International Business Machines (NYSE:IBM) has launched a cloud platform focused on telecom operators that are deploying 5G network. The tech company has signed up Samsung Electronics Co Ltd and Nokia Oyj (NYSE:NOK) as partners.
IBM unveils telcos cloud to help in the building of 5G networks
The cloud platform employs software rather than physical equipment in carrying out network functions. Therefore this helps telecom operators in building 5G networks quickly, minimize costs and sell personalized services to enterprise clients. In recent times the US government has been advocating for more involvement of tech companies with 5G network. The latest 5G technology will be an enabler in various aspects of different industries such as remote surgery, autonomous driving vehicles, and automated manufacturing.
Already tech giants such as Amazon.com Inc. (NASDAQ:AMZN) and Microsoft Corp (NASDAQ:MSFT) have launched cloud platforms designed for telecom operators. IBM’s Hybrid Cloud SVP, Howard Boville told Reuters that collaboration instead of completion is the way forward. This is because consumers can get services from more than one provider, be it Microsoft or Amazon. Howard said the IBM will supply its telecom partners with services to run their 5G networks and will help them to sell customized products to business customers. He added that the COVID-19 pandemic had pushed companies not just telcos to adopt digital transformation.
IBM focusing on cloud segment under new leadership
Under Arvind Krishna’s leadership, IBM is splitting into two companies to focus on the high-margin cloud segment. Krishna became IBM’s CEO in April this year, and before that, he was the head of the company’s cloud business. Last year he engineered the $34 billion acquisition of Red Hat whose tech they have used to build the IBM cloud for telecom. So far, the company has signed around 35 partners, including software vendors and network equipment suppliers.
Nokia’s Edge Cloud Head, Jane Rygaard said they are delighted to partner with IBM in developing 5G solutions at telecom edge. She said that this would benefit service provider clients with an additional alternative for deploying 5G networks.