CSP's top trend report - Introduction and Methodology
So, Internet of Things - IoT - is everything these days, right? Even Communication Service Providers, CSPs, for short, are treating it as a growth market. They, too, want a piece ...
|
Top Trends in CSP IoT and Private 5G Campus ServicesCSP Outlook, Strategy & Plans We’d like to know you |
English |
Once a week, we will send an email update with the new abstracts that came up on the page, and we will be happy to send you as well.
We do not know much more exciting things than you chose to trust us! Now we just have to leave you with everything that is hot and interesting.
Thanks a lot. We'll get back to you soon.
Our site uses cookies technology for functional purposes and the study of usage characteristics. The use of the Site constitutes acceptance of the Terms of Use and the use of cookies.
So, Internet of Things - IoT - is everything these days, right? Even Communication Service Providers, CSPs, for short, are treating it as a growth market. They, too, want a piece ...
So, Internet of Things - IoT - is everything these days, right? Even Communication Service Providers, CSPs, for short, are treating it as a growth market. They, too, want a piece of the pie and so they are beginning to develop and launch specific services. The target market for these services are the enterprises that use IoT as part of their core business. And just like in their business services portfolio, they're creating advanced solutions that go beyond simple data plans for network connectivity. The opportunities are in almost every vertical: healthcare, manufacturing, retail, public utilities, and smart cities. It’s becoming serious business.
In this context, what's this report all about? Well, it's like a behind-the-scenes look at what CSPs are up to in the IoT game. We'll look into their strategies, what they're doing in different industries, and the challenges they're facing. Plus, we'll see if and how they're blending their IoT plans with the world of 5G.
To get our great information, we actually went out and talked to CSPs, surveyed them and even got their aspirations for the forthcoming 18 months. So, this report isn't just a bunch of theories; it's a treasure trove of insights for anyone interested in IoT or looking to up their game in this market.
In our pursuit of deeper insights, we did a big survey with 220 key stakeholders in the telecom world. These stakeholders hail from companies in the US, Europe, and the APAC region. They are directors and higher-ups in departments like Product Management, Network Architecture, Network Engineering, Planning, Technology, and Network Operations. They're the ones making big decisions in the IoT and telecom world, ensuring that we got some valuable insights!
To make sure everything was done right, we brought in the experts at Global Surveyz Research, a distinguished global research entity, to help us out.
Before diving into the insights, let’s talk a bit about RAD. RAD delivers best-of-breed edge, xHaul, and Industrial IoT solutions for CSPs and critical infrastructure pros. With over 40 years of experience, RAD is an experts’ expert who helps CSPs make their networks even better. Whether it's 5G, IoT, AI, or other network magic, RAD's got you covered. They've been in the game since 1981 and are the anchor of the RAD Group.
After entering the number, the mobile send button will be available to you in all items.
|
RAD
Survey Report Key Findings95% of service providers hopped on the IoT bandwagon and are incorporating it into their service portfolio. In our survey, we found that 70% of the respondents are either already ...
03:48
Survey Report Key Findings
95% of service providers hopped on the IoT bandwagon and are incorporating it into their service portfolio. In our survey, we found that 70% of the respondents are either already offering IoT cloud connectivity or planning to offer it in the future. Here's the cool part: 57% of them are providing service integration. In 2023, we are seeing a major shift from simple IoT data plans, which are powered by SIM cards over cellular networks, to more cloud-based connectivity options. This is a major step forward, and one that clearly shows that CSPs recognize the rising demand for more advanced and sophisticated managed IoT services and network differentiation. We also saw that no single industry emerges as the primary target for IoT services. Healthcare is in the lead, with 55% of CSPs focusing their efforts there. Industry and Manufacturing are also hotspots, drawing in 50% of the action, and Retail isn't far behind at 43%. Plus, over a quarter of CSPs are keeping their eyes on Government, Energy, Transportation, and Smart Cities. Another major trend that emerges from the survey is that IoT and 5G are a dynamic duo. 50% of CSPs say their private 5G packages come with a side of managed IoT services. This synergy makes perfect sense considering how 5G allows scalable outdoor coverage – a critical factor in IoT setups. It also enables seamless, low-latency connectivity for AGVs (short for autonomous guided vehicles), mobile robots and other smart devices that you would typically find in the campus network. In other words, 5G is becoming the go-to converged OT-IT campus network. But wait, there's more! As the IoT world diversifies with a wide range of devices and applications, we need better networks and security measures. A significant 58% intend to utilize network slicing for IoT purposes, while 52% are actively developing tools to enforce bounded latency. The Idea of bounded latency is to keep the delay within the network under a pre-set threshold and, in doing so, make sure it maintains ultra-high reliability. That's a big deal when you need to control industrial machinery, perform remote medical procedures, and for immersive augmented reality environments. Plus, 40% are building edge services with big cloud players while keeping the reins in their hands. Let’s not forget the 56% exploring security-as-a-service – a growth market that is in demand. Last but certainly not least, we’ve found that IoT gateways are critical for CSPs for aggregation and connectivity. 97% of CSPs have incorporated IoT gateways within their private 4G or 5G ecosystems. These gateways serve as bridges between various interfaces, aggregating IoT devices into the wide area network or private network. Of this group, 49% are using IoT gateways to integrate the- sensors they already have installed into their newer 4G or 5G networks. Beyond cost considerations, CSPs are chiefly interested in IoT gateways that offer different network interfaces to connect to the many interface types that field sensors smart devices have. For example, they need IoT gateways support WiFi AP, LoRaWAN, and 5G uplinks in the same device. The one size fits all strategy is also evident from CPSs’ preference to keep a single SKU, that is stock keeping unit. The reason for this is that it makes inventory keeping much simpler and keeps costs down, It also makes it easier for CSPs to serve a wide range of verticals and business use cases. We just need your phone...
