Accurate RAN Planning Saves Billions
Accuracy reduces CAPEX spending
Of course, the operator can choose to use their improved modeling precision for higher capacity, or they can simply defer the investment in additional spectrum and radio equipment. In the same nationwide network model, we calculated the CAPEX savings from reduced numbers of base stations and small cells. In the case with 1 dB RSRP precision, we found that the nationwide network could save about $2 billion over a 10- year period…mainly by deferring capacity investments to a later date. The table shown below illustrates that thousands of gNodeB deployments can be deferred every year, with significant savings over time.
gNodeB installed base (number of sites x number of bands)
2022
2023
2024
2025
2026
2027
2028
2029
2030
Baseline
112,160 126,160 104,860 119,560 7,300 6,600
150,280 174,200 143,080 166,850
210,120 245,250 203,470 236,800
277,640 317,680 268,240 307,180
366,720 352,720
1 dB improved
Sites saved
7,200
7,350
6,650
8,450 9,400
10,500 14,000
In fact, in the case with improved RSRP prediction, the operator may be able to delay the introduction of a mmWave network by as much as three years. Eventually, the operator will need to make most of the investments for capacity, but delaying deployment of difficult new radio bands can make them significantly less expensive.
Accuracy reduces churn
Looking at the options, it’s clear that the operators can use improved RSRP predictions in two different ways: 1) to boost capacity or 2) to save money. They c an’t get the full benefit of both improvements at the same time, but they can choose a position that takes advantage of both benefits to some degree. We believe that most operators will choose to focus on improved RSRP precision for higher capacity, at least in the urban areas. The reason is that peak capacity limitations are an issue in LTE and 5G networks, and capacity limits can lead to dissatisfied customers. In this way, Quality of Service (QoS) also carries a significant financial incentive, as customer churn ties directly to lost revenue. Another way of saying this is that better RAN planning is an inexpensive way to boost capacity and QoS to reduce churn.
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