How to monetize and maximize revenue growth with exposure services

Changing the game with exposure services

In these times of down-slope in the global economy, everyone thinks twice about how and where to spend their money. The same goes for the consumers, who are trying to get the most out of their income, but also for the enterprises and Communication Service Providers (CSP's), who need to be extra creative in how they offer their customers more value in an affordable way, even as they meet the demands of a rapidly growing subscriber base. Everyone is on the hunt for developing the next solution that will take today’s mobile behavior to the next level. Are you in search of an innovative way to develop new value-added services that also encourage our subscribers a little extra? Think no more. Our game-changing exposure solution is here to stay!  

The rise of new business models enabling monetization

Network and service exposure is a game-changer in increasing innovation capabilities through the broader ecosystem and creating new services both for enterprises and consumers. This facilitates new monetization opportunities by exposing network capabilities through Application Programming Interfaces (APIs) to a continuously evolving ecosystem of developers and partners. This allows communication with consumers, enterprises, and IoT devices and introduces new monetizable use cases.

CSPs can monetize many use cases, such as healthcare, web conferencing, extended reality (XR), automotive sectors, and other businesses. Let us exemplify this through a use case such as cloud gaming. In this scenario, the subscriber pays for a boost while gaming to receive excellent Quality of Service (QoS). The service provider earns a percentage of the boost's revenues through API exposure functions.  

Basically, through API exposure, service providers can go beyond being just a bit-pipe to creating new revenue streams by charging for API use, data consumption, or offering premium services with enhanced features.

Above: Exposing capabilities to enable applications to work properly.

Today, new business models are emerging where CSPs can be service enablers compared to the traditional model where they were only selling connectivity to enterprises (B2B) or consumers (B2C).

With these new business models, CSPs can play the role of a service enabler, entering into partnerships with developers and enterprises and sharing the revenue generated from innovative applications and services. These applications and services are built using the CSPs 5G infrastructure by exposing their network capabilities to API aggregators that have the right relationships with different application providers . Alternatively, they can also reach out directly to application developers that provide applications to consumers or enterprises (B2D2C/B).

The final model underscores the possibility of CSPs offering the applications directly to enterprises and consumers through in-house application developers, who offer applications and services hosted on an API marketplace (B2B/2C or B2C).

Above: CSPs new business models versus traditional business model.

Unlocking opportunities by enabling ecosystem innovation in the network

Participating in a successful partner ecosystem is the best way to seize exposure opportunities that are emerging alongside the programmable telecom network. However, to participate, you must grant those partners access to your network. To ensure convenient and secure access, Ericsson Network and Service exposure solutions provide standardized APIs besides Ericsson’s innovative APIs to expose a service provider’s key 4G and 5G core network capabilities to their ecosystem partners.

To provide these capabilities, Ericsson has mainly three products within its network exposure portfolio:

1. Cloud Core Exposure Server (CCES)
2. Secure Entitlement Server (SES)
3. Ericsson Network Location (ENL)

The full portfolio provides an to enable exposure in multiple dimensions such as networks, services, and devices. 

The exposure in the networks, commonly called network exposure, involves exposing specific network functionalities and interfaces on a granular level from multiple network functions. This is part of standardization in 3GPP and TM Forum.

When it comes to developing new services with the support of the ecosystem, service exposure forms a consolidated abstraction layer between applications and the network capabilities or BSS and OSS capabilities. They are exposed by service providers for external consumption across enterprises, app developers, and partners that deliver a high abstraction level and are tailored for dedicated usage scenarios.

With device exposure, 5G enabled devices can make use of network APIs for certain applications. An example could be a speed boost function that can be used by mobile phones to enable a higher speed connectivity tier. 

How can service exposure lead to increased monetization? 

With the changes in the global economy, CSPs revenues and profits are becoming more pressing. The consumers’ capabilities to pay more for mobile subscriptions are becoming smaller and smaller, and so, the average revenue per user (ARPU) is becoming a challenge for all CSPs. CSPs are looking for new and innovative revenue streams that will help them generate value for the subscribers and also convince them to pay more for this new offering or service.

Ericsson has already deployed a broad range of customer-proven use cases and E2E solutions (including but not limited to dynamic end-user boost, automotive industry, connected drones, mobile gaming, and smart meters)  that meet the demands of both consumer and enterprise customers.  Network capabilities such as QoS, network analytics, and location capabilities are exposed to cater to these demands.

For example, with Dynamic End-user Boost enabled by Secure Entitlement Server Ericsson helps CSPs to dynamically boost cellular connectivity for both 4G and 5G mobile users to ensure that they get an optimal mobile experience every time. The solution instantly maximizes content and user experience when users download or upload a file on the go, or when they need to run a video conference, interact with a business application, or take part in a gaming session on their mobile. It simply works without any hassle with just a click to boost the speed of the data session. The solution has already been deployed with one of our leading customers.

Another example with Cloud Core Exposure Structure (CCES) that was verified with ecosystem partners is the Automated Valet Parking, which is an automated driving application supported by 5G Standalone (SA) network slicing with controlled network features for QoS. Using the User Equipment Route Selection Policy (URSP) feature, the car application can dynamically select and connect to multiple slices simultaneously.  In addition, a Network API, which exposes network capabilities, is used to request a defined QoS level from the network.

Ericsson can provide new business opportunities for the CSPs by using Ericsson Network Location (ENL) via location analytics, to help understanding the movement patterns of people such as how they are commuting through the crowd, and using those insights to support the road and traffic, health, and infrastructure authorities. Providing precise outdoor 3D location services down to the sub meter accuracy level, CSPs are allowed to target new vertical segments like drones, robotics, e-scooters, and the automotive industry.

Many more use cases have been proven in commercial live networks with top three tier-1 North American service providers besides use cases that were shown in MWC 2023.

The CSPs have recognized the value of collaborating through CAMARA (an Open Source project within Linux Foundation to define, develop, and test the APIs). CAMARA works in close collaboration with the GSMA Operator Platform Group to align API requirements and publish API definitions and APIs. It also supports initiating and harmonizing the APIs to enable them to reach the application developers for wider adoption. Ericsson was early to understand this need to identify network services with its thought leadership even before CAMARA was established. And now, we are actively contributing to CAMARA work groups for APIs and bringing early trials of APIs ahead of standards.

We continue to advance the enterprise strategy, with Vonage’s network API capabilities being central to this strategy and the development of a Global Network Platform. The development of the platform is creating a new market for exposing 5G capabilities through network APIs. By offering communication and network APIs to developers and enterprises, we are opening up new ways for CSPs to monetize their investments in mobile networks, and for developers to leverage network capabilities to create exciting new applications.

Conclusion:

New business models arise with exposure, which opens up the ecosystem to develop and co-create new services bringing value to the customers in the networks.

Industry standardization is implemented to ensure that the services being developed are in line with high security and development standards – all in place to protect the privacy and security requirements of customers.

Ericsson has a clear pathway to the enterprise segment and explores opportunities within how to work with the broader ecosystem to accelerate innovation.

For more information about Ericsson’s Network and Service exposure portfolio, please visit Ericsson’s Network exposure and Service Enablement page.

Want to know more about Ericsson’s exposure portfolio - contact your Ericsson representative today!

Read more about Ericsson network exposure and the related products within the portfolio:

1. Cloud Core Exposure Server (CCES)
2. Secure Entitlement Server (SES)
3. Ericsson Network Location (ENL)