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HOW DELL TECHNOLOGIES IS SPEARHEADING TELCO INDUSTRY’S SHIFT TOWARDS
MULTI-VENDOR COLLABORATION

Image Credit: Dennis Hoffman, Dell Technologies Telecom Systems Business’ Senior
Vice President and General Manager




BY SIMPLIFYING AND ACCELERATING MODERN, OPEN TELCO DEPLOYMENTS, CSPS HAVE A
QUICKER AND BETTER WAY TO TRANSFORM AND INNOVATE.

By iTnews Asia Team on Dec 5, 2024 1:01PM

The telecom industry, globally and in Asia Pacific, is undergoing tumultuous
change – with AI, the cloud, virtual networking and 5G among new technologies
impacting how services are delivered to customers.

The industry is also grappling with a business environment characterised by high
regulation, stagnant revenues, and escalating expenses, which in turn creates a
tough operating landscape for Communication Service Providers (CSPs).

Growing technology complexity and the high expenditure for infrastructure
development are also hindering their ability to modernise their networks.

CSPs are now under pressure to integrate new and emerging technologies, adapt to
diverse business needs, and deliver services faster.

A recent study by MeriTalk, which polled 450 CSPs globally on the future of the
industry, also found that 90 percent of respondents citing that transforming
their networks is key to their organisations’ survival.

This has led to a growing demand by CSPs for interoperability, innovation, and
the acceleration of digital transformation.

What can CSPs do in their enterprise transformation? How can they move from
legacy and siloed systems to an end-to-end platform and environment that
enhances their capabilities while lowering costs and getting business
resiliency?

Dennis Hoffman, Dell Technologies Telecom Systems Business’ Senior Vice
President and General Manager, said most telecom operators rely on vertical
architectures, where a single vendor supplies all components of the network
stack. While this model offers simplicity, it comes with drawbacks, including
vendor lock-in, limited flexibility, and slows the adoption of new technologies.

As the industry evolves, these constraints ultimately disrupt CSPs from meeting
customer demands and staying competitive in a fast-paced digital economy.

There is an opportunity now for CSPs to look towards modern applications and
open hardware solutions running cloud-native apps and operating models. To do
that, the telecommunications industry has to shift from a traditional vertical
architecture to an open, horizontal architecture, said Hoffman.

This architecture is not dissimilar to the IT-centric multi-cloud transformation
that many enterprises are innovating around. An open, horizontal architecture
enables a consistent experience from the network all the way to the data centre,
including the public cloud infrastructure, private and edge cloud within telecom
networks.

Unlike traditional vertical systems that rely on single-vendor ecosystems,
Hoffman said open systems encourages and ensures collaboration, creating a path
for CSPs to respond to market dynamics more quickly and effectively.

This change is not just a technical adjustment but a fundamental shift in
strategy to overcome limitations, address rising demands, and future-proof
telecom infrastructure.

Why the telecom industry needs an open architecture

Hoffman believes the modern telecom landscape needs to move to a platform that
allows for flexibility, scalability, and collaboration.

“Transitioning from vertical to horizontal architectures is not without its
challenges – CSPs must navigate complex technological landscapes, ensure
integration across multi-vendor environments, and maintain network reliability.

“This is where horizontal (open telecom) ecosystems step into focus, allowing
operators to combine the strengths of multiple vendors and adopt the best
technology solutions available,” he said.

Dell Technologies is working to address the industry’s challenges by firstly;
fostering collaboration between telecom and IT providers and secondly; by
creating solutions that are interoperable and adaptable to diverse use cases.

Hoffman said Dell’s flagship initiative supporting this transition is the Open
Telecom Ecosystem Labs (OTEL). OTEL brings together Dell’s partners and CSPs to
drive innovation and provides CSPs and technology partners with a dedicated
space to collaborate, validate solutions and achieve certifications.

By enabling CSPs to test and refine multi-vendor integrations, OTEL accelerates
the development of secure, scalable, and innovative telecom networks, he added.

The offerings include partner/industry certification, customer solution
validation, and proof of concept along with demonstration and training
programmes to equip CSPs with the skills needed to manage open systems, he
added.

