The future of network and service automation

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1 The future of network and service automation Timo Perälä Nokia September

2 The future of digital service delivery from Digital Service Providers (DSPs) Traditional CSP Focus on elephant massmarket services that can justify the cost & time Expensive and slow to get new service to market due to complex OSS/BSS systems, and manual processes Cloud Transformation Webscales deliver rapid, personalized, on-demand services - leverage cloud automation but mainly over the top delivery CSPs starting to evolve with NFV/SDN to speed the delivery of network services Future DSP Digital experience: broad array of new services that combine cloud services and network resources Tailor virtual networks for each use case: latency, bandwidth, security, choice of functions Agile network: services are rapidly trialed, deployed & scaled Open platform: ecosystem of cloud and network players Source: Analysys Mason New Markets Faster New Services Faster Time to Revenue Higher Customer Satisfaction 2

3 The economic incentive to find new revenue sources is clear for today s CSPs Traditional CSP service revenues in mature markets* ($B) are flat TV Voice Data 1, * Western Europe, Canada, USA, Japan, South Korea, Singapore, Australia, and NZ Source: Gartner Cloud Services ($B) have strong growth but value captured by CSPs has been limited Cloud Advertising BPaaS SaaS Cloud Infra aas VOD/streaming Source: Gartner BPaaS = Business Processes as a Service Future DSP markets ($B in 2025) offer revenue expansion for CSPs Factories Worksites Cities Low Estimate Logistics & Transport 170 Health 1590 High Estimate 3700 Estimated 2025 value creation potential of the IoT - McKinsey Global Institute Connecting the Business to the Network: Value creation lies in smart services 3

4 Network and Service Automation are essential to DSP economics Source: Bell Labs Consulting Without E2E automation NFV/SDN & network slicing add significant cost and complexity 4

5 Closed Loop Automation: there is no silver bullet Many loops are required Loops are autonomous Loops are best when local: Pace Accuracy But need to be abstracted northbound for E2E Input sources By technology By region By legal entity For re-use For simplified abstraction For security PNF SON VNF SDN 5 Closed loops at many layers, as local to the function as possible

6 Perspective: Evolution of network management automation From reactivity to zero-touch automation Network/service operations Past Present Future Reactive Proactive Zero-Touch Level of automation Low: single task Partially automated processes Closed-loop network and service automation Intelligence Descriptive & diagnostic analytics, e.g. anomaly detection Predictive analytics, e.g. for maintenance/repair Prescriptive analytics & machine intelligence Network agility Static network More dynamic with partial software control overlay Fully programmable with embedded software control Source: adapted from Analysis Mason Nokia is already delivering: Service lifecycle orchestration Evolved SOC automations Lean, DevOps design methodology The challenge: to leverage new automation capabilities as part of a master program plan 6

7 PROPRIETARY TELECOM CLOUD INFRA & IT The shift: Transformation from CSP to DSP requires a new automation stack TRADITIONAL BUSINESS SUPPORT SYSTEMS (BSS) DIGITAL Service Provider DIGITAL STOREFRONT CUSTOMER AND BUSINESS AUTOMATION OPERATIONAL SUPPORT SYSTEMS (OSS) Evolution DIGITAL SERVICE LIFECYCLE MANAGEMENT (LCM) Service operations Network & cloud resource management Data layer management PHYSICAL RESOURCES AND INFRASTRUCTURE VIRTUAL & PHYSICAL RESOURCES AND INFRASTRUCTURE Managing complexity and agility of digital services requires a fully automated delivery platform 7

8 The future architecture: What are we aiming for? DIGITAL Service Provider DIGITAL STOREFRONT CUSTOMER AND BUSINESS AUTOMATION DIGITAL SERVICE LIFECYCLE MANAGEMENT (LCM) VIRTUAL & PHYSICAL RESOURCES AND INFRASTRUCTURE Areas of focus for this discussion Service Operations & Cross-Domain Orchestration Fixed Access Domain IP Routing Domain Network Domain Management Virtual &(physical Physical or Resources virtual) Fixed Access Domain, etc. IP/Optical Domain Shared & Domain Specific Data Two level architecture, each with similar operations functions including: Orchestration and fulfillment Topology and inventory Assurance and analytics DevOps Service operations and network domain management with closed loop automation 8

9 Perspective: Evolution of network management architectures From silos and custom integration to full multi-domain automation Increasing operational complexity Operational agility and efficiency Single-Vendor Domains Multi-Vendor Domains Network Virtualization Network Automation Beyond 2018 A new architecture is required to enable network and service automation 9

10 High level architecture: The Future X Network Open APIs External data sources 5 6 Programmable Network OS 7 Augmented Cognition Systems Digital Value Platforms dynamic customer services analytics SDN machine learning Management & Orchestration NFV Vertical apps dynamic network optimization 8 Dynamic Data Security new trust framework multi-operator federation ecosystem sharing Humans & Machines self-optimized coverage & capacity 4 Universal Adaptive Core 2 Converged Edge Cloud access agnostic converged core 3 Smart Network Fabric modular, decomposed network functions common data layer long fibers mass edge monitoring Access Remote short waves & wires 1 Massive Scale Access Future X Network: building the digital fabric for the automation of everything 10

11 Industry alignment: Open Source and Standards collaboration NFV, ZSM, MEC Reuse, do not reinvent Industry has collaboratively defined and agreed on models, interfaces, etc. collateral. Let s (re)use those On concurrent industry collaboration, agree on meaningful work split between organisations 11 There is a requirement to leverage the best of multiple industry initiatives

12 Summary We must automate the network Automation is difficult To bridge silos, we must re-architect the service and domain management layers using a loosely coupled framework to achieve increasing automation over time Automation is most powerful when the domains cross silos and work together We are in this together Nokia

13 Thank you! 13