After entering the number, the mobile send button will be available to you in all items. Send to mobile
After a short one-time registration, all the articles will be opened to you and we will be able to send you the content directly to the mobile (SMS) with a click.
We sent you!
The option to cancel sending by email and mobile Will be available in the sent email.
00:00
03:48
60% Complete
Soon...
|
|
RAD
IoT Verticals and ServicesNow, it’s time to dive into the top verticals where IoT services are popular. CSPs are like fishermen casting a wide net across different industries to meet the booming ...
03:23
IoT Verticals and Services
Now, it’s time to dive into the top verticals where IoT services are popular. CSPs are like fishermen casting a wide net across different industries to meet the booming demand for IoT services. First up, we've got healthcare, stealing the spotlight with 55% of CSPs showing keen interest. Right behind is industry and manufacturing, scoring a solid 50%, and retail isn't far behind at 43%. But here's the deal: IoT isn't limited to these sectors; it's a very attractive technology for industries of all kinds. However, these top verticals are where CSPs see the highest potential for growth opportunities. Now, why are some industries like Oil & Gas not at the top of the list? Well, they often prefer cooking up their own IoT solutions in-house rather than turning to their local carrier for help, and that might explain their lower ranking. In our survey, CSPs revealed the IoT services they're already offering or planning to provide. 43% are offering the simplest service, IoT data plans, to enable IoT devices to connect over cellular networks using SIM cards, 70% are all about IoT cloud connectivity, which allows their enterprises customers to connect low-power devices in their native protocols to IoT applications that are hosted on public clouds. Then we have 57% who offer the most value-add service - IoT integration. These numbers are showing us a clear picture, in which CSPs are leveling up from basic IoT data plans to become more than just the middlemen. They are looking to play a role in the entire IoT value chain. That means they're stepping up with services like cloud connectivity, hosting IoT apps, IoT Security-as-a-Service, and custom integration services for businesses. Many of them see themselves as IoT integrators and providers of IoT managed services. They already have their customer base, network installations and operational expertise. What’s more, CSPs are teaming up with cloud hyperscalers to offer access to IoT applications, in the public cloud, in network edge locations and in private campuses. As for IoT Gateways, these are making a big impact. A massive 97% of respondents have embraced them as essential parts of their private 4G or 5G networks. And for the remaining 3%, 2% are planning to jump on the IoT gateway train too. Nearly half of these respondents (48.5%) see one of IoT gateways’ top functions as bringing older sensors into the new environments of campus network and MEC, that is Multi-access Edge Computing. Then, 38.5% are already thinking ahead, needing their IoT gateway to future-proof their networks with 5G upgrades. And don't forget the 10% who are using IoT gateways to introduce network intelligence which is not available natively from the devices themselves. Some industries, like Oil & Gas and Energy campuses believe IoT gateways are important in the private network ecosystem specifically because of the capability to connect older, existing sensors. They were among the first to implement IoT, and so it makes sense that they will have a significant installed base of smart devices and sensors. It’s therefore no surprise that they top the list, as they need these brownfield devices to be easily integrated into the transforming OT networks. We just need your phone...
After entering the number, the mobile send button will be available to you in all items. Send to mobile
After a short one-time registration, all the articles will be opened to you and we will be able to send you the content directly to the mobile (SMS) with a click.
We sent you!
The option to cancel sending by email and mobile Will be available in the sent email.
00:00
03:23
60% Complete
Soon...
|
|
RAD
IoT Service AspectsNow let's see how CSPs are bundling their new services, to make them more appealing and relevant for their business customers. It looks like CSPs are looking to complement their ...
02:14
IoT Service Aspects
Now let's see how CSPs are bundling their new services, to make them more appealing and relevant for their business customers. It looks like CSPs are looking to complement their IoT offering with cloud, and edge cloud, services. How do we know that? 47% of CSPs are planning to provide IoT services off of their network edge clouds. Then, there's the 39% who intend to bundle IoT into their private 4G or5G offerings, including offering services from the campus edge. Last but not least, 14% will go even further and introduce cloud connect automation. Today, the business applications market is quite fragmented. Enterprises are typically operating in a multi-cloud environment, where different applications are hosted on different cloud platforms. The exact nature of this environment depends on many factors, from the application vendor to the needs and preferences of the enterprise itself, corporate regulations, and so on. If CSPs offer multi-cloud connectivity, it goes a long way in ’’meeting their customers’ needs, and also allow them to offer differentiated services. We see that our survey participants feel the same way. 66% of them consider multi-cloud access for IoT services important. 31% are neutral, and only a fraction, 3%, don’t consider it a must. CSPs are beginning to offer IoT cloud connect services, while growing their relationships with the larger cloud providers. The results of the survey tell us that they intend to become multi-cloud connectivity “hubs”, and offer their business and IoT customers something they don’t have today and avoid the need to establish separate connectivity to each cloud provider. We wanted to get more insights on this issue and asked the 66% who believe multi-cloud is important – why? Here's what they told us: 38% think it's essential because IoT applications reside on the cloud or edge clouds. 33% of them say IoT gateways aggregate multiple sensors or devices that need to access workloads in different clouds, such as public, edge and private. Lastly, 29% said that their business customers multi-cloud strategy dictates an IoT multi-cloud strategy. We just need your phone...