To date, Dell is already working with approximately 100 partners cross the
industry such as Ericsson, Nokia, and Samsung, to deliver solutions to customers
in the Asia Pacific region names which include SoftBank and NTT Docomo.

Crucially, the labs also offer training programs to equip CSPs with the skills
needed to manage open systems effectively.

Dell’s collaborative partnerships extend beyond OTEL, emphasised Hoffman, as it
allows Dell to engage with an ecosystem of software and hardware providers,
bringing together expertise to tackle industry-specific challenges.

Furthermore, he said OTEL offers an environment that serves as a collaborative
space where Dell and ecosystem partners, including silicon providers like
Nvidia, AMD and Intel, to test and validate hardware compatibility.

This ongoing testing ensures that all components continue to work together over
time, reinforcing the reliability and scalability of Dell’s solutions for
telecom networks.

How Dell Technologies bridges the gap with cloud expertise

Hoffman said the current network architecture means that each new generation —
3G, 4G, 5G and so on — requires major capital investments. During each upgrade
phase, equipment suppliers thrive as operators make substantial investments.

“What operators increasingly want is a network architecture that allows them to
make software-based upgrades, similar to how data centers operate. This would
enable them to harness continuous innovations on general-purpose infrastructure
without requiring such heavy investment each time,” he said.

“Instead of purchasing specialised hardware that depreciates over a decade and
then needing to replace it entirely for the next generation, a cloud-based
architecture runs on a general-purpose infrastructure. This means operators can
continuously upgrade and benefit from new advancements.

“Other industries have already adopted this model in IT, and CSPs are
increasingly interested because they've seen its advantages in their IT
operations,” said Hoffman.

On its end, Dell has a strong leverage in supporting CSPs and driving an open
telecom system from its global footprint, legacy in building hardware and track
record with cloud transformations.

Hoffman highlights three key factors that distinguish Dell’s approach. “Firstly,
as a large, connected global company, we offer the scale, reliability, and
support resources that CSPs need to develop their critical infrastructure.

“Secondly, we occupy a neutral position in the tech stack. By focusing on
hardware like servers and storage while integrating with other layers of
technology – including virtualisation platforms from VMware and Red Hat– we do
not compete with the industry in telco-specific software or hardware.”

Thirdly, Dell brings expertise from its work in cloud transformations across
industries, providing valuable insights to support telecom operators as they
transition from traditional IT systems to cloud-based architectures.

“Dell’s Telecom Systems Business (TSB) started with a central aspect around edge
computing, which merges the physical and digital worlds, an approach that is
vital for network operators and CSPs who manage edge infrastructure,” said
Hoffman.

He added that Dell also recognises the lack of specialised hardware for telco
networks and sought to develop hardware tailored to the requirements of radio
access networks, such as specific depth, directed airflow, as well as the
ability to operate in extreme temperatures.

Dell goes further to identify the challenge of ensuring compatibility across a
range of ecosystem components.

Dell Technologies’ key role in 5G rollouts and ensuring 6G readiness

Looking ahead, Dell’s strategy for the telecom sector is aligned with the
broader evolution of the industry, including the ongoing rollout of 5G and
laying the groundwork for the adoption of 6G.

Hoffman said that as CSPs modernise their networks, Dell can be a critical
partner by offering solutions that address both current challenges and future
opportunities.

He added that by enabling CSPs to adopt horizontal architectures, Dell is
helping to set new standards for efficiency, scalability, and innovation in
telecom networks. This also extends beyond technology, by recognising the need
for workforce transformation and the development of new skill sets.

As the industry progresses toward 2030, Hoffman reiterates that Dell’s focus on
open ecosystems provides a path for collaborative innovation, and the practical
solutions it can offer positions it as a vital partner for CSPs navigating the
complexities of digital transformation.

“This approach not only addresses immediate challenges but also sets the
foundation for a more interoperable and agile telecom sector, ready to embrace
the possibilities of 6G and beyond,” he said.

To reach the editorial team on your feedback, story ideas and pitches, contact
them here.
© iTnews Asia
Tags:
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