The agile telco needs frameworks, standards and a lively ecosystem to succeed. Antony Savvas looks at some of the latest developments that can help drive this success
As IoT connectivity evolves, it’s important to know which technologies are going to make it. Telenor IoT and telecoms consulting firm Analysys Mason have released the “Connectivity Technologies for IoT” whitepaper, which is an overview of today’s rapidly changing IoT connectivity landscape, including the latest technological advancements and market developments.
2G and 3G sunsets
As older 2G and 3G networks are phased out globally and new innovations emerge, businesses face increasing complexity in selecting the most reliable and future-proof connectivity solutions. The guide promises to serve as an “indispensable resource” for communications service providers currently using IoT, as well as those planning or evaluating new projects, particularly in sectors like logistics, manufacturing, utilities, and transportation, where consistent connectivity is critical.
It offers an analysis of 2G, 3G, 4G, 5G, and non-terrestrial networks (NTN), assessing each based on critical factors, such as coverage, latency, energy efficiency and global availability.
Key takeaways include:
- 4G is the most adopted and globally accessible IoT connectivity option today and likely to remain so in the upcoming decade, providing “robust” coverage and performance for a wide range of IoT applications.
- While 5G RedCap is positioned to bridge the gap between low-power and high-performance IoT use cases, its broad adoption depends on the rollout of 5G standalone (SA) networks, which is still in its early stages. Wider availability is anticipated closer to the end of this decade.
- IoT non-terrestrial networks (NTN) can extend coverage to remote areas by connecting devices directly via satellites. Some solutions reuse 4G spectrum through operator partnerships, while others use NB-IoT over dedicated satellite bands. However, regulatory approvals, spectrum allocation, and technical maturity suggest a phased, incremental adoption.
“In an increasingly connected world, making informed decisions about IoT connectivity is more critical than ever,” says Martin Whitlock, the CTO at Telenor IoT. “This whitepaper helps businesses to navigate the complexities of current and emerging technologies, ensuring their IoT strategies are aligned with realistic market developments and built for long-term success.”
eSIM standards
Meanwhile, Thales says it has achieved an “essential” security certification for its eSIM offering. The certification, granted by the GSMA under the eSIM Security Assurance (eSA) scheme, marks a “significant milestone”, says Thales, in enabling large-scale, secure, and efficient IoT deployments across industries, including smart metering, healthcare, and automotive.
Thales says it is now a “trusted partner” capable of providing full protection against advanced cyber threats, delivering end-to-end security solutions, from chip to cloud, and ensuring compliance with emerging security standards, such as the EU Cyber Resilience Act.
The GSMA eSA certification ensures that eSIM products (including hardware, firmware, OS and cryptographic libraries) comply with strict security and functional requirements, recognised across the global mobile ecosystem.
Thales says it can now bring “concrete benefits” for ecosystem players, including:
- Operational efficiency: enabling mass remote activation of eSIM-enabled IoT devices, reducing logistics, physical SIM handling, and field interventions.
- Security by design: ensuring robust protection of credentials and connectivity data throughout the device lifecycle.
- User trust and privacy: building confidence among end users by securing device identities and communication, essential for sensitive use cases like smart meters, medical devices, track-and-trace systems, security cameras or connected vehicles.
“With this certification, we are confident that we will further accelerate the adoption of eSIM technology among customers, including mobile network operators, IoT service providers, automotive companies, and device manufacturers,” says Eva Rudin, the vice president of mobile connectivity solutions at Thales.
AI-enable radio access networks
AI RAN is projected to account for around a third of the RAN market and be worth US$10 billion by 2029, according to research from Dell’Oro Group. In the near term, the focus within the AI RAN segment will centre on distributed-RAN (D-RAN), single-purpose deployments and 5G, says Dell’Oro.
“Near-term priorities are more about efficiency gains than new revenue streams,” says Stefan Pongratz, the vice president at Dell’Oro Group. “There is strong consensus that AI RAN can improve the user experience, enhance performance, reduce power consumption, and play a critical role in the broader automation journey.”
Pongratz says there is greater scepticism about AI’s ability to reverse the flat revenue trajectory that has defined operators throughout the 4G and 5G cycles though.
Key takeaways from the AI RAN Advanced Research Report:
- The base case is built on the assumption that AI RAN is not a growth vehicle. But it is a crucial technology/tool for operators to adopt. Over time, operators will incorporate more virtualisation, intelligence, automation, and O-RAN into their RAN roadmaps.
- Existing RAN radio and baseband suppliers are well-positioned in the initial AI-RAN phase, driven primarily by AI-for-RAN upgrades leveraging existing hardware.
- AI RAN is projected to account for around a third of total RAN by 2029.
These and other industry segments of the communications space will no doubt prove to be key areas for the agile telco to track.
Antony Savvas