resilience, and low latency in combination with other technical solutions like private networks.
Partnering in the edge ecosystem is foundational for CSPs
A vast number of companies participate in the ecosystem, from hardware vendors, platform companies to applications developers, System Integrator (SI) companies and CSPs. Two other key players in the ecosystem are the Hyperscale Cloud Providers (HCP) and Operations Technology (OT) vendors. HCPs, such as AWS, Microsoft Azure, Google and AliCloud have the core business to provide cloud infrastructure and platforms, and OT vendors have IoT platforms and applications, supported by edge computing components. Some examples of these companies include Siemens and General Electric.
In order to succeed with edge computing, CSPs will, in many cases, need access to the adequate domain (industry vertical) knowledge through partners, such as HCPs and the OT vendors. Partnering with these companies will often be necessary to reach the application ecosystem to enable use cases and play a relevant role in providing them to enterprise customers.
Edge computing deployment options
So how should CSPs go about addressing an edge computing opportunity? Based on their enterprise strategies, the use cases addressed and the underlying business case, CSPs can take different roles in the value chain, or use different deployment options. The roles are categorized based on whether they want to build edge infrastructure and whether they want to front the enterprise. Fronting the enterprise means that CSPs have more than the relationship for connectivity, but also the relationship to influence the enterprise choice of edge deployment option. A CSP can take a single role, or a combination of the roles described below as part of the strategy, for example, towards different industry verticals depending on how strong their relations are. Ericsson has identified four main roles for CSPs:
- Full Edge Provider
- Partner Edge Provider
- Aggregator Edge Provider
- Limited Edge Provider
Which role, or roles, suit you and your enterprise strategy the best? To analyze that and select a suitable deployment strategy, one can go through a set of questions addressing areas like competence in enterprise verticals, capacity to provide complex solutions and go-to-market capabilities, for example.
Learn more about edge computing for CSPs and how they can address new business opportunities, using one or a combination of deployment options identified by Ericsson.Download white paper
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