NaaS v VAS

Here comes the new world order

At the start of October 2024, UK operator BT switched on Global Fabric, its Network as a Service (NaaS) platform and, says Paul Skeldon , it could herald a revolution in value added services (VAS)

Everything is a service these days. The latest tangible thing to get an ‘aaS-ing’ are networks. What does that mean? According to AI when asked “what is a network as a service (NaaS)?” it is ‘a cloud-based service model that allows organisations to outsource their networking infrastructure and consume network services on a subscription basis’.

In the real world it describes the provision of network connectivity as a complete end-toend service through a fixed-cost subscription model, encompassing various elements, including hardware, software, management tools, and security features.

Before you yawn and turn the page, NaaS is not some boring networking protocol thing, it is going to revolutionise telemedia VAS, changing it in some profound ways.

For starters, NaaS promises to fundamentally change the relationship between content and services providers and the networks they rely on to distribute their content.

Essentially renting the network from an operator brings about benefits across everything from cost efficiencies, reduced service deployment times, enhanced security and better data gathering. For users, it delivers better, faster services, quicker on-boarding and savings that can be passed on to consumers. It also leads to easier scalability, both as the user base expands and as the VAS company looks to expand geographically.

Jan Hein Bakkers, Senior Research Director, IDC, explains:

“Organisations realise that the network is a critical foundation for their digital-first and cloudcentric strategies. With the launch of Global Fabric, BT addresses their need to transform their networks. IDC research shows that organisations should

adopt a secure and sustainable platform that provides the flexibility, manageability, scalability, and cost effectiveness that can support the right end-user experience for each application. Communications service providers that can deliver performant connectivity solutions with these attributes will be well placed to succeed.”

Chris Sharp, Chief Technology Officer, Digital Realty, adds: “Global Fabric is a great example of how service providers should be innovating and will offer enterprises new options for connecting to Digital Realty, the world’s largest data centre platform. By building a cloud-centric network and locating its PoPs inside our world-leading carrier neutral facilities (CNFs), BT will be able to offer its customers terrific speeds with low latency while helping them minimise their environmental impact.” Many advantages, so let’s drill down.

CONTENT, DATA AND SECURITY

NaaS can enhance content delivery capabilities for telemedia providers faster and more reliable content streaming through optimised network performance. It also leads to reduced latency and improved quality of service (QoS) for video and audio content. The ability to scale network resources dynamically to handle traffic spikes during popular events or releases is also an advantage.

NaaS also gives service providers and VAS companies a new level of data and insights, as these platforms come with more advanced analytic capabilities.

These offer VAS providers the ability to gain deeper insights into content consumption patterns and user behaviour. This leads to optimised content delivery based on real-time network performance data. It also allows for much improved targeted advertising and personalised content recommendations.

Security is also crucial for telemedia providers and NaaS can offer improved protection, with access to advanced security features and protocols without significant investment. Regular updates and patches to protect against evolving cyber threats and improved content protection and digital rights management capabilities are also an advantage.

CONTENT DELIVERY AND USER EXPERIENCE

From a content and user experience (UX) point of view, opting to take advantage of a NaaS approach offers some huge benefits.

From a delivery point of view, it gives VAS providers faster and more reliable content streaming through optimised network

performance. It also, looked at the other way, offers reduced latency and improved quality of service (QoS) for video and audio content. Again, this leads to the ability to scale network resources dynamically to handle traffic spikes during popular events or releases.

This leads to what we all want, better user experience (UX). Consistent performance across different devices and platforms, reduced buffering and improved streaming quality through optimised network routing all lead to better experience for user, which naturally keeps them loyal and helps you grow.

Another side to this is that working with a network operator not only gives you access to a better optimised network, but it also helps future proof a VAS business, offering better support for emerging technologies such as 4K/8K video, virtual reality (VR) and augmented reality (AR) content.

COST EFFICIENCY

This all leads to better services and more loyal customers – customers who keep coming back thanks to the quality of service. It also helps in the more rapid development of new services –especially those that leverage new and emerging tech – which again makes users more sticky. Together this all helps with user acquisition (UA) (see page 1).

But the real advantage it brings, though all these advantages and more, is that it makes running VAS more cost efficient. Alongside having a happier – and growing – customer base, it also shift from capital expenditure (CapEx) to operational expenditure (OpEx) model, reducing upfront infrastructure costs.

The pay-as-you-go pricing that and ‘aaS’ brings allows for better alignment of costs with actual usage and revenue. It also reduces the need for inhouse network management expertise, lowering operational costs.

Bas Burger, CEO, Business, BT, concludes: “Global Fabric will future proof customers’ connectivity by providing flexibility to ensure they’re always connected so they can always be productive. They’re facing a new wave of digital revolution with AI, IoT and automation driving demand for simplicity and better multi-cloud connectivity.

Customers can achieve better total costs, boost app performance and user experience, all while complying with regulations and mitigating cyber threats. Global Fabric means multi-cloud works better on BT.”