Through the agreement, Tech Mahindra will also provide managed IT, security and network services to Rakuten Mobile, and there are also plans to designate Tech Mahindra as an official reseller of RCP.
RCP is a cloud-native telco platform that enables telcos and enterprises around the world to easily build secure and open mobile networks at speed and low cost, to generate new revenue streams and to offer customers innovative and immersive experiences. RCP was developed by Rakuten Mobile and is based on its new generation mobile network in Japan which combines the latest technology in virtualization and automation, including containers and microservices, and is built on key secure operations principles.
Rakuten in its presentation on Wednesday said the operating expenditure of mobile operators could reduce as much as 30 per cent from current levels if RCP is deployed. "The network optimisation used done through artificial intelligence resulting in operational improvement. RCP is an economic solution for expensive 5G infrastructure investment," it said.
"As a global leading provider of digital transformation, Tech Mahindra is committed towards leveraging new-age technologies to scale digital services for our customers globally," said CP Gurnani, managing director and CEO of the company. "This first of its kind collaboration with Rakuten Mobile not only strengthens our existing partnership with them but will also enable us to drive innovation in the telecom space, provide enhanced customer experience and lead the transformation in mobile network technology from the forefront."
In July, Tech Mahindra foresaw a "bulk" of 5G investments getting pushed to six months into the financial year 2021-22 from current year due to the Covid-19 led uncertainty, according to Manoj Bhat, chief financial officer, Tech Mahindra. This includes 5G investments, roll-outs, and enterprise 5G projects.
Operators and tech companies
can benefit from up to $619 billion market opportunity globally in 2026, according to a recent report by telecommunications giant Ericsson. It expects the global number of 5G subscriptions to top 190 million by the end of 2020 and 2.8 billion by the end of 2025. 5G will account for 18 per cent of all mobile subscriptions by 2025.
Tech Mahindra sells stake in Altiostar Networks for $45 million to Rakuten Mobile
Becomes a preferred partner for its Rakuten Communication Platform (RCP).
RCP powered by AI is expected to reduce operating expenditure and network costs for mobile operators by up to 30% from current levels
5G market potential is $619 billion by 2026 and will account for 2.8 billion users globally.