Cloud-based 5G to handle 50% of cellular traffic by 2028

A recent study by Juniper Research indicates that cloud-based networks will handle 50% of all cellular traffic by 2028, suggesting a significant shift towards more dynamic 5G networks. The volume of cellular data serviced by the cloud is expected to increase from 700,000 PB in 2024 to 2.8 million PB by 2028. This transformation will be driven by operators deploying cloud infrastructure to enhance network efficiency.

One of the primary advantages of this cloud infrastructure expansion is the facilitation of dynamic resource provisioning. This process enables operators to allocate network resources in near-real-time, thereby enhancing the reliability of 5G networks. By redistributing network resources to areas experiencing high demand, operators can prevent congestion, ensuring smoother network performance.

Dynamic resource provisioning, defined as the distribution of telecommunications network resources in near-real-time, is increasingly seen as crucial for the future of 5G networks. According to the report, the transition to cloud-based 5G networks is essential for enabling this kind of provisioning. The automation provided by cloud infrastructure allows operators to allocate computing resources for network functions quickly and efficiently.

Juniper Research's report stresses the importance of integrating automated dynamic resource provisioning with other network automation and resource management forms. This integration is vital for ensuring a unified approach, maximising network efficiency and performance, and avoiding a fragmented array of resource management strategies and software.

The report also highlights energy and smart cities as key verticals for early monetisation of cloud-based 5G network services. Given the critical infrastructure role of these sectors, reliability is paramount. Operators can exploit this need by charging a premium for enhanced service reliability. Research author Alex Webb emphasised, "To charge a premium, operators must couple increased reliability with improved latency and throughput, providing prioritised network slices to connections where possible."

This recent research is noted for its comprehensive assessment of the telecommunications cloud market. It includes extensive market analysis, a Competitor Leaderboard, and in-depth forecasts for 60 countries, offering a dataset with close to 11,000 market statistics over a five-year period.