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Microsoft takes on Ericsson in UAE using Azure Operator Nexus

Is Azure Operator Nexus going to take on the telecom industry?

3 min. read

Updated onMarch 4, 2024

updated onMarch 4, 2024

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Update:

An Ericsson communications official contacting us to clarify the information in our news article:

Ericsson is Etisalat’s provider of User Data Management (UDM), a part of Ericsson’s Core portfolio, since 2020. We are not the incumbent packet core provider. Ericsson’s relationship with Etisalat, which also includes many other products of our broad portfolio, continues as is and has not been impacted by the cited contract with Microsoft.

Microsoft gave a strong signal withAzure Operatorthat telecom industry will soon follow the AI path and now, the giant has signed a 5G deal with Etisalat that paves the way for a strong development in the industry.

Etisalat has taken Microsoft’s 5G core network applications to host them on the Nexus platform. The 5G packet core is a development of the Affirmed technology bought by the Redmond giant in 2020, fused with the technology picked up from another telecom acquisition of Metaswitch.

Now, everything comes together and it seems that the major loosing party in this deal is Ericsson, who had Etisalat as a core customer. According to a2023 Ericsson press release, the European company was celebrating reaching the 13 Gbps 5G downlink speed threshold with Etisalat.

The Ericsson official cleared this issue out saying that the above press release was related to Radio Access Network (RAN), not to Core.

How will Etisalat use Microsoft’s technology?

In an interview forLightReading, Yousef Khalidi, the corporate vice president of Microsoft’s Azure emphasized the importance of this deal with the United Arab Emirates’ Etisalat company:

This is not just a small network on the side, an IoT or backup network. This is real production going on.

However, according to the official, Etisalat will not simply set all its core in the public cloud. Azure Operator Nexus is a hybrid cloud solution which allows the operator to run its user and control planes of the network on premises. Only the management plane data will flow to the cloud.

Microsoft addresses the sovereignty concerns about sensitive data storage in other countries when it set up its public cloud facilities in UAE in 2019, so there is no need for further concerns.

What is Microsoft future in the telecom industry?

Big telecoms are reluctant to handle their platforms though a third-party cloud operator and prefer handling this data themselves, but they are also behind innovation.

Microsoft is already preparing a cloud core deal with the smallest UK mobile network operator, Three, which previously had a deal with Nokia for this operation.

And it seems that the common denominator for Microsoft’s success in this business are its AI infused cloud solutions.

My message to all of them is that they need to look at the option of moving up the stack and using more AI apps in their system, to look at adding value as opposed to doing plumbing. Leave the plumbing the plumbers. I have to admit not all of them are there yet, but there is movement.

The telecom industry, like any other, is prone to change and evolution and it seems that Microsoft has the right recipe for that.

What do you think about the Microsoft Etisalat deal? Let’s discuss it in the comments section below.

More about the topics:business,microsoft,Microsoft Azure

Claudiu Andone

Windows Toubleshooting Expert

Oldtimer in the tech and science press, Claudiu is focused on whatever comes new from Microsoft.

His abrupt interest in computers started when he saw the first Home Computer as a kid. However, his passion for Windows and everything related became obvious when he became a sys admin in a computer science high school.

With 14 years of experience in writing about everything there is to know about science and technology, Claudiu also likes rock music, chilling in the garden, and Star Wars. May the force be with you, always!

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Claudiu Andone

Windows Toubleshooting Expert

Oldtimer in the tech and science press, with 14 years of experience in writing on everything there is to know about science, technology, and Microsoft

With KB5043178 to Release Preview Channel, Microsoft advises Windows 11 users to plug in when the battery is low#

Copilot in Outlook will generate personalized themes for you to customize the app#

Microsoft will raise the price of its 365 Suite to include AI capabilities#

Death Stranding Director’s Cut is now Xbox X|S at a huge discount#

Outlook will let users create custom account icons so they can tell their accounts apart easier#

Microsoft takes on Ericsson in UAE using Azure Operator Nexus#

How will Etisalat use Microsoft’s technology?#

What is Microsoft future in the telecom industry?#