Analyst: Ron Westfall
Publication Date: September 20, 2024
Document #: MCNRW202409
T-Mobile announced a new artificial intelligence with radio access networks (AI-RAN) partnership with NVIDIA, Ericsson, and Nokia. The partnership aims to use T-Mobile’s 5G market influence, the NVIDIA AI Aerial platform alongside Ericsson’s and Nokia’s solid market position across telecommunications solutions to advance AI-RAN ecosystem interest and adoption. All four partners are founding members of the AI-RAN Alliance, investing in a new AI-RAN Innovation Center based in Bellevue, Washington, focused on bringing RAN and AI innovation closer together to deliver transformational network experiences for customers through the development of AI-RAN.
What Is Covered in This Article:
- T-Mobile, NVIDIA, Ericsson, and Nokia invest in a new AI-RAN Innovation Center to drive 5G Advanced and AI innovation aimed at transforming customer experiences and unlocking new economic opportunities.
- T-Mobile-led partnership is focused on bringing RAN and AI innovation closer together to deliver transformational network experiences for customers through the development of AI-RAN.
- T-Mobile and its key AI RAN partners are taking advantage of increased mobile ecosystem interest in AI RAN that is fueled by the accelerating integration of AI throughout RAN portfolio development.
T-Mobile Announces Technology Partnership with NVIDIA, Ericsson, and Nokia to Advance the Future of Mobile Networking with AI at the Center
The News: T-Mobile announced a collaboration with NVIDIA, Ericsson, and Nokia to design and drive the future of mobile networks with AI at the center, potentially transforming the capabilities of radio access networks (RAN) to serve customers in new ways.
T-Mobile Enlists NVIDIA, Ericsson, and Nokia for Bold AI-RAN Push
Analyst Take: T-Mobile shrewdly leveraged its Capital Market Day event on September 18th to unveil its new AI-RAN alliance with NVIDIA, Ericsson, and Nokia. The initiative is deftly timed as AI-RAN is poised to significantly enhance customers’ real-world network experiences, meeting the ever-growing demand for higher speeds, reduced latency, and increased reliability essential for the latest gaming, video, social media, and augmented reality (AR) applications.
From my view, AI-RAN can achieve this by harnessing billions of data points to create algorithms that optimize network adjustments for peak performance and predict real-time capacity needs where customers require it most. Also, AI can enhance RAN performance and automate operations as well as elevate mobile network infrastructure, enabling it to run third-party AI application workloads at the network edge simultaneously.
AI-RAN is being developed alongside other advanced 5G features in collaboration with T-Mobile’s partners. The alliance is prioritizing that AI-RAN concepts will be developed in an open and containerized fashion, such as Open RAN. They will feature virtualized RAN and core components managed from a central cloud. However, I find that AI-RAN stands out as a breakout technology because it can significantly enhance the existing Open RAN architecture. Essentially, this collaboration seeks to demonstrate that AI-RAN will not only fulfill the potential of Open RAN but also surpass its expectations.
AI RAN Market Overview and Prospects
The AI RAN market is a combination of artificial intelligence (AI) with radio access networks (RANs) to improve mobile network performance and capabilities. AI-native RAN underpins the vision of AI RAN creating a system that embeds AI algorithms to administer and govern fundamental mobile networking operations from the physical layer to radio resource management (RRM). AI-native RAN provides a comprehensive approach to enable reliable, intelligent, and efficient networks.
Of key importance, AI is commonly deployed in concert with machine learning (ML) technology across mobile networks including the RAN domain. For multi-vendor 5G networks, AI/ML is integral to bringing together multiple data sources, AI/ML inference functions, and AI/ML training functions. Doing so requires precise policies and rules that can regulate the behavior and communication of each party involved in the creation and consumption of AI/ML capabilities.
The AI RAN market is in the nascent stage, as the sharpening of the definition of the category’s addressable market and market sizing data specific to the AI RAN market segment is evolving. For example, the addressable market for AI in RAN is estimated to grow 45% annually throughout 2023-2028 with the Asia-Pacific (APAC) region identified as the largest market segment for AI in RAN caching applications (according to Research and Markets).
