Verizon wants to “take the market” by combining 5G and mobile edge computing
Verizon’s new business unit chief, Soumyanarayan Sampath, discussed this week what he sees as three technology trends that, combined with the operator’s 5G network, could see the total addressable market grow to $90 billion. Speaking at Oppenheimer’s 25th Annual Technology, Internet and Communications Conference, Sampath identified 5G-enabled mobility, broadband and distributed cloud computing as “growth paths”.
In terms of mobility, “we have about a 45% share in a very competitive market,” he said. “And every quarter we put points on board to grow that piece. And part of that is when we reach the market that allows us to continue to be a part of this space.”
The broadband piece includes Verizon’s fixed wireless access offering, which includes 4G and 5G connectivity (both C-band and mmWave). “This is a new market for us, a new TAM,” Sampath said. “We haven’t played at this location in the past. It’s probably one of the fastest growing products I’ve come across in my career at Verizon and a wider audience in the industry. ,
The cloud slice draws on Verizon’s work with all three major hyperscalers — AWS, Google, and Microsoft — to advance 5G connectivity to deliver both public and private mobile edge computing capabilities. “As more and more data resides at the edge of the network,” he said, “you want to connect this to very low-latency, high-throughput networks like ours.”
“So three big things: participate in mobility, grow the fixed wireless access business, and then scale up the market or create a market for MEC and 5G,” Sampath added.
Sampath addressed Verizon’s FWA business and described additional products that could be bundled into this service to provide enterprise buyers with a more robust solution: SD-WANs that “bump into ARPU”, with security solution and Unified Communications as a Service ( UCaaS) are equipped. . ), namely Verizon’s video collaboration product BlueJeans.
Broadly speaking, Verizon’s Enterprise Play is following its network-as-a-service strategy. Sampath cites the example of a large retailer with 10,000 stores that require certain bandwidth and reliability, as well as specific security configurations. Verizon “Tech”[s] take care of everything for her. So it comes packaged as a part or piece, but it’s a very significant ARPU increase on our base. What we need to do now is keep getting involved.”