Amazon and Microsoft’s Strategies in the Telco Domain

by Dimitris Mavrakis | 3Q 2020 | IN-5891
The year 2020 has seen many investments and partnerships for Webscale companies investing in telecoms-related companies and partnering with telcos to extend their reach. For example, Microsoft acquired Affirmed Networks, a virtualized Evolved Packet Core (vEPC) vendor, and Metaswitch, a virtual IP Multimedia Subsystem (vIMS) and virtualized Session Border Controller (vSBC) vendor, while Amazon announced several partnerships with mobile operators (including Vodafone and Verizon) to install its Amazon Web Services (AWS) Wavelength capabilities right within telecom network edge servers. In July 2020, Orange announced a strategic partnership with Google Cloud to collaborate on Artificial Intelligence (AI), edge computing, and data. It’s now becoming clear that telecom operators and vendors have unique strengths that Webscale companies want to take advantage of, but these partnerships come at an uncertain time in the development of 5G due to current geopolitical tensions.