Ericsson and Deutsche Telekom have joined forces to advance their strategic vision of a global network platform business through network APIs, marking a pivotal milestone. The collaboration aims to provide developers and enterprises with communication and network APIs to expedite enterprise digitalization and unlock novel revenue streams for network operators.
The initiative, central to Ericsson’s enterprise strategy, involves creating a global platform that exposes cutting-edge 5G capabilities, including Quality on Demand, speed, latency, and location, via easily consumable network APIs. Developers and enterprises can integrate these features into their applications, fostering the digital transformation of enterprises and enabling operators to monetize their network investments in new ways.
Research firm STL Partners predicts that the revenue potential created by mobile network APIs will exceed $20 billion by 2028, a segment that Ericsson’s platform business is poised to directly address. Moreover, Ericsson envisions substantial revenue opportunities for operators, driven by emerging use-cases based on network APIs. This augments investments in mobile infrastructure to meet the surging demand for advanced network capabilities.
Borje Ekholm, President and CEO of Ericsson, emphasized the transformational potential of 5G for enterprises, stating, “With the capabilities of 5G, enterprises can now leverage mobility to transform their businesses. Through network APIs, developers and enterprises gain easy access to the network’s advanced capabilities, enabling the development of entirely new use cases. Ericsson is redefining the industry by creating a global platform business that fosters innovation through the network.”
Integral to the establishment of this global platform is Ericsson’s recent acquisition of Vonage, incorporating its Communications Platform as a Service (CPaaS) capabilities and developer community. Deutsche Telekom will now host a portal for APIs powered by Vonage, marking an industry milestone.
Tim Hottges, CEO of Deutsche Telekom, expressed pride in being among the first network operators to offer network APIs commercially, emphasizing their network’s critical role as the foundation of the company. “By opening it up, we are creating new ways for customers and developers to generate value for their business. APIs are a key strategic focus for Deutsche Telekom,” he added.
Deutsche Telekom will present access to Vonage communications APIs, branded as ‘MagentaBusiness API,’ in addition to new network APIs. This commercial launch stands as a world-first in the commercialization of network APIs, offering a direct interface to Deutsche Telekom’s mobile network.