Everything you need to know about Open RAN

What is Open RAN?

Open RAN (Radio Access Networks) refers to a new approach to building mobile networks, connecting smartphones and other devices to the core network—also known as a backbone network supporting the entire network’s functionality. Unlike traditional RAN, Open RAN is a disaggregated system that allows the interoperability of components from different vendors.

By opening up the interfaces inside the radio access network, and allowing new entrants to the ecosystem, service providers and the telecommunications industry prevent vendor lock-in, increase competition and drive innovation. This not only improves diversity of supply but also has the potential to reduce costs and improve efficiency. This ongoing shift in the mobile network architecture is made possible through the open interfaces between different components specified by 3GPP and O-RAN Alliance and the integration of these components.

What are the drivers for Open RAN?

In partnership with Ofcom, our  SONIC Labs programme is focused on four objectives:

1. Vendor diversification and competition
2. Ecosystem innovation
3. Opportunities to drive energy efficiency
4. Creating new revenue opportunities

1. Vendor diversification and competition

Established as part of the UK’s national 5G Supply Chain Diversification Strategy, published in 2020, SONIC Labs is playing a leading role in global technology developments to create a more open, competitive and diverse supply market in the UK.

There is significant interest from international participants looking to build relationships with UK companies, helping to broaden knowledge and understanding of the UK’s diversification strategy. SONIC Labs has had over 150 strategic engagements across the sector, working with 20 vendors and 33 unique products across 59 tests as part