After entering the number, the mobile send button will be available to you in all items. Send to mobile
After a short one-time registration, all the articles will be opened to you and we will be able to send you the content directly to the mobile (SMS) with a click.
We sent you!
The option to cancel sending by email and mobile Will be available in the sent email.
00:00
02:14
60% Complete
Soon...
|
|
RAD
Features of IoT GatewaysAlright, let's talk about the top features of IoT Gateways. Cost is always a major factor, but what do CSPs really want in their IoT Gateways? There are three top must-haves. First...
01:39
Features of IoT Gateways
Alright, let's talk about the top features of IoT Gateways. Cost is always a major factor, but what do CSPs really want in their IoT Gateways? There are three top must-haves. First up, we've got WiFi AP support, scoring a solid 39%. Right behind it, we've got LoRaWAN support at 36%. And then, there's the 5G uplink at 35%. It’s clear that service providers want a variety of LAN and WAN interfaces on their IoT gateways to support the many connectivity options that are in use in the field. We asked the respondents how they plan to handle the varying sensor/machine connectivity requirements across different customers and verticals. 57% prefer a single SKU approach. That means CSPs use a single ordering option for feature-rich IoT gateways that fit all customer use cases, rather than a dedicated ordering option for each use case. This makes sense, as service providers have many verticals to serve, but they also need to keep costs down, not to mention inventory and operational complexity. Then, 23% are thinking custom solutions, tailoring each gateway to specific customer needs. And 20% are going for a streamlined approach, focusing on a select few use cases. We studied more closely this single SKU strategy and saw that it’s important for CSPs no matter their involvement with the customer or how sophisticated their offering is. This shows that CSPs are gearing up to meet all kinds of demands while keeping their inventory management smooth. We just need your phone...
After entering the number, the mobile send button will be available to you in all items. Send to mobile
After a short one-time registration, all the articles will be opened to you and we will be able to send you the content directly to the mobile (SMS) with a click.
We sent you!
The option to cancel sending by email and mobile Will be available in the sent email.
00:00
01:39
60% Complete
Soon...
|
|
RAD
Network Differentiation Tools and their Connection to IoT ServicesLet’s break down what CSPs have cooking in the world of IoT services and network differentiation tools. We asked the respondents if they're planning to apply network ...
04:04
Network Differentiation Tools and their Connection to IoT Services
Let’s break down what CSPs have cooking in the world of IoT services and network differentiation tools. We asked the respondents if they're planning to apply network differentiation tools to IoT services, to properly handle different types of traffic, and if so – how? Their answers are showing the different levels of sophistication of the tools they intend to use to differentiate IoT traffic. They also tell us how CSPs are preparing themselves to the strict latency and reliability requirements of IoT applications. First off, 58% of them are preparing to use dedicated network slices for IoT, once again showing the tight connection between IoT and 5G. 52% intend to enforce bounded latency and ultra-high network reliability onto IoT traffic. 30% are planning to apply Quality of Service (QoS), and 29% say they will backhaul IoT traffic on a dedicated NB-IoT or LTE-M radio access network. Shifting gears, let's talk about 5G Fixed Wireless Access and its game-changing potential for CSPs. 56% of CSPs believe it's the key to extend their service reach outside their current footprint.. 26% believe 5G Fixed Wireless Access is an enabler for offering edge services, while 15% think it can replace wireline access. Only 3%don’t have it on their radar yet. Steering our focus towards the dynamic duo of IoT and Private 5G. These two deemed as the driving forces behind industrial digitization. An impressive 94% of CSPs are gearing up to offer private 5G services in 2023, while only 6% are putting this off. 15% are going all out, offering standalone 5G campus networks and Multi-access Edge Computing. Among the respondents, half say that their private 5G offering includes a standalone 5G campus network and MEC, bundled with managed IoT services, while 29% say their offering includes a hosted private 5G service. Now, when it comes to how service providers are building their network edge, 76% of CSPs say that edge infrastructure will be built by hyperscalers, as they are better fit to provide a scalable cloud infrastructure. 64% are getting ready to offer edge hosting services, an indication that CSPs want to provide IoT managed services to support them in maintaining strong customer relationships. And let's not forget security. It’s important for two reasons: one, service providers are keen to enhance their security services, instead of just re-selling existing solutions as many of them are doing now. It also allows them to move up the services value chain and provide an alternative to on-premises enterprise and IoT security. This is important especially with so many moving parts in the service delivery chain. Second, in the world of IoT, where devices are easily compromised and can be used to gain a foothold to a wider network, security is more critical than ever. 56% of CSPs are embracing the idea, and are expanding their security-as-a-service offerings. Then, 27% have business customers who prefer their in-house security solutions and aren't currently seeking CSP-provided options. But for those offering security, 50% say they host zero-trust network access services, 35% say they provide DDoS protection service, and 30% say they provide firewall-as- a-service. Now we’ve reviewed all the insights gleaned from RAD’s survey to understand the Top Trends in IoT services. We dived into the strategies employed by CSPs, providing a behind-the-scenes look at the role they intend to play within IoT landscape. To gain a deeper understanding of how your organization can leverage these insights and stay ahead in this transformative journey, we encourage you to book a meeting with our experts. We just need your phone...
