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Study: Offloading Some Video Traffic Could Save US Carriers More than $500M

By Andy Szal | May 17, 2018

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Technology that routes mobile video traffic to the internet — instead of network cores — could save U.S. carriers $546 million over five years, a newly released report suggests.

The analysis from Mavenir examined the impact of virtualized media breakout controllers, which send high-data traffic directly to the internet, and thereby extend the capabilities of carriers’ existing operations. The Texas company rolled out a vMBC platform early this year.

Officials added that Multi-access Edge Computing servers, which can create a local breakout of some mobile data traffic at the core and process it closer to end-users, could also reduce strain on networks.

“vMBC offload provides a solid business case for the deployment of edge compute functions where further MEC applications can be hosted and enable a head start in pre-deploying the elements needed for a 5G architecture in a 4G network,” said John Baker, Mavenir SVP of 5G business development.

The report also noted an iGR study anticipating a 78 percent increase in bandwidth per microcell in the U.S. by 2022. iGR President Iain Gillott said although video currently accounts for 80 percent of mobile network traffic, 40 percent of that “is encrypted and of little value to the mobile operator.”

“Offloading that 40 percent alone — 32 percent of the total — produces significant operational savings in both capital and operational costs allowing increased profitability,” Gillott said.

Baker added that shifting that data could extend macrocell backhaul and EPC capacity by more than 25 months.

“Utilizing a vMBC at the edge of the network will decrease and optimize the amount of unprofitable data that needs to be carried through the network,” Baker said. “A greater percentage offload leads to greater profits.”


Filed Under: Infrastructure

 

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