You are currently viewing The Telecoms Industries Progression so far in 2023

The Telecoms Industries Progression so far in 2023

The telecoms industry as a whole has seen an incredible progression throughout the 2023 year, from the expansion of IoT and a growth in popularity of Cloud Services, to an increase in green initiatives. However, 3 topics seemingly gaining traction in popularity are Edge Computing, Network Virtualization and Increased Collaboration.

Edge Computing:

Edge computing refers to a distributed computing model that brings data processing and storage closer to the source of data generation, which is typically located at the edge of the network. Unlike traditional cloud computing, where data is processed and stored in centralized data centres, edge computing decentralizes these functions and performs them at or near the data source (Bigelow, 2021).

Benefits of Edge Computing (Accenture, n.d.):

  1. Reduced Latency: By processing data closer to the source, edge computing reduces latency significantly, enabling faster response times for real-time applications and services.
  2. Real-Time Decision Making: Due to edge computing enabling real-time data analysis and real-time decision-making capabilities, organizations that make use of Edge Computing gain the ability to respond quickly to critical events occurring internally and externally.

Potential Disadvantages of Edge Computing (Accenture, n.d.):

  1. Complexity of Management: Managing a distributed edge computing infrastructure can be more complex and challenging when compared to a traditional centralized architecture, thus requiring robust management and monitoring tools.
  2. Data Governance and Compliance: With data processing and storage occurring at the edge, ensuring data governance and compliance with regulations may become more complex, also requiring additional management and monitoring.

Network Virtualization:

Network virtualization is a technology that allows for the creation of virtual networks on top of physical network infrastructure. Vmware (n.d. a) explains that network virtualization “decouples network services” and functions “from the underlying hardware”, enabling greater flexibility, scalability and efficiency in network management.

In network virtualization, software-defined networking (SDN) and network function virtualization (NFV) play key roles. SDN separates the control plane (network management) from the data plane (network forwarding), allowing centralized control and programmability of the entire network (Vmware, n.d. a). NFV virtualizes network functions, such as routing, firewalling and load balancing, by running them as software on commodity hardware.

Benefits of Network Virtualization (Vmware, n.d. b):

  1. Scalability: Virtual networks can be easily scaled up or down without the need for physical infrastructure changes, allowing organizations to meet their growing or shrinking network requirements more efficiently.
  2. Enhanced Security: Network virtualization provides isolation between virtual networks, ensuring that security breaches in one network do not affect others, improving an organizations’ overall network security.

Potential Disadvantages of Network Virtualization:

  1. Complexity: Implementing and managing network virtualization technologies can be complex, requiring specialized skills and knowledge in SDN and NFV to manage this technology (Geeksforgeeks, 2021).
  2. Vendor Lock-In: Adopting specific virtualization technologies may lead to vendor lock-in, limiting the organizations flexibility to switch between vendors or platforms.

Increased Collaboration:

Increased collaboration in the telecoms industry refers to the practice of fostering closer cooperation and partnerships among various stakeholders, including telecom service providers, technology vendors, regulators and other industry players. It involves sharing knowledge, resources and expertise to drive innovation, improve services and address industry challenges collectively.

Benefits of Increased Collaboration in the Telecoms Industry:

  1. Accelerated Innovation: Collaboration allows for the pooling of diverse expertise, leading to the development of innovative technologies, products and services aimed at driving industry growth and meeting the continuously evolving demands of customers.
  2. Enhanced Network Coverage and Quality: Collaboration among telecoms operators can lead to infrastructure sharing, allowing for more extensive network coverage, reduced costs and improved service quality to thier customers.

Potential Disadvantages of Increased Collaboration in the Telecoms Industry:

  1. Competitive Concerns: Increased collaboration may raise concerns around anti-competitive behaviour, potential market dominance and reduced competition, which could potentially limit consumers’ choice as well as limiting innovation amongst these organizations.
  2. Dependency on Partners: Relying heavily on collaboration may create dependencies on partners or vendors, making it challenging for organizations to switch or adapt quickly to changing market conditions or technological advancements.


Accenture. (n.d.). What is Edge Computing & Why is it important?.

Bigelow, S. J. (2021, December). What is edge computing? everything you need to know. Data Center.

Geeksforgeeks. (2021, March 31). Pros and cons of Virtualization in Cloud Computing.

Vmware. (n.d. a). What is network virtualization?. Network virtualization.

Vmware. (n.d. b). What is Software-Defined Networking (SDN)?. What is Software-Defined Networking.