After entering the number, the mobile send button will be available to you in all items. Send to mobile
After a short one-time registration, all the articles will be opened to you and we will be able to send you the content directly to the mobile (SMS) with a click.
We sent you!
The option to cancel sending by email and mobile Will be available in the sent email.
Soon...
|
95% of service providers hopped on the IoT bandwagon and are incorporating it into their service portfolio. In our ...
95% of service providers hopped on the IoT bandwagon and are incorporating it into their service portfolio. In our survey, we found that 70% of the respondents are either already offering IoT cloud connectivity or planning to offer it in the future. Here's the cool part: 57% of them are providing service integration. In 2023, we are seeing a major shift from simple IoT data plans, which are powered by SIM cards over cellular networks, to more cloud-based connectivity options. This is a major step forward, and one that clearly shows that CSPs recognize the rising demand for more advanced and sophisticated managed IoT services and network differentiation.
We also saw that no single industry emerges as the primary target for IoT services. Healthcare is in the lead, with 55% of CSPs focusing their efforts there. Industry and Manufacturing are also hotspots, drawing in 50% of the action, and Retail isn't far behind at 43%. Plus, over a quarter of CSPs are keeping their eyes on Government, Energy, Transportation, and Smart Cities.
Another major trend that emerges from the survey is that IoT and 5G are a dynamic duo. 50% of CSPs say their private 5G packages come with a side of managed IoT services. This synergy makes perfect sense considering how 5G allows scalable outdoor coverage – a critical factor in IoT setups. It also enables seamless, low-latency connectivity for AGVs (short for autonomous guided vehicles), mobile robots and other smart devices that you would typically find in the campus network. In other words, 5G is becoming the go-to converged OT-IT campus network.
But wait, there's more! As the IoT world diversifies with a wide range of devices and applications, we need better networks and security measures. A significant 58% intend to utilize network slicing for IoT purposes, while 52% are actively developing tools to enforce bounded latency. The Idea of bounded latency is to keep the delay within the network under a pre-set threshold and, in doing so, make sure it maintains ultra-high reliability. That's a big deal when you need to control industrial machinery, perform remote medical procedures, and for immersive augmented reality environments. Plus, 40% are building edge services with big cloud players while keeping the reins in their hands. Let’s not forget the 56% exploring security-as-a-service – a growth market that is in demand.
Last but certainly not least, we’ve found that IoT gateways are critical for CSPs for aggregation and connectivity. 97% of CSPs have incorporated IoT gateways within their private 4G or 5G ecosystems. These gateways serve as bridges between various interfaces, aggregating IoT devices into the wide area network or private network. Of this group, 49% are using IoT gateways to integrate the- sensors they already have installed into their newer 4G or 5G networks. Beyond cost considerations, CSPs are chiefly interested in IoT gateways that offer different network interfaces to connect to the many interface types that field sensors smart devices have. For example, they need IoT gateways support WiFi AP, LoRaWAN, and 5G uplinks in the same device. The one size fits all strategy is also evident from CPSs’ preference to keep a single SKU, that is stock keeping unit. The reason for this is that it makes inventory keeping much simpler and keeps costs down, It also makes it easier for CSPs to serve a wide range of verticals and business use cases.
After entering the number, the mobile send button will be available to you in all items.
Now, it’s time to dive into the top verticals where IoT services are popular. CSPs are like fishermen casting a...
Now, it’s time to dive into the top verticals where IoT services are popular. CSPs are like fishermen casting a wide net across different industries to meet the booming demand for IoT services. First up, we've got healthcare, stealing the spotlight with 55% of CSPs showing keen interest. Right behind is industry and manufacturing, scoring a solid 50%, and retail isn't far behind at 43%. But here's the deal: IoT isn't limited to these sectors; it's a very attractive technology for industries of all kinds. However, these top verticals are where CSPs see the highest potential for growth opportunities. Now, why are some industries like Oil & Gas not at the top of the list? Well, they often prefer cooking up their own IoT solutions in-house rather than turning to their local carrier for help, and that might explain their lower ranking.
In our survey, CSPs revealed the IoT services they're already offering or planning to provide. 43% are offering the simplest service, IoT data plans, to enable IoT devices to connect over cellular networks using SIM cards, 70% are all about IoT cloud connectivity, which allows their enterprises customers to connect low-power devices in their native protocols to IoT applications that are hosted on public clouds. Then we have 57% who offer the most value-add service - IoT integration.
