5G and IoT has opened up opportunities, but also put requirements on the network infrastructure to support key use cases, based on network slicing. It’s important to leverage on the telco cloud strategy to create value and make your network more agile and your operations more efficient, focusing on automation. Ericsson can help you define a telco cloud strategy based on your strategic objectives – and then plan, build and deploy the capabilities you need to compete in the digitalized marketplace.

1. Telco cloud
transformation
Red Hat Summit 2017
Susan James – Head of NFV Infrastructure

2. Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 2
5G & IOT use cases
LOW DATA VOLUMES
HIGH DATA VOLUMES
HIGH MOBILITY
LOW/NO MOBILITY
10-100X
End-user Data Rates
5X
Lower Latency
10-100X
Connected Devices
10X
Battery Life
1000X
Mobile Data Volumes
Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 2

3. Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 3
VNF VNF
Management & Orchestration & Analytics & Exposure
Virtualization Software Defined
Networking (SDN)
Distributed Cloud Network Slicing
The journey to nfv
@
Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 3

4. Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 4
Operators will deploy NFV/SDN
Will adopt NFV within
this or next year
Will adopt SDN within
this or next year
Source: TBR NFV/SDN Customer Adoption Study H2 2016
Revenues for new services and cost reduction are service provider’s
main drivers for NFV/SDN adoption.
Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 4

5. Integrated
nodes
network evolution to 5G
Virtualized
deployment
Cloud deployment
Network
application
5G Core
Enterprise
Massive MTC
Critical MTC
Mobile Broadband
Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 5

6. Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 6
The best from two worlds
• Industrialized OpenStack Solution
• Support SLA for RHEL workloads
• Software Defined Storage (CEPH)
• End-to-end NFVI solution support
• Carrier Grade
• Unified O&M (Fault and performance management)
• Advanced networking
• Software Defined Infrastructure
• Common management interface
A FLEXIBLE, SCALABLE, CLOUD PLATFORM FOR ENTERPRISES AND TELCOS
Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 6

7. Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 7
The Nfvi glue
• Red Hat Openstack Platform (RHOSP)
• Increased number of supported workloads
• Customers chose the platform(s) they want
• Multi vendor
• No lock-in
• Pure open-source player, upstream first
MOSRHOSP
Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 7

8. Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 8
NFVi is the enabler
Technology People Process Business
Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 8

9. Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 9
Ericsson Target operating model
Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 9

10. Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 10
Telco transformation services
Optimised SDN/NFV Solution Design
Business Benefits
Accelerated Delivery & Integration
NFV Test and DevOps framework
Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 10

11. Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 11
Early deployment experience
Telecom grade readiness
VNF requirements on NFVi
Operational and LCM processes
ETSI NFV interface maturity for multivendor testing
Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 11

12. Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 12
Lessons learned
Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 12

13. Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 13
VNF Onboarding is
Time Consuming
and Costly
Customer Challenges in nfv
Manual VNF
Validation is Time
Consuming and
Costly
Lifecycle
Management is
Complex
Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 13

14. Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 14
Customer challenges in nfv
HW delivery and
installation (weeks)
Migration of
subscribers (hours)
Acceptance testing
(weeks)
Ordering
(days)
Dimensioning
(weeks)
Orchestration/ configuration
of node (days)
SW delivery and
Installation (days)
Live validation
(days)
Orchestration/ configuration
of node (hours)
SW installation
(days)
Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 14

15. Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 15
Ericsson factory
Accelerate verification & on-boarding
Workflow
Driven
Automation
DashboardsTest
Management
Self Service
Web Portals
Services
• Onboarding
and Test
Strategy
• Onboarding
and Test
Automation
• Onboarding
and Test
Execution
• Vendor
Management
Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 15

16. Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 16
Nfv impact on service velocity
Manual Operations Automated Operations
 Add
capacity
ERICSSON NFVI
GUI
Automation
 Activate
new service
60 days
21 days
2 hours
15 min
30 staff 7 staff
Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 16

17. Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 17
34
6
33
9
3
24
6
VoLTE
Services:
Wi-Fi calling
MBB
Enterprise
IoT
New Business
Drivers:
Modernization
Transformation
Capacity Build-out
20+Deployments
LIVE
90+Commercial
Customers
NFV IS MAINSTREAM
Ericsson
VNF
Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 17
Automation

18. Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 18
Why Ericsson NFVi?
Telefonica
Softbank
Telstra
Swisscom
NTT DoCoMo
Modular Certified Solution End-to-end Support
Vodafone
>70
contracts
12 live
networks
Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 18

19. Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 19
Customer cases
Telefonica
Softbank
Telstra
Swisscom
NTT DoCoMo
Vodafone
Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 19

20. Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 20
Ericsson NFV leadership
High Performing VNFs
Deployment
Experience
Services for the
Ecosystem
Automation
10 min to Service
Managed Operations
Carrier-Grade
NFV-I
Realize NFV
Benefits

21. Telco Cloud Transformation | Red Hat Summit 2017 | Public | 2017-05-02 | Page 21