
Vodafone Group CEO Margherita Della Valle (left) and British astronaut Tim Peake (right).
- Vodafone claims direct-to-cell world first with AST SpaceMobile
- NEC is rumoured to be lining up a bid for CSG Systems
- Telefónica Tech and IBM collaborate on quantum-safe networking
In today’s industry news roundup: Vodafone claims a world first as it prepares to launch commercial satellite-to-smartphone services in Europe; NEC has its M&A eyes on BSS vendor CSG; Telefónica Tech hooks up with IBM to develop cybersecurity solutions for the quantum-computing era; and much more!
With the satellite-to-smartphone (direct-to-cell) sector seemingly set to become a new battleground for mobile networks operators and their satellite constellation partners, Vodafone Group is claiming to have “successfully made the world’s first space video call using normal 4G/5G smartphones and satellites,” with the constellation in question being that of low-earth orbit (LEO) satellite operator AST SpaceMobile, which counts Vodafone among its telco investors. The video call in question was made by Vodafone engineer Rowan Chesmer from a remote mountainous location in mid-Wales where there is no terrestrial mobile network coverage. His call was routed via one of AST SpaceMobile’s Bluebird satellites and then directed back to earth via a “space-to-land” gateway (dish – see the picture above), which is connected to Vodafone’s mobile core platform: The core platform then routed the video call to the standard Pixel smartphone of Vodafone Group CEO Margherita Della Valle, who (to hammer home the ‘space’ angle) was joined by British astronaut Tim Peake. “Vodafone’s job is to get everyone connected, no matter where they are,” stated Della Valle in this announcement. “Our advanced European 5G network will now be complemented with cutting-edge satellite technology… This will help to close the digital divide, supporting people from all corners of Europe to keep in touch with family and friends, or work, as well as ensuring reliable rural connectivity in an emergency.” Vodafone is now aiming to offer “the first commercial direct-to-smartphone broadband satellite service in Europe from later in 2025 and 2026,” the operator added. Industry analyst Kester Mann, who is director of consumer and connectivity at industry research firm CCS Insight, noted: This is a significant milestone for the burgeoning and increasingly competitive satellite communications sector, which has so far mostly focused on person-to-person and emergency messaging. Using ‘normal’ smartphones has a clear advantage in that there is a large existing market for operators like Vodafone to go after. CCS Insight’s research shows that there are more than 1 billion smartphones in use in the region that could already work with the technology. Offering a commercial service as soon as later this year is ahead of many people’s expectations. However, no details have been shared about pricing, which will be the main driver of takeup. Encouragingly, recent research from CCS Insight shows that almost half of UK consumers could be willing to pay to make and receive voice calls or access the Internet over satellite,” added the analyst. But he also noted that “the opportunity for satellite services in Europe is less clear-cut than in other regions. This is mainly due to the already strong mobile and fibre coverage, meaning that the technology will likely only ever fulfil a complementary role for operators. Places like Africa, Australia and India offer greater potential, either in connecting people for the first time or for people travelling through or into their vast areas that lack terrestrial coverage,” noted Mann. And, of course, AST SpaceMobile isn’t the only company lining up telco partners to offer such direct-to-cell services, with Elon Musk’s Starlink a notable, but by no means the only, rival.
Japanese tech giant NEC, which already owns formidable telco software vendor Netcracker Technology, is reportedly looking to further strengthen its business support systems (BSS) portfolio by acquiring billing and customer care systems vendor CSG Systems, Reuters has reported. CSG is a profitable company with annual revenues of more than $1.1bn and hundreds of customers across multiple verticals, including the telecom/cable operator sector, where the likes of Comcast, Charter Communications, AT&T, Telstra, América Móvil, MTN and Airtel Africa are among its customers. According to the Reuters report, CSG has been seeking a buyer for some time and discussions with NEC are at an exploratory stage. The news gave CSG’s share price a boost – it has increased by more than 6% since the news broke on Wednesday and currently trades at $58.50, giving CSG a market valuation of about $1.7bn.
Telefónica’s digital enterprise services unit Telefónica Tech, which offers cloud, cybersecurity, AI and data analytics services to business users, has teamed up with IBM to develop and offer quantum-safe networking solutions based on the vendor’s products, including IBM Guardium Quantum Safe, IBM Quantum Safe Explorer, IBM Guardium Key Lifecycle Manager and IBM Quantum Safe Remediator. According to Telefónica Tech, the partners will “work together to combine IBM’s quantum-safe technology with Telefónica Tech’s experience in providing managed and professional cybersecurity services with the aim of creating solutions that provide security to companies and public administrations against the new and future security risks of a post-quantum world.” IBM is a strong partner for any service provider looking to develop such capabilities: The tech giant is regarded as the leading developer of technology that will enable quantum-safe networking, according to the results of TelecomTV’s market perception survey that were published in our April 2024 DSP Leaders publication, the Quantum-Safe Networking Perception Report. Raquel Ruiz Lozano, global head of strategic partnerships for Telefónica Tech, stated: “Quantum computing offers incredible opportunities, but it could also pose a significant challenge in terms of cybersecurity. This collaboration agreement with IBM allows us to continue to help address the potential risks of the post-quantum world, thanks to IBM’s quantum safe technology, and to offer our clients solutions to help protect their critical data and face this transformation with security and confidence.” Read more.
Only days after it announced an acquisition to expand its business in Germany, shared network infrastructure provider Boldyn Networks has announced that its operation in the US has secured $1.2bn in debt financing “to accelerate its capital investment to grow and expand its footprint throughout the US market.” Christos Karmis, CEO of Boldyn Networks US, noted in this announcement: “This additional financing represents a major vote of confidence in Boldyn Networks and our ability to deliver on the demands of a rapidly evolving landscape. We are navigating one of the most consequential times in wired and wireless innovation, where expectations across industries – from higher education and military applications to venues, sports, fan experiences, and private wireless networks – are evolving at an unprecedented pace. This funding strengthens our ability to execute on our strategic vision and empowers us to meet these evolving needs with cutting-edge solutions. Boldyn is uniquely positioned to deliver innovative solutions that transform how people live, work and play, enabling our customers to adapt and thrive in this dynamic environment.”
– The staff, TelecomTV
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