5G APIs are application programming interfaces that allow Telcos (“the 5G infrastructure owners”) to expose and make available the features and capabilities of the 5G network to developers and 3rd parties. This will promote innovation and the realization of various 5G use cases such as network slicing, mobile cloud gaming, location-based services, and more. The 5G APIs have the potential to transform the game and allow Telcos to monetize their capabilities.
Some popular examples of 5G APIs that are gaining ground include:
- RESTful APIs of main Network Functions in the 3GPP 5G Core Network: These are standardized APIs that define the interactions between different network functions in the 5G core network, such as session management, policy control, event exposure, etc.
- Network Exposure APIs: These are APIs that expose the network capabilities and resources to external applications and services, such as quality of service, network status, charging, etc.
- 5G Positioning Open API: This is an API that provides indoor and outdoor positioning services based on 5G networks, using technologies such as radio frequency fingerprinting, angle of arrival, time difference of arrival, etc.
However, despite the promise of Telco API monetization, there will be numerous obstacles to overcome on the way to practical deployment. These will include:
(i) API-Enabled Networks: A Viable Monetization Strategy
5G networks service-based architecture (SBA) is designed to enable a wide range of advanced APIs. It is the part of the network that handles the control and management of 5G services and applications. In SBA, the 5G core network consists of a set of interconnected network functions (NFs), which are software components that provide specific capabilities and functionalities. Each NF can act as a service producer or a service consumer and can communicate with other NFs through a service-based interface (SBI), which is a standardized RESTful API using HTTP/2 or QUIC protocols. This presents a fantastic opportunity for Telcos to expose some of these APIs to 3rd parties and hence monetize the features and capabilities within this space. However, uncertainty exists around which business models will receive sufficient backing from telcos to draw in developers looking for a standard set of cross-operator APIs. Industry is rallying behind initiatives like the CAMARA (Cloud-native API for Mobile network ARchitecture and Applications) as the central coordinating body, but it’s paramount that a diverse set of network API producers are involved in the process. CAMARA is an open-source project within the Linux Foundation that aims to define, develop, and test the APIs that enable seamless access to telco network capabilities. CAMARA works in close collaboration with the GSMA Operator Platform Group to align API requirements and publish API definitions and implementations. The key to using Telco APIs for revenue generation is to achieve cross-network, cross-operator programmability. This would require a variety of sophisticated APIs, able to solve security and quality of service issues in both fixed and mobile networks. Such a landscape is a gold mine for platform vendors who have the potential to unlock a wide range of network capabilities.
(ii) 5G QoS APIs and Gaming: A Power Play
5G QoS APIs are APIs that allow applications to request and obtain a certain quality of service (QoS) from the 5G network, such as bandwidth, latency, jitter, etc.
5G QoS APIs can impact gaming in several ways, such as:
- They can enable cloud gaming, which is the delivery of high-quality games from the cloud to any device, without the need for expensive hardware or downloads. Cloud gaming requires low latency and high bandwidth to ensure a smooth and immersive gaming experience.
- They can support network slicing, which is the creation of virtual networks with different characteristics and requirements within a single physical network. Network slicing can provide dedicated and guaranteed QoS for gaming applications, such as VR/AR, multiplayer, or esports.
- They can enhance mobile gaming, which is the most popular and fastest-growing segment of the gaming industry. Mobile gaming can benefit from 5G QoS APIs by enabling more interactive and immersive games, such as location-based or social games, that require high mobility and performance.
5G QoS APIs present an exciting opportunity for direct consumer engagement. Embedding these APIs in software development kits for games, for instance, can significantly enhance the user experience, providing gamers with optimal network conditions, thus fostering new revenue streams.
(iii) Intent-based, AI-driven Orchestration: The Future
Intent-based, AI-driven orchestration is a concept that aims to automate and optimize the management and operation of networks and services based on high-level user goals or intents.
Intent-based, AI-driven orchestration involves the following steps:
- Capturing and translating user intents into network policies and configurations using natural language processing (NLP), machine learning (ML), and domain knowledge.
- Validating and verifying the feasibility and correctness of the translated intents using formal methods, simulation, and testing.
- Deploying and enforcing the intents across different network domains and layers using software-defined networking (SDN), network function virtualization (NFV), and network slicing.
- Monitoring and analyzing the network performance and user feedback using data analytics, ML, and key performance indicators (KPIs).
- Adapting and refining the intents based on changing network conditions, user preferences, and service requirements using feedback loops, reinforcement learning (RL), and experiential network intelligence (ENI).
Some of the benefits of intent-based, AI-driven orchestration are:
- It simplifies network and service management by allowing users to express their goals in natural language without requiring technical expertise or low-level details.
- It improves network efficiency and reliability by automating and optimizing network policies and configurations based on user intents and network status.
- It enhances user experience and satisfaction by providing customized and adaptive network services that meet user expectations and needs.
Telco 5G API monetization will necessitate investment in cutting-edge technologies like intent-based, AI-driven orchestration and cloud tech to support complex APIs. Granted, these technologies are still nascent, but they hold the key to unleashing the true potential of network APIs.
(iv) Unlocking the Potential: The Role of NEPs
Network Equipment Providers (NEPs) can play a crucial role in helping operators expose their network APIs. They can leverage their deep knowledge of networks to provide API enablement as a professional service, thus setting themselves apart from new market entrants such as CPaaS (Communications Platform as a Service) vendors.
(v) The Two-Camp Conundrum
Currently, network API platform vendors fall into two camps. The first offers technologies that Telcos can use to build their own differentiated NaaS offers. The second plans to provide platforms as a managed service shared by multiple Telcos. It’s yet to be seen which model will dominate, but the commercial strategy of these vendors will be instrumental in shaping the future of Telco API monetization.
