AT&T’s SDN initiatives
AT&T (T) is concentrating on a software-defined networking (or SDN) approach to transforming its network. SDN helps mobile operators such as Verizon (VZ), AT&T, T-Mobile (TMUS), and Sprint (S) in reducing their costs and providing enhanced flexibility. This methodology requires wireless carriers to virtualize their networks rather than spend on dedicated fixed hardware.
During the JPMorgan Global Technology, Media, and Communications Broker Conference held on May 15, Randall Stephenson, AT&T’s CEO, spoke about AT&T’s SDN initiatives.
Stephenson stated, “We’re now several quarters consecutively of taking the cost structure in absolute terms down. It continues to trend down and is providing a lot of opportunity to compete in the marketplace.”
AT&T’s SDN benefits
With the help of SDN-based network solutions, AT&T is looking forward to achieving rapid service delivery along with the efficient utilization of its capital. The mobile operator believes that the combination of its SDN and NFV (network function virtualization) technologies could reduce network delivery costs and SG&A (selling, general, and administrative) costs.
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