5G success hinges on Shared RAN

The architecture allows components from different vendors to inter-operate across various MNOs, thereby drastically reducing the Capex and Opex

The average Internet consumption in India per user per month is up to 20 Gigabytes from Mobile Networks. This is the highest dependency and consumption via mobile in the world for data access. With the rollout of 5G rollout already underway, it is expected that the volume of mobile data may further jump manifold. This raises the question of whether the traditional Radio Access Network (RAN) deployment model can meet the end user’s needs.

Radio Access Network distributes the network from the core network data centre to the end customer. The access network goes down every road and every city. It is distributed through fibre cables and towers. Typically, the RAN deployment may account for 60% to 65% of the Capex of Mobile Network Operators (MNOs).

The traditional model of RAN deployment may have worked well for 4G, but when it comes to supporting 5G, it is financially not feasible. This is primarily because a 5G wave can’t travel the same distance as a 4G wave, owing to its higher frequency and shorter wavelength. To augment the reach of 5G waves, the access network infrastructure must be brought close to customers to provide the user with a seamless experience. The number of 5G micro cells needed to deliver high-quality services to end customers will be more than 2x the number needed for 4G.

Traditional RAN architecture in place uses proprietary equipment as part of a monolithic stack, which cannot be interoperable with the equipment of another MNO. This creates duplication of infrastructure and an unnecessary increase in Capex and Opex costs for MNOs, thereby limiting the business case for where such investment is justified. For example, higher rentals in denser areas or high-value venues restrict the deployment of access network components as expansion is not financially viable. Likewise, investment in rural areas, owing to lower demand and revenues, further presents business case challenges.

The traditional model of RAN deployment may have worked well for 4G, but when it comes to supporting 5G, it is financially not feasible.

To tackle these shortfalls of traditional RAN, active infrastructure sharing through Shared RAN serves as the best solution. Shared RAN uses an architecture that allows various vendor components to inter-operate across various MNOs. As a result, MNOs can drastically cut down on the Capex and Opex costs that they currently incur to deploy their own RAN.

Shared RAN also occupies less space, making it easy to deploy in denser areas with expensive real estate, and in aggregate uses less electricity, thereby making it greener. It can even be used to provide coverage in low-demand areas. Through this approach, Shared RAN increases the quality of end customer experience while improving economics for MNOs. The case in point is the recent deployment of Shared RAN at Mumbai Central railway station, one of the densest locations in the country. The project led to an increase in speed by five times, from 3 Mbps in peak hours to 15 to 20 Mbps. In another one of their tests, the speed even shot up to 115 Mbps.

Shared RAN offers enormous benefits to MNOs in terms of cost efficiency, technology, and scalability. Network virtualisation through Shared RAN is set to bring a paradigm shift in the way data is distributed. In times to come, because of its ability to deliver a solution in high-cost or high-density areas, Shared RAN will have the maximum share among the network deployment models adopted for delivering data capacity deep into the edge of the network. Active infrastructure sharing through Shared RAN is not going to be an alternative anymore, it is going to be the only viable solution for MNOs in such locations.

By Kunal Bajaj

Kunal is the CEO and Co-founder of CloudExtel

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