Telefónicawatch
This release
: #130
October 2018: 66pp
Releases/year: 10+
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EXECUTIVE BRIEF

GROUP: MANAGEMENT UPDATE [p.6]

  • Álvarez-Pallete prods Europe to do better
  • Álvarez-Pallete reflecting European mood
  • Table: Diagnosis and proposals for Europe's telecoms sector
  • Financial reports

Table: People movements [p.9]

GLOBAL: 5G [p.12]

  • Telefónica Germany picks Samsung for 5G FWA trial
  • Telefónica and Samsung alliance has been building
  • O2 keeps up 5G drive for hearts and minds
  • O2 on virtual reality show bandwagon

TELECOM INFRA PROJECT [p.16]

  • Telefónica helps reel in vendors for TIP projects 
  • Telefónica beds down in TIP

DIGITAL SERVICES: BIG DATA [p.16]

  • LUCA turns two
  • Beyond the celebrations and plaudits, work continues with AI focus
  • Robots on the shoulders of data giants
  • Telefónica taps Devo to gain service insights
  • Points of connection
  • Cybersecurity deal further links companies

COGNITIVE INTELLIGENCE [p.26]

  • AURA's rapid growth
  • Alonso's AURA permeates Group
  • Partnerships key to launch, and continued growth

ELEVENPATHS [p.28]

IOT [p.29]

  • The ThinX takes off in Barcelona
  • Research put into action with more smart city implementations

WAYRA [p.31]

  • Wind of change blows through Wayra
  • Germany leads the way

LATIN AMERICA: REGIONAL DEVELOPMENTS [p.35]

  • Leap in video content demand anticipated for LatAm

REGIONAL PROJECTS: SUPPLIERS [p.36]

  • Speculation bubbles up on LatAm sell-off
  • Mexico remains a perpetual (missed) opportunity
  • As LatAm sale prospects rise, UK listing plans decline

BRAZIL [p.39]

  • Vivo bulks up on content
  • Vivo primes Brazil for Amazon
  • NFL touches down

PERU [p.43]

  • Clear Blue powers Telefónica internet expansion

EUROPE: GERMANY [p.46]

  • O2 Germany to use Telekom fibre to support 5G
  • Growing rapprochement between rivals
  • O2 willing to work with everyone
  • 5G on the horizon, but controversies remain

SPAIN: EZENTIS WINS TWO TELEFÓNICA ESPAÑA CONTRACTS [p.49]

  • Ezentis supports Telefónica home and away
  • PepePhone comes back to Telefónica for fibre
  • Past disputes put behind rivals as Telefónica embraces wholesaling
  • Movistar Home aimed at Christmas market
  • Vodafone turns to Google for assistance

UK: O2 TEAMS WITH THREE AND SSE TO PLUG FIBRE GAP [p.53]

  • Pure mobile players unite to solve a shared problem
  • O2 opens up management centre
  • Key partners visible at SPMC
  • SMIP proving its value

FURTHER READING

INDEX

A

Acision 56
ADVA Optical Networking 16
AI 21, 22, 26, 27
Alibaba 25
- Alphabet
-- Google 7, 10, 27, 51, 60
- Android 40, 42
- YouTube 10
Alpha Networks 18
Altiostar 18
Amazon 7, 27, 39, 43, 51, 61
- Prime Video 39, 51, 61
América Móvil 42
- Claro 42
Analysys Mason 13
Apple
- iOS 40, 42
Arqiva 13
Aspiro 40
Atos Origin 30
AT&T 17, 18

B

Bezeq
- Pelephone 22
Bharti Airtel 18
Boingo 10
BT Group 10, 54, 55
- BT Wholesale 55
Bundesnetzagentur für Elektrizität, Gas, Telekommunikation, Post und Eisenbahnen (Federal Network Agency for Electricity, Gas, Telecommunications, Postal Service and Railways, BNA/BNetzA/RegTP, Germany) 48, 62

C

China Mobile 18
China Telecom 18
Cisco Systems, Inc 13
CK Hutchison 53
- H3G
-- UK 47, 53, 54, 62
Clear Blue Technologies 43, 61
CNMC 50
Cohere Technologies 12
Colt Group 19
Corus 58

