Samsung and Japanese telecoms operator KDDI have signed a memorandum of understanding to introduce new 5G services and look for new business models which involve network slicing technology.
The new alliance will drive the next phase of network slicing innovation in order to advance the next generation of use cases, according to the two companies.
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Network slicing is the act of turning a shared network into a set of logical networks which can be used to serve a defined business purpose. An operator’s network slice can be used by just one enterprise customer or shared by multiple different customers for different use cases.
With network slicing, resources can be efficiently allocated, allowing for tailored network configurations that meet the unique requirements of each customer, according to GlobalData.
KDDI currently offers a range of 5G and internet of things (IoT) services to corporate customers. The company says it is working with its customers to bring “telecommunication into everything” through IoT which allows them to access 5G without being obviously aware of its presence.
The use cases which can be explored through the new alliance could include a low-latency slice for automated vehicles, a high-bandwidth slice for live video streaming and an IoT slice for smart factories – all of which would be under the same network.
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By GlobalData“KDDI has been at the forefront of network slicing innovation, and we are excited to take another significant step forward with Samsung to show how this technology can augment 5G experiences for consumers and businesses,” said Toshikazu Yokai, chief network officer at KDDI.
The news comes as network slicing is still a “work in progress,” according to a new report led by GlobalData analysts Emma Mohr-McClune and John Marcus.
Only 21% of operators known to be investing in 5G have deployed public 5G standalone (SA) networks, a key component to make network slicing viable on top of 5G radio access, the report stated.
5G SA is an implementation of 5G that only uses 5G’s core network, with no dependence on the older 4G LTE network functions.
China is currently the only country where all mobile network operators choose to build out 5G SA from the start. GlobalData found that “Japan, Korea and Singapore are among the most advanced markets” outside of China.
A spokesperson for telecom giant Ericson explained that “enterprises are looking for innovative solutions to meet their needs and to address new opportunities.”
“With network slicing, communication service providers can meet all the needs from their enterprise customers,” they added.
However, network slicing will remain a nascent market globally until “most mobile operators have deployed at least some 5G SA architecture in their public networks to provide coverage in key population,” the research company said.
According to a Global Mobile Suppliers Association report in August 2023, only 115 operators in 52 countries and territories of the 535 operators known to be investing in 5G licenses, trials, or deployments – have made 5G SA investments.
In the UK, 5G subscription share will increase to 69.6% in 2027 from 7.9% in 2021, according to GlobalData.
