TOPSIGNAL

In the vast world of the communications industry, a profound storm of transformation is brewing. Wu Riping, general manager of Ericsson China Network Product Solutions, said that the industry's urgent needs are: The communications industry has entered a critical node of transformation.

China, as the shining pearl of the global communications market, has a large market scale and strong demand, especially in the 5G field, showing unparalleled vitality. The deployment of 5G independent networking (5G SA) and 5G Advanced is not only mature and stable, but also leads the trend of global communications technology. However, behind the glamour, challenges are also everywhere. Weak monetization capabilities and low average revenue per user (ARPU) have become shackles restricting the development of the industry. Many commercial software have failed to fully tap the potential value brought by data growth, and the market potential needs to be released urgently.

Comparing the markets of China, the United States and Japan, the difference is obvious. With 1.4 billion users as the base, the communication revenue of the three major operators in China is about 1.96 trillion yuan; in the United States, with only 345 million users, the revenue of the four major operators exceeds 3.1 trillion yuan; in the Japanese market, with 125 million users as the cornerstone, the three major operators also created more than 1.3 trillion yuan in revenue. Although China is far ahead in the coverage and performance indicators of communication infrastructure, and provides highly cost-effective networks and services, the dilemma of "increase in volume but no increase in revenue" or even "increase in volume but decrease in revenue" hangs over the industry like a dark cloud.

The wave of technology is surging, and technologies such as mobile Internet, cloud computing, and AI are reshaping the communication industry at an unprecedented speed. In particular, technological changes driven by large models have brought the dawn of reshaping the business model for the communication industry. The implementation of AI in the communication industry is like a double-edged sword. On the one hand, it promotes network intelligence, making network planning, construction, and management more efficient and intelligent; on the other hand, it also prompts the network to better support future AI services, such as AI robots and AR glasses, which puts higher requirements on the quality of wireless networks.

Faced with the severe situation of declining revenue, Hans Hammar, head of Ericsson's global network business strategy, pointed out that operators must abandon the traditional consistent network connection strategy and transform to platform-based network connection services. Providing optimized differentiated connections for different applications and user needs has become an industry consensus. Ericsson believes that the transformation of the business model is not only a technological innovation, but also a leap in operational concepts. The new "5G+" business model launched by Singapore Telecommunications is a vivid example of stratifying users according to their needs and providing differentiated services.

Ericsson is committed to helping the communications industry build a new business model through high-performance programmable networks. This network not only includes advanced technologies such as 5G-A (5G Advanced) and intent-driven networks, but also incorporates AI and automation capabilities to make the network smarter and more efficient. Hans Hammar emphasized that high-performance programmable networks can provide enterprise-level users with more predictable and reliable network connections to meet the needs of critical business applications. At the same time, in the consumer field, despite the challenge of limited user willingness to pay, Ericsson still hopes to improve user experience by providing better quality and differentiated network connections.