D

Deutsche Telekom 18, 46, 47, 62
Devo Technology 24, 60
Drillisch 48
- Yourfone 48

E

Edgecore Networks 16, 59
El Corte Inglés 51, 62
Empirix 56
Ericsson 13, 41, 55, 56, 61
Etisalat 10
ETNO 6, 8
European Union 8, 38, 41
- European Commission 8
Ezentis 49, 62

F

F5 Networks 56
Facebook 7, 16, 17, 18, 27, 43, 61
- OpenCellular 43, 61
- Telecom Infra Project 16, 43, 59
- WhatsApp 42
Forrester 22, 25
Fractal Analytics 25
Furukawa 36, 61

G

Genpact 25
Goldman Sachs 38
Grupo Ezentis 49
Grupo Santander
- Santander 30
GSM Association (GSMA)
- Mobile World Congress 27, 28, 60

H

HBO 35, 51
Hispasat 30
Hortonworks 21
Huawei 13, 21, 30, 55, 56

I

IBM 25
ICE (Costa Rica) 42
IDC 30
Informa plc 19
- Ovum 26, 27
ING Bank NV 38
International Monetary Fund (IMF) 41

K

Kibo Ventures 25
Korea Telecom 18
KPMG 9
Kudelski Group
- Nagra 33

L

La Liga 52
Lastminute.com 14
Lime Micro 18
LinkedIn 10, 24
Logtrust 25

M

MásMóvil 50
- PepePhone 50
- Yoigo (Xfera) 50
Mavenir 18
Microsoft 27

N

Netflix 7, 14, 35, 36, 38, 39, 51, 62
NFL 40, 42, 61
NGN Fiber Network 47
Nokia 13, 56
NTT 18

O

Opera 25
ORAN Alliance 18, 59
Orange 13, 16, 18, 30, 50
- Spain 30, 50

P

Parallel Wireless 16, 18, 43
PCCW 19
Post Office
- Royal Mail 10

R

Raízen 41
Real Madrid 52
Redeem 58
Regions
- APAC
- China 7, 8, 18, 22, 56
- Japan 18
- EMEA
-- Europe 6, 7, 8, 9, 10, 13, 33, 38, 39, 41, 45, 51, 59, 62
--- France 8, 9
--- Germany 7, 8, 10, 12, 13, 32, 33, 46, 47, 48, 59, 62
--- Ireland 14
--- Israel 22
--- Italy 8
--- Portugal 8
--- Romania 13
--- Russia 9
--- Spain 8, 9, 10, 12, 13, 15, 17, 22, 24, 25, 27, 29, 30, 31, 32, 33, 36, 37, 42, 49, 50, 51, 52, 56, 61, 62
--- Turkey 18
--- UK 7, 8, 10, 13, 14, 32, 33, 37, 38, 40, 41, 53, 54, 55, 56, 57, 58, 59, 62
- Latin America 21, 33, 34, 35, 36, 37, 39, 43, 49, 51, 56, 61
-- Argentina 33, 35, 36, 41, 61
-- Brazil 10, 32, 33, 35, 36, 39, 40, 41, 42, 61
-- Central America 36, 37, 38, 42, 61
-- Chile 10, 13, 30, 33, 35, 36
-- Colombia 32, 33, 35, 36, 49, 60
-- Costa Rica 42, 61
-- Ecuador 9, 35
-- El Salvador 36, 61
-- Guatemala 38
-- Mexico 32, 33, 35, 36, 37, 38, 42, 49, 61
-- Nicaragua 42
-- Peru 18, 32, 33, 35, 36, 43, 49, 60, 61
-- Uruguay 35
-- Venezuela 33
- North America
-- Canada 42
-- USA 6, 7, 13, 19, 40, 42
--- Renfe 33, 60
--- Rhapsody International
---- Napster 40
--- Rivetz 28, 60

S

Samsung 12, 13, 59
SAP 25
Singtel 18
SK Telecom 18
Softbank 40
Sprint 40
SpatialBuzz 56
Spotify 40
Sprint Nextel 40
SSE Enterprise Telecoms 47, 53, 54, 62