The AI RAN market is drawing significant interest from newly established industry groups such as the AI-RAN Alliance, which made its debut at Mobile World Congress 2024 (MWC24). The alliance’s founding members include Amazon Web Services (AWS), Arm, DeepSig, Ericsson, Microsoft, Nokia, Northeastern University, NVIDIA, Samsung Electronics, SoftBank, and T-Mobile. The group’s mission is to enhance mobile network efficiency, reduce power consumption, and retrofit existing infrastructure, setting the stage for potentially unlocking new economic opportunities for telecommunications companies with AI, facilitated by 5G and further out 6G.
From my perspective, the long-term success of the AI-RAN Alliance will depend on broadening the membership to include more MNOs and suppliers including semiconductor vendors such as Intel, Qualcomm, and AMD. NVIDIA’s prominent role also recalls the formation of the Unified Acceleration (UXL) Foundation, part of the Linux Foundation, in September 2023. Initially consisting of key members Arm, Intel, Qualcomm, VMware, and others, the UXL’s objective is to give developers a compelling alternative to building applications on NVIDIA GPU through the cultivation of standardization and open-source software to build apps for multiarchitecture, multivendor ecosystems.
The HEAVY.AI framework built on NVIDIA Omniverse is aimed at optimizing wireless site placements to reduce the cost and complexity of network operations and improve the customer experience. Advanced data analytics plays a key role as HEAVY. AI offers solutions such as HeavyRF, aimed at delivering network planning and operations tools based on the NVIDIA Omniverse platform for creating digital twins.
Looking Ahead: The AI RAN Fantastic Four
T-Mobile and its key AI RAN partners, NVIDIA, Ericsson, and Nokia, are taking advantage of increased mobile ecosystem interest in AI RAN that is fueled heavily by the accelerating integration of AI throughout RAN portfolio development and deployments. This includes 5G sensors, which increasingly enable mobile network operators to improve RAN and overall mobile network efficiencies as well as augment overall network edge intelligence.
Moreover, I see suppliers increasing the integration of ML processes and AI-enabled RAN platforms that are designed to help decrease RAN power consumption and costs as well as boost digital twin outcomes. Through sustainable operations, sustainable systems, and sustainable architectures, the overall RAN ecosystem becomes better positioned to deliver sustainable business outcomes across mobile network operator environments.
I see suppliers increasing the integration of ML processes and AI-enabled RAN platforms that are designed to help decrease RAN power consumption and costs as well as boost digital twin outcomes. Through sustainable operations, sustainable systems, and sustainable architectures, the overall RAN ecosystem becomes better positioned to deliver sustainable business outcomes across mobile network operator environments.
The alliance’s vision of an AI-RAN cloud-based multipurpose network has the potential to support both traditional telecommunications workloads, such as the core network and RAN, and AI workloads, including internal and external AI as a Service (AIaaS). Through enhanced capacity, energy efficiency, and improved resiliency, the platform can support voice, video, data, and new GenAI applications alongside having the capability to make contextual, AI-powered decisions regarding network performance. AI-RAN can not only enable substantial cost savings and revenue growth for enterprises but also offer benefits that can be extended to various other businesses and industries.
See the complete T-Mobile press release on the T-Mobile site.
Disclosure: The Futurum Group is a research and advisory firm that engages or has engaged in research, analysis, and advisory services with many technology companies, including those mentioned in this article. The author does not hold any equity positions with any company mentioned in this article.
Analysis and opinions expressed herein are specific to the analyst individually and data and other information that might have been provided for validation, not those of The Futurum Group as a whole.
Other insights from The Futurum Group:
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T-Mobile Reports Stellar Q2 2024 Earnings, Raises Guidance for the Year
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Author Information
Ron is an experienced, customer-focused research expert and analyst, with over 20 years of experience in the digital and IT transformation markets, working with businesses to drive consistent revenue and sales growth.
He is a recognized authority at tracking the evolution of and identifying the key disruptive trends within the service enablement ecosystem, including a wide range of topics across software and services, infrastructure, 5G communications, Internet of Things (IoT), Artificial Intelligence (AI), analytics, security, cloud computing, revenue management, and regulatory issues.
Prior to his work with The Futurum Group, Ron worked with GlobalData Technology creating syndicated and custom research across a wide variety of technical fields. His work with Current Analysis focused on the broadband and service provider infrastructure markets.
Ron holds a Master of Arts in Public Policy from University of Nevada — Las Vegas and a Bachelor of Arts in political science/government from William and Mary.