These numbers are showing us a clear picture, in which CSPs are leveling up from basic IoT data plans to become more than just the middlemen. They are looking to play a role in the entire IoT value chain. That means they're stepping up with services like cloud connectivity, hosting IoT apps, IoT Security-as-a-Service, and custom integration services for businesses. Many of them see themselves as IoT integrators and providers of IoT managed services. They already have their customer base, network installations and operational expertise. What’s more, CSPs are teaming up with cloud hyperscalers to offer access to IoT applications, in the public cloud, in network edge locations and in private campuses.
As for IoT Gateways, these are making a big impact. A massive 97% of respondents have embraced them as essential parts of their private 4G or 5G networks. And for the remaining 3%, 2% are planning to jump on the IoT gateway train too.
Nearly half of these respondents (48.5%) see one of IoT gateways’ top functions as bringing older sensors into the new environments of campus network and MEC, that is Multi-access Edge Computing. Then, 38.5% are already thinking ahead, needing their IoT gateway to future-proof their networks with 5G upgrades. And don't forget the 10% who are using IoT gateways to introduce network intelligence which is not available natively from the devices themselves.
Some industries, like Oil & Gas and Energy campuses believe IoT gateways are important in the private network ecosystem specifically because of the capability to connect older, existing sensors.
They were among the first to implement IoT, and so it makes sense that they will have a significant installed base of smart devices and sensors. It’s therefore no surprise that they top the list, as they need these brownfield devices to be easily integrated into the transforming OT networks.
After entering the number, the mobile send button will be available to you in all items.
Now let's see how CSPs are bundling their new services, to make them more appealing and relevant for their business ...
Now let's see how CSPs are bundling their new services, to make them more appealing and relevant for their business customers. It looks like CSPs are looking to complement their IoT offering with cloud, and edge cloud, services. How do we know that? 47% of CSPs are planning to provide IoT services off of their network edge clouds. Then, there's the 39% who intend to bundle IoT into their private 4G or5G offerings, including offering services from the campus edge. Last but not least, 14% will go even further and introduce cloud connect automation.
Today, the business applications market is quite fragmented. Enterprises are typically operating in a multi-cloud environment, where different applications are hosted on different cloud platforms. The exact nature of this environment depends on many factors, from the application vendor to the needs and preferences of the enterprise itself, corporate regulations, and so on. If CSPs offer multi-cloud connectivity, it goes a long way in ’’meeting their customers’ needs, and also allow them to offer differentiated services.
We see that our survey participants feel the same way. 66% of them consider multi-cloud access for IoT services important. 31% are neutral, and only a fraction, 3%, don’t consider it a must.
CSPs are beginning to offer IoT cloud connect services, while growing their relationships with the larger cloud providers. The results of the survey tell us that they intend to become multi-cloud connectivity “hubs”, and offer their business and IoT customers something they don’t have today and avoid the need to establish separate connectivity to each cloud provider.
We wanted to get more insights on this issue and asked the 66% who believe multi-cloud is important – why? Here's what they told us: 38% think it's essential because IoT applications reside on the cloud or edge clouds. 33% of them say IoT gateways aggregate multiple sensors or devices that need to access workloads in different clouds, such as public, edge and private. Lastly, 29% said that their business customers multi-cloud strategy dictates an IoT multi-cloud strategy.
After entering the number, the mobile send button will be available to you in all items.
Alright, let's talk about the top features of IoT Gateways. Cost is always a major factor, but what do CSPs really ...
Alright, let's talk about the top features of IoT Gateways. Cost is always a major factor, but what do CSPs really want in their IoT Gateways? There are three top must-haves. First up, we've got WiFi AP support, scoring a solid 39%. Right behind it, we've got LoRaWAN support at 36%. And then, there's the 5G uplink at 35%.
It’s clear that service providers want a variety of LAN and WAN interfaces on their IoT gateways to support the many connectivity options that are in use in the field.
We asked the respondents how they plan to handle the varying sensor/machine connectivity requirements across different customers and verticals.
57% prefer a single SKU approach. That means CSPs use a single ordering option for feature-rich IoT gateways that fit all customer use cases, rather than a dedicated ordering option for each use case. This makes sense, as service providers have many verticals to serve, but they also need to keep costs down, not to mention inventory and operational complexity. Then, 23% are thinking custom solutions, tailoring each gateway to specific customer needs. And 20% are going for a streamlined approach, focusing on a select few use cases.
We studied more closely this single SKU strategy and saw that it’s important for CSPs no matter their involvement with the customer or how sophisticated their offering is. This shows that CSPs are gearing up to meet all kinds of demands while keeping their inventory management smooth.
After entering the number, the mobile send button will be available to you in all items.
Let’s break down what CSPs have cooking in the world of IoT services and network differentiation tools. We ...
Let’s break down what CSPs have cooking in the world of IoT services and network differentiation tools. We asked the respondents if they're planning to apply network differentiation tools to IoT services, to properly handle different types of traffic, and if so – how?
Their answers are showing the different levels of sophistication of the tools they intend to use to differentiate IoT traffic. They also tell us how CSPs are preparing themselves to the strict latency and reliability requirements of IoT applications.
