Ericsson CEO reveals broadband vision
Hans Vestberg points to mobile broadband as main area of growth potential for telcos.
Hans Vestberg, CEO of Ericsson, laid out his vision for a fully connected society at Mobile World Congress and said that mobile broadband is now the main growth opportunity for telecom operators.
"The biggest growth for operators is in mobile broadband, and it will see different paces of growth across regions," Vestberg said.
"The three forces are the mobility, broadband and cloud, which are to transform into a networked society."
As these three "forces" move into the mainstream in the next 10 to 20 years, individuals and businesses will become part of a ‘networked society' where "everything that needs to be connected will be connected", according to Vestberg.
"With about 50 billion connected devices expected by 2020, we will see its impact on consumers as well as enterprises who have used mobility and broadband in order to transform their business," he said.
Vestberg added that mobile broadband and related applications will play a key role in solving some of the world's major challenges including healthcare, education and global warming.
But Vestberg warned that operators must also prepare for a growing glut of data on their networks, with a significant proportion of users accessing video application via mobile broadband.
"The data consumption in mobile networks will be 25 times higher by 2015, and the majority of traffic in the networks will be related to videos and pictures. By 2016, there's equally going to be much data on smartphones as on PC," he said.
Speaking to the GSMA's Show Daily, Vestberg added that operators could face a challenge delivering the required volume and speed of data required in urban areas.
"The networks speed will be there, but the challenge will be urban locations where we see a requirement for heterogeneous networks.
"These will need to work in a different way from today and be dimensioned differently. We will be announcing products today that go towards solving this issue," the paper reported.
Vestberg added that part of the solution will involve smaller and smarter sites that are capable of being self- dimensioning, as well as the need for operators to divide data services into premium and non-premium services.