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Telecom Industry Trends for
2021

In 2020, the lockdowns and shutdowns caused by COVID-19 pandemic impacted the
telecom industry by increasing mobile data consumption, voice traffic, and residential
broadband. The telecom companies took many initiatives and make many operational
changes to improve customer experience and generate revenue consistently. The
telecom companies will continue to lunch new projects, experiment with new business
models, and improve network experience to stay profitable in the post-pandemic world.
We can prepare a list of telecom industry trends for 2021 based on the information and
data collected from diverse online sources.
8 Trends That Will Shape and Transform the Telecom Industry in
2020
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OpenRAN Architecture
Unlike conventional radio access network (RAN), open radio access network
(OpenRAN) architecture enable network operators to design and implement 4G and 5G
networks by integrating vendor-neutral software and hardware components. In 2020,
leading telecom companies adopted the new-generation technology to speed up
network expansion and reduce network cost. OpenRAN creates an opportunity for
telecom operators to get software and hardware components from many equipment
vendors. In 2021, OpenRAN will transform the telecom industry by becoming the new
normal. Here is an interesting blog on benefits of OpenRAN.
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5G Networks:
In many countries, telecom companies are planning to offer 5G services commercially by
late 2020. In 2021, the telecom companies will implement 5G networks and offer 5G
services gradually. 5G will transform the network experience of consumers by delivering
ultrafast speed and ultralow latency. At the same time, 5G will also boost Internet of
Things (IoT) by facilitating massive machine-type communication. Telecom companies
across the world have already started creating new and innovative use cases for 5G. In
2021, telecom companies will leverage 5G to launch a slew of 5G services and solutions
that did not exist in 2020.
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AI And ML
5G will act as a medium to drive integration of artificial intelligence (AI) and machine
learning (ML) into the network edge. The next-generation wireless networks will leverage
AI and ML to forecast end-user distribution, predict peak traffic, and enhance network
capability. The ML algorithms will make it easier for telecom companies to implement
network slicing and beamforming. AI and ML will create opportunities for telecom
companies to boost network experience and curtail network cost through automation. AI-
based communication will further lead to the development of smart cities by facilitating
decision making based on real-time data.
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Mobile Edge Computing
Many telecom companies have already launched projects to implement mobile edge
computing to cater to the exponential growth of smartphones and IoT devices. Many tech
analysts believe that mobile edge computing will transform the telecom industry in 2021
as a disruptive technology. The telecom companies will leverage edge computing to
bring data storage and computing closer to the end-users’ devices. In addition to
reducing latency, edge computing will speed up the processing of real-time data
collected and transmitted through connected devices. Many telecom companies are
expected to diverse resources to mobile edge computing from a public cloud to store
data locally.
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Next-Generation IoT
According to SecurityToday.com,
“Every second—127 new IoT devices are connected to the web. During 2020—experts
estimate the installation of 31 billion IoT devices.”
The disruptions caused by COVID-19 pandemic made enterprises from various industries
invest in IoT. Also, the demand for smart home devices surged in 2020. The ultrafast speed
and ultralow latency enabled by 5G will boost IoT by making connected devices exchange
real-time data almost instantly. The telecom companies have to expand and upgrade
networks to cater to the data usage needs of new IoT solutions and applications used by
enterprises across industries.
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Smart Cities
In addition to boosting IoT, the mass-scale implementation of 5G will encourage many
policymakers and city leaders to set up smart cities. The smart cities will rely on telecom
networks to manage services, assets, and resources efficiently by getting actionable
insights from a large amount of real-time data. The telecom operators have to act as
smart connectivity providers to meet the needs of smart cities. But they have to address a
new set of challenges proactively in 2021 to play a key role in the development of smart
cities. Here is my detailed take on 5G impact on smart cities.
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Network Footprint Expansion
In 2021, many enterprises and organization will allow employees to work from home.
Likewise, many students prefer online live classes or eLearning to conventional
classrooms in the post-pandemic worlds. Also, 5G is expected to increase mobile data
usage by 400% in the near future. That is why; the telecom companies will expand
network footprint to meet the needs of enterprise and residential consumers. Also, they
have to maintain network speed and reliability to support massive machine-type
interactions. They will keep expanding the already-established network as well as
upgrade the existing network to leverage RAN and facilitate mass-scale 5G
implementation.
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Diversified Ecosystem
In 2020, leading network operators, device manufacturers, and chip-manufacturers
formed the Open RAN Policy Coalition with the aim to keep wireless technologies like 5G
open and interoperable. The members of the coalition have already launched projects
and announced plans to facilitate designing and implementation of modular telecom
networks that do not depend upon a single vendor. In 2021, more network operators are
expected to come together, join such alliances, and form new alliances to adopt
disruptive technologies.
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In 2021, disruptive technologies like 5G and mobile edge computing will transform the
telecom industry. The telecom companies have to expand and update their network
infrastructure to accelerate the commercial implementation of 5G networks. At the same
time, they have to change existing business models, launch new solutions, and form new
alliances to remain profitable and relevant in the post-pandemic world.
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