First off, 58% of them are preparing to use dedicated network slices for IoT, once again showing the tight connection between IoT and 5G. 52% intend to enforce bounded latency and ultra-high network reliability onto IoT traffic. 30% are planning to apply Quality of Service (QoS), and 29% say they will backhaul IoT traffic on a dedicated NB-IoT or LTE-M radio access network.
Shifting gears, let's talk about 5G Fixed Wireless Access and its game-changing potential for CSPs. 56% of CSPs believe it's the key to extend their service reach outside their current footprint.. 26% believe 5G Fixed Wireless Access is an enabler for offering edge services, while 15% think it can replace wireline access. Only 3%don’t have it on their radar yet.
Steering our focus towards the dynamic duo of IoT and Private 5G. These two deemed as the driving forces behind industrial digitization. An impressive 94% of CSPs are gearing up to offer private 5G services in 2023, while only 6% are putting this off. 15% are going all out, offering standalone 5G campus networks and Multi-access Edge Computing.
Among the respondents, half say that their private 5G offering includes a standalone 5G campus network and MEC, bundled with managed IoT services, while 29% say their offering includes a hosted private 5G service.
Now, when it comes to how service providers are building their network edge, 76% of CSPs say that edge infrastructure will be built by hyperscalers, as they are better fit to provide a scalable cloud infrastructure. 64% are getting ready to offer edge hosting services, an indication that CSPs want to provide IoT managed services to support them in maintaining strong customer relationships.
And let's not forget security. It’s important for two reasons: one, service providers are keen to enhance their security services, instead of just re-selling existing solutions as many of them are doing now. It also allows them to move up the services value chain and provide an alternative to on-premises enterprise and IoT security. This is important especially with so many moving parts in the service delivery chain. Second, in the world of IoT, where devices are easily compromised and can be used to gain a foothold to a wider network, security is more critical than ever. 56% of CSPs are embracing the idea, and are expanding their security-as-a-service offerings. Then, 27% have business customers who prefer their in-house security solutions and aren't currently seeking CSP-provided options. But for those offering security, 50% say they host zero-trust network access services, 35% say they provide DDoS protection service, and 30% say they provide firewall-as- a-service.
Now we’ve reviewed all the insights gleaned from RAD’s survey to understand the Top Trends in IoT services. We dived into the strategies employed by CSPs, providing a behind-the-scenes look at the role they intend to play within IoT landscape. To gain a deeper understanding of how your organization can leverage these insights and stay ahead in this transformative journey, we encourage you to book a meeting with our experts.
After entering the number, the mobile send button will be available to you in all items.
|
RADSurvey Report Key Findings |
03:48
|
Survey Report Key Findings
95% of service providers hopped on the IoT bandwagon and are incorporating it into their service portfolio. In our survey, we found that 70% of the respondents are either already offering IoT cloud connectivity or planning to offer it in the future. Here's the cool part: 57% of them are providing service integration. In 2023, we are seeing a major shift from simple IoT data plans, which are powered by SIM cards over cellular networks, to more cloud-based connectivity options. This is a major step forward, and one that clearly shows that CSPs recognize the rising demand for more advanced and sophisticated managed IoT services and network differentiation. We also saw that no single industry emerges as the primary target for IoT services. Healthcare is in the lead, with 55% of CSPs focusing their efforts there. Industry and Manufacturing are also hotspots, drawing in 50% of the action, and Retail isn't far behind at 43%. Plus, over a quarter of CSPs are keeping their eyes on Government, Energy, Transportation, and Smart Cities. Another major trend that emerges from the survey is that IoT and 5G are a dynamic duo. 50% of CSPs say their private 5G packages come with a side of managed IoT services. This synergy makes perfect sense considering how 5G allows scalable outdoor coverage – a critical factor in IoT setups. It also enables seamless, low-latency connectivity for AGVs (short for autonomous guided vehicles), mobile robots and other smart devices that you would typically find in the campus network. In other words, 5G is becoming the go-to converged OT-IT campus network. But wait, there's more! As the IoT world diversifies with a wide range of devices and applications, we need better networks and security measures. A significant 58% intend to utilize network slicing for IoT purposes, while 52% are actively developing tools to enforce bounded latency. The Idea of bounded latency is to keep the delay within the network under a pre-set threshold and, in doing so, make sure it maintains ultra-high reliability. That's a big deal when you need to control industrial machinery, perform remote medical procedures, and for immersive augmented reality environments. Plus, 40% are building edge services with big cloud players while keeping the reins in their hands. Let’s not forget the 56% exploring security-as-a-service – a growth market that is in demand. Last but certainly not least, we’ve found that IoT gateways are critical for CSPs for aggregation and connectivity. 97% of CSPs have incorporated IoT gateways within their private 4G or 5G ecosystems. These gateways serve as bridges between various interfaces, aggregating IoT devices into the wide area network or private network. Of this group, 49% are using IoT gateways to integrate the- sensors they already have installed into their newer 4G or 5G networks. Beyond cost considerations, CSPs are chiefly interested in IoT gateways that offer different network interfaces to connect to the many interface types that field sensors smart devices have. For example, they need IoT gateways support WiFi AP, LoRaWAN, and 5G uplinks in the same device. The one size fits all strategy is also evident from CPSs’ preference to keep a single SKU, that is stock keeping unit. The reason for this is that it makes inventory keeping much simpler and keeps costs down, It also makes it easier for CSPs to serve a wide range of verticals and business use cases. We just need your phone...
After entering the number, the mobile send button will be available to you in all items. Send to mobile
After a short one-time registration, all the articles will be opened to you and we will be able to send you the content directly to the mobile (SMS) with a click.
We sent you!
The option to cancel sending by email and mobile Will be available in the sent email.
00:00
03:48
60% Complete
|
|
RADIoT Verticals and Services |
03:23
|
IoT Verticals and Services
Now, it’s time to dive into the top verticals where IoT services are popular. CSPs are like fishermen casting a wide net across different industries to meet the booming demand for IoT services. First up, we've got healthcare, stealing the spotlight with 55% of CSPs showing keen interest. Right behind is industry and manufacturing, scoring a solid 50%, and retail isn't far behind at 43%. But here's the deal: IoT isn't limited to these sectors; it's a very attractive technology for industries of all kinds. However, these top verticals are where CSPs see the highest potential for growth opportunities. Now, why are some industries like Oil & Gas not at the top of the list? Well, they often prefer cooking up their own IoT solutions in-house rather than turning to their local carrier for help, and that might explain their lower ranking. In our survey, CSPs revealed the IoT services they're already offering or planning to provide. 43% are offering the simplest service, IoT data plans, to enable IoT devices to connect over cellular networks using SIM cards, 70% are all about IoT cloud connectivity, which allows their enterprises customers to connect low-power devices in their native protocols to IoT applications that are hosted on public clouds. Then we have 57% who offer the most value-add service - IoT integration. These numbers are showing us a clear picture, in which CSPs are leveling up from basic IoT data plans to become more than just the middlemen. They are looking to play a role in the entire IoT value chain. That means they're stepping up with services like cloud connectivity, hosting IoT apps, IoT Security-as-a-Service, and custom integration services for businesses. Many of them see themselves as IoT integrators and providers of IoT managed services. They already have their customer base, network installations and operational expertise. What’s more, CSPs are teaming up with cloud hyperscalers to offer access to IoT applications, in the public cloud, in network edge locations and in private campuses. As for IoT Gateways, these are making a big impact. A massive 97% of respondents have embraced them as essential parts of their private 4G or 5G networks. And for the remaining 3%, 2% are planning to jump on the IoT gateway train too. Nearly half of these respondents (48.5%) see one of IoT gateways’ top functions as bringing older sensors into the new environments of campus network and MEC, that is Multi-access Edge Computing. Then, 38.5% are already thinking ahead, needing their IoT gateway to future-proof their networks with 5G upgrades. And don't forget the 10% who are using IoT gateways to introduce network intelligence which is not available natively from the devices themselves. Some industries, like Oil & Gas and Energy campuses believe IoT gateways are important in the private network ecosystem specifically because of the capability to connect older, existing sensors. They were among the first to implement IoT, and so it makes sense that they will have a significant installed base of smart devices and sensors. It’s therefore no surprise that they top the list, as they need these brownfield devices to be easily integrated into the transforming OT networks. We just need your phone...
After entering the number, the mobile send button will be available to you in all items. Send to mobile
After a short one-time registration, all the articles will be opened to you and we will be able to send you the content directly to the mobile (SMS) with a click.
We sent you!
The option to cancel sending by email and mobile Will be available in the sent email.
00:00
03:23
60% Complete
|
|
RADIoT Service Aspects |
02:14
|
IoT Service Aspects
Now let's see how CSPs are bundling their new services, to make them more appealing and relevant for their business customers. It looks like CSPs are looking to complement their IoT offering with cloud, and edge cloud, services. How do we know that? 47% of CSPs are planning to provide IoT services off of their network edge clouds. Then, there's the 39% who intend to bundle IoT into their private 4G or5G offerings, including offering services from the campus edge. Last but not least, 14% will go even further and introduce cloud connect automation. Today, the business applications market is quite fragmented. Enterprises are typically operating in a multi-cloud environment, where different applications are hosted on different cloud platforms. The exact nature of this environment depends on many factors, from the application vendor to the needs and preferences of the enterprise itself, corporate regulations, and so on. If CSPs offer multi-cloud connectivity, it goes a long way in ’’meeting their customers’ needs, and also allow them to offer differentiated services. We see that our survey participants feel the same way. 66% of them consider multi-cloud access for IoT services important. 31% are neutral, and only a fraction, 3%, don’t consider it a must. CSPs are beginning to offer IoT cloud connect services, while growing their relationships with the larger cloud providers. The results of the survey tell us that they intend to become multi-cloud connectivity “hubs”, and offer their business and IoT customers something they don’t have today and avoid the need to establish separate connectivity to each cloud provider. We wanted to get more insights on this issue and asked the 66% who believe multi-cloud is important – why? Here's what they told us: 38% think it's essential because IoT applications reside on the cloud or edge clouds. 33% of them say IoT gateways aggregate multiple sensors or devices that need to access workloads in different clouds, such as public, edge and private. Lastly, 29% said that their business customers multi-cloud strategy dictates an IoT multi-cloud strategy. We just need your phone...
