Network slicing overview
Network slicing is the cornerstone of 5G architecture which enables the support of diverse 5G services. Essentially, a network slice is a logical network that serves a defined business need with a particular set of characteristics and comprises all the necessary network resources which are configured and connected to each other. Network resources can be physical or virtual and either dedicated to a particular slice or shared between slices. Network slicing enables CSPs to provide elastically scalable and dedicated logical/virtual networks to support service requirements that address the specific requirements of use cases, services, industries and customers.
Multiple network slices share the same physical network infrastructure, control, and support systems, whilst being distinct and isolated from one another. This isolation is essential for providing guaranteed resources for mission-critical applications, for example with critical traffic dedicated to a particular network slice, or to a slice with special properties such as low latency, lower cost or massive scaling capabilities.
5G promises a world of unprecedented speed and differentiated quality of service that has the potential to unleash new revenue streams through a wide array of new service and business models.
However, to maximize 5G monetization, service providers need to be fast to deploy, open to drive innovation, smart to efficiently orchestrate a dynamic network, and quick to capture every revenue opportunity. By utilizing the latest NFV and SDN technologies and practices to abstract the physical infrastructure from the logical network architecture, service providers can adopt a ‘monetization platform’ approach to support the end-to-end services lifecycle, turning their 5G networks into agile monetization platforms.
The benefits of network slicing
5G network slicing is set to become a significant business enabler in terms of differentiated customer experience, simplified operations, capex efficiency, and revenue generation.
Creating revenue opportunities for operators
Network slicing enables operators to serve customers with higher service grade requirements. By tailoring services to the needs of specific customer segments, CSPs can increase service value and charge premium fees.
Network slicing also allows operators to reach new customers by offering customized solutions for different industry verticals, enabling large volumes of customized use cases to create brand new revenue streams.
Enhancing customer experience
Network slicing enables mobile operators to offer specialized services to precisely address the specific needs of customers for tailored technical, performance, regulatory, security or other requirements. By provisioning dedicated customized network slices, operators can improve service performance and customer experience, thereby increasing customer satisfaction.
Providing efficient and simplified operations
As network slices will be isolated from one another, provisioning, maintaining, scaling and terminating a network slice can be done with no service impact or disruption, and no degradation of other network slices. Real-time instantiation of network functions and dynamic resource allocation mean that the resources allocated to each network slice can be optimized. This will also make testing and launching of new services and use cases faster to the market while lowering risks and cost of investments.
Realizing cost efficiency
The isolated nature of network slices dictates that network functions and resources for each network slice are dynamically scaled according to real traffic/service demand. Network slices are built with only relevant network capabilities that match the needs of the service, use case, or business case they serve. Different network slices can still share network resources and functions to gain better cost efficiency.