T

Technologies
- 2G 57
- 3G 8, 46, 57
- 4G
-- LTE 7, 13, 18, 29, 30, 41, 42, 43, 46, 47, 53, 57, 61
-- LTE-A 42, 61
-- 4K 15, 62
- 5G 7, 8, 12, 13, 14, 15, 16, 17, 29, 42, 46, 47, 48, 53, 54, 56, 59, 60, 62
- Blockchain 19, 28
- Broadband 7, 12, 24, 43, 47, 61
- Cloud computing 38
- CrowdCell 16, 18
- eSIM 52
- Femtocell 57
- ICT 7
- IMS 56
- Internet of Things 13, 28, 29, 30, 31, 38, 41
- IP 7, 16, 18, 24, 43
- LPWA 29, 30
- LTE-A Pro 42, 61
- M2M 13, 30, 38
- NB-IoT 29, 30, 56, 60
- Network functions virtualisation (NFV) 19
- NGN 47
- OpenRAN 16, 18
- SIM 28, 52
- SMS 42
- Software defined networking (SDN) 19
Telematics 52
TV 39, 51
- UMTS 7
- WLAN
- Wi-Fi 10
Telecom Italia
TIM Brasil 16
Telefónica Group 6, 8, 9, 10, 12, 13, 16, 19, 21, 24, 25, 27, 29, 30, 35, 36, 41, 49
- Associates and investments
-- China Unicom 22
-- Digital services
--- Amérigo 25
--- AURA 22, 26, 27, 51
-- ElevenPaths 25, 28, 60
-- LUCA 9, 21, 22, 25, 60
-- M2M 30
-- Open Future 10, 24, 25, 31, 32, 33
-- OTT 6, 7, 14, 35, 36
-- Smart Steps 22
-- Synergic Partners 9, 22, 25
-- Telefónica I+D 22
-- ThinX 29, 30, 31
-- Wayra 10, 25, 31, 32, 33, 41, 60
- Europe
-- E-Plus 47
-- Germany 10, 12, 46, 47, 48
-- giffgaff 10, 58
-- O2 10, 14, 15, 37, 38, 46, 47, 48, 53, 54, 55, 56, 57, 58, 59, 61, 62
-- O2 Broadband 10
-- Spain 9, 10, 27, 30, 33, 49, 50, 51, 52, 56, 60, 62
-- Telefónica Deutschland 10, 12, 13, 46, 48, 59, 60, 62
-- Telefónica Securitas Direct 52
-- Telefónica Soluciones 52
-- UK 10, 14, 38, 47, 53, 54, 55, 57, 58, 62
- Executives
-- Alonso, Chema 22, 26
-- Álvarez-Pallete Lopez, José María 6, 7, 8, 31, 59
-- Arias, Miguel 32
-- Barahona, Claudio 10
-- Bertram, Jo 10
-- Blázquez, David 9
-- Calderón, Miguel 37
-- Carbajo, Cayetano 13
-- Casas, Clara 24
-- Cerqueira, Ana 9
-- Costa Mur, Jordi 9
-- Cunliffe, Neil 10
-- De Beer, Mariano Sebastián 32
-- Del Val, David 22
-- Duncan, Michael 35, 39
-- Elizondo, Antonio 19
-- Esteban Garrido, Gema 9
-- Evans, Mark 14, 58
-- Fairman, Mike 10
-- Fernandez Meana, Claudia 10
-- Franks, Gavin 10
-- Franks, Robert 10
-- Gerke, Axel 9
-- Gil Lizasoain, Elena 21
-- Haas, Markus 48
-- Lopez Lozano, Maria Victoria 9
-- López, Víctor 18
-- Lynch, Ian 10
-- Martín-Villa, Gonzalo 32
-- Mearman, Katherine 10
-- Morales, Carlos 38
-- Morgan, Claire-Marie 10
-- Olivares de Diego, Alejandro 9
-- O Reilly, Brendan 54
-- Oslé, Sergio 51
-- Requena, Alfonso 10
-- San Segundo, Diego 9
-- Schwinning, Patrick 10
-- Viggo Coronil Jonsson, Manuel 10
- Ex-executives
-- Villalonga, Juan 10
- Global Resources
-- 5TONIC 12
-- Cornerstone Telecommunications Infrastructure 58
-- Telefónica?Business?Solutions 9
-- Telefónica Global Services 10
-- Telefónica International Wholesale Services 19, 59
-- UNICA 19
- Latin America 18, 33
-- Brazil 10, 36, 39, 40, 41, 42, 60, 61
-- Mexico 30, 32, 36, 37, 38, 42, 60
-- USA 9
-- Vivo 39, 40, 41, 60, 61
- Movistar+ 24, 27, 51, 52, 60, 62
- Products and services
-- Joined Up 30
-- Movistar+ 24, 27, 51, 52, 60, 62
-- Movistar Play 35, 36, 42
-- O2 o 15, 55
-- O2 Recycle 58
-- pay-TV 27, 35, 39, 42, 50, 51, 52
Telstra 18
Teradata 25
Thames Water 54
Twitter 32, 51, 62