After entering the number, the mobile send button will be available to you in all items. Send to mobile
After a short one-time registration, all the articles will be opened to you and we will be able to send you the content directly to the mobile (SMS) with a click.
We sent you!
The option to cancel sending by email and mobile Will be available in the sent email.
00:00
02:14
60% Complete
|
|
RADFeatures of IoT Gateways |
01:39
|
Features of IoT Gateways
Alright, let's talk about the top features of IoT Gateways. Cost is always a major factor, but what do CSPs really want in their IoT Gateways? There are three top must-haves. First up, we've got WiFi AP support, scoring a solid 39%. Right behind it, we've got LoRaWAN support at 36%. And then, there's the 5G uplink at 35%. It’s clear that service providers want a variety of LAN and WAN interfaces on their IoT gateways to support the many connectivity options that are in use in the field. We asked the respondents how they plan to handle the varying sensor/machine connectivity requirements across different customers and verticals. 57% prefer a single SKU approach. That means CSPs use a single ordering option for feature-rich IoT gateways that fit all customer use cases, rather than a dedicated ordering option for each use case. This makes sense, as service providers have many verticals to serve, but they also need to keep costs down, not to mention inventory and operational complexity. Then, 23% are thinking custom solutions, tailoring each gateway to specific customer needs. And 20% are going for a streamlined approach, focusing on a select few use cases. We studied more closely this single SKU strategy and saw that it’s important for CSPs no matter their involvement with the customer or how sophisticated their offering is. This shows that CSPs are gearing up to meet all kinds of demands while keeping their inventory management smooth. We just need your phone...
After entering the number, the mobile send button will be available to you in all items. Send to mobile
After a short one-time registration, all the articles will be opened to you and we will be able to send you the content directly to the mobile (SMS) with a click.
We sent you!
The option to cancel sending by email and mobile Will be available in the sent email.
00:00
01:39
60% Complete
|
|
RADNetwork Differentiation Tools and their Connection to IoT Services |
04:04
|
Network Differentiation Tools and their Connection to IoT Services
Let’s break down what CSPs have cooking in the world of IoT services and network differentiation tools. We asked the respondents if they're planning to apply network differentiation tools to IoT services, to properly handle different types of traffic, and if so – how? Their answers are showing the different levels of sophistication of the tools they intend to use to differentiate IoT traffic. They also tell us how CSPs are preparing themselves to the strict latency and reliability requirements of IoT applications. First off, 58% of them are preparing to use dedicated network slices for IoT, once again showing the tight connection between IoT and 5G. 52% intend to enforce bounded latency and ultra-high network reliability onto IoT traffic. 30% are planning to apply Quality of Service (QoS), and 29% say they will backhaul IoT traffic on a dedicated NB-IoT or LTE-M radio access network. Shifting gears, let's talk about 5G Fixed Wireless Access and its game-changing potential for CSPs. 56% of CSPs believe it's the key to extend their service reach outside their current footprint.. 26% believe 5G Fixed Wireless Access is an enabler for offering edge services, while 15% think it can replace wireline access. Only 3%don’t have it on their radar yet. Steering our focus towards the dynamic duo of IoT and Private 5G. These two deemed as the driving forces behind industrial digitization. An impressive 94% of CSPs are gearing up to offer private 5G services in 2023, while only 6% are putting this off. 15% are going all out, offering standalone 5G campus networks and Multi-access Edge Computing. Among the respondents, half say that their private 5G offering includes a standalone 5G campus network and MEC, bundled with managed IoT services, while 29% say their offering includes a hosted private 5G service. Now, when it comes to how service providers are building their network edge, 76% of CSPs say that edge infrastructure will be built by hyperscalers, as they are better fit to provide a scalable cloud infrastructure. 64% are getting ready to offer edge hosting services, an indication that CSPs want to provide IoT managed services to support them in maintaining strong customer relationships. And let's not forget security. It’s important for two reasons: one, service providers are keen to enhance their security services, instead of just re-selling existing solutions as many of them are doing now. It also allows them to move up the services value chain and provide an alternative to on-premises enterprise and IoT security. This is important especially with so many moving parts in the service delivery chain. Second, in the world of IoT, where devices are easily compromised and can be used to gain a foothold to a wider network, security is more critical than ever. 56% of CSPs are embracing the idea, and are expanding their security-as-a-service offerings. Then, 27% have business customers who prefer their in-house security solutions and aren't currently seeking CSP-provided options. But for those offering security, 50% say they host zero-trust network access services, 35% say they provide DDoS protection service, and 30% say they provide firewall-as- a-service. Now we’ve reviewed all the insights gleaned from RAD’s survey to understand the Top Trends in IoT services. We dived into the strategies employed by CSPs, providing a behind-the-scenes look at the role they intend to play within IoT landscape. To gain a deeper understanding of how your organization can leverage these insights and stay ahead in this transformative journey, we encourage you to book a meeting with our experts. We just need your phone...
After entering the number, the mobile send button will be available to you in all items. Send to mobile
After a short one-time registration, all the articles will be opened to you and we will be able to send you the content directly to the mobile (SMS) with a click.
We sent you!
The option to cancel sending by email and mobile Will be available in the sent email.
|
We’d love to hear your thoughts.
We are happy to learn and improve for you.