U

United Internet 48
United Nations 36
University of Surrey 15, 59
- 5G Innovation Centre 15

V

Verizon Communications 13
- Verizon Wireless 13
Vodafone Group 16, 17, 18, 30, 47, 48, 50, 51, 54, 56, 58, 60
- Cable & Wireless Worldwide 54
- Germany 47, 48
- Spain 30, 50, 51, 60
- UK 54, 58

  • ADVA and Edgecore moving forward with TIP-driven disaggregated gateways for 5G traffic management.
  • Telefónica co-opetition with Vodafone in full flow through OpenRAN group, with early partners named, including Parallel Wireless.
  • Operators’ joint CrowdCell work could lead to the next big thing in small cells.

Telefónica Group and operator partners in the Facebook-backed Telecom Infra Project (TIP) have displayed some success in their calls on suppliers to join them in advancing the disaggregation of hardware and software in future optical IP networking and radio access network solutions.

During the TIP Summit ’18 in London during October 2018, ADVA Optical Networking and Edgecore Networks were unveiled as two suppliers that have started working on the design and contribution to TIP of an open-networking cell site gateway that conforms to the disaggregated cell site gateway (DCSG) specification developed by Telefónica, Orange, TIM Brazil, and Vodafone Group within TIP.

The two vendors began work on the Odyssey-DCSG project in anticipation of a forthcoming request for information (RFI) from the four operators. TIP is now encouraging other vendors to join the DCSG initiative, which was initiated by Vodafone as part of the Open Optical & Packet Transport (OOPT) project group within TIP.

ADVA said its commercial solution to support the DCSG group within TIP is expected to be generally available in the second half of 2019. The aim of the product is to give mobile network operators a “simple and complete solution” to what is regarded as a key problem with 5G rollouts: how to deploy hundreds of thousands of cell site gateways to meet 5G traffic demands in a cost-effective manner.

Edgecore is helping to design and build the hardware as part of ADVA’s integrated solution. The vendor said its contribution will be available for evaluation in the first quarter of 2019 and is expected to be generally available in the third quarter. Edgecore added that it also recently introduced what it described as the industry’s first open and disaggregated cell site gateway, in conformance with the cell site router gateway specification that AT&T contributed to the OCP Telco Project — part of the Open Compute Project (OCP).

OCP was founded by Facebook to open up data centre development and create infrastructure to meet burgeoning demand. The OCP Telco Project was established to focus on data centre technologies for telecoms companies and shares many of the same members as TIP (which may now be taking over from OCP to lead on more telco-specific data centre projects).

In addition to the DCSG announcement, ADVA said its disaggregated packet optical solution based on Voyager, an optical ‘white box’ developed within the TIP OOPT group, is now commercially available. Vendors Celestica and Cumulus Networks were also namechecked as key developers of the Voyager technology, which has already been tested by Vodafone in Spain (Vodafonewatch, #164).

TIP Summit ’18 was the event’s third annual incarnation, following smaller US predecessors, with perhaps 1,000 attendees and around 30 exhibitors (including demonstration booths and startups affiliated to TIP Ecosystem Acceleration Centres). TIP continues to look European-centric, in terms of tier-1 operators (notably BT, Deutsche Telekom, Telecom Italia, Telefónica, and Vodafone), but with significant presence also from Asia-Pacific (SK Telecom, NTT, etc.) and developing markets (e.g. Reliance Jio, MTN, Bharti Airtel). TIP vendor-spotting is as much about who is not visible (most majors, though Cisco may be creeping in to join early-bird Nokia) as who is on show (mainly challengers, startups and sherpas, plus systems integrators that naturally scent opportunity in a disaggregated world). Mid-to-large suppliers to namecheck include ADVA (brazenly targeting adjacent segments), Aricent and Tech Mahindra (repeatedly flagged as key integrators), Intel, and Radisys. Accenture and Deloitte were also prominent. Interlopers such as Accelleran, Edgecore, Fairwaves, Lime Microsystems and Parallel Wireless are clearly securing credibility, traction and visibility through their involvement in and around TIP. Facebook, as TIP progenitor and continuing chaperone, is omnipresent, and clearly appreciates TIP as a place where it is respected and valued, at a time when its reputation is being battered elsewhere. As an entity, TIP is growing its membership and advancing its projects, but it may now also be at a critical juncture as it matures; needing its operator members to continue to collaborate when projects move beyond pilots towards production and commercialisation, and for larger suppliers to step up. It was interesting to hear different speakers from the same operators and vendors, with some living the TIP dream, whilst compatriots warned of real-world operational dangers.

Telefónica beds down in TIP

During the summit, TIP declared advancements in other areas with Telefónica involvement. Telefónicawatch attended the event, and a fuller review of the developments that emerged will feature in a subsequent issue. Key updates include:

Telefónica and Vodafone issued separate RFIs to the vendor community in June 2018 in relation to technologies based on OpenRAN principles (Telefónicawatch, #128). Since then, the operators are said to have contributed a joint specification to the OpenRAN Project Group and have now selected three vendors as the leading candidates to produce interoperable RAN solutions: Altiostar, Mavenir, and Parallel Wireless. The next step will be to trial OpenRAN platforms with Facebook alongside Telefónica in Latin America (see separate report on Internet Para Todos trials in Peru) and Vodafone in Turkey and Africa. The partners indicated that OpenRAN in trials is proving substantially cheaper than traditional solutions and works “pretty well”.

In August 2018, Telefónica and Vodafone released RFIs for TIP’s CrowdCell relay technology concept, which is intended to boost indoor 4G coverage. The aim of the CrowdCell project, which is already being rolled out in a closed format by some operators, is to create an alternative to small-cell technology at a lower cost. The prospect of using the subscribers’ devices as an alternative to fixed small cells, which will require greater maintenance, land rental, and other costs, is to be explored further. The project has now selected Alpha Networks and Lime Microsystems to provide an end-to-end CrowdCell platform, with Aricent given a notable mention. Lime, which was lauded as having the ‘most-compliant’ end-to-end platform, has its own large ecosystem of collaborators (13 were flagged, including Intel).

Telefónica and Japan-based operator NTT DOCOMO formed a new sub-group of OOPT called Converged Architectures for Network Disaggregation & Integration (CANDI). The aim of the sub-group is to construct an end-to-end reference IP and optical converged network architecture that is “conducive to disaggregation”. It will also evaluate logical integration points among disaggregated components within the reference architecture. Víctor López, Business Developer Strategic Partnerships at Telefónica, was named co-chair of OOPT.

Media reports suggested TIP may consider joining forces with the ORAN Alliance on openRAN research. Telefónica joined the ORAN board in June 2018, along with Bharti Airtel, China Telecom, Korea Telecom, Singtel, SK Telecom, and Telstra. Existing members are AT&T, China Mobile, Deutsche Telekom, NTT DOCOMO, and Orange.

Telefónica and its Internet Para Todos supplier Clear Blue Technologies shared their experiences and advances around power supply in remote areas (see also separate reports), and looked at how this area can be advanced through TIP.

Image: Andy Sutton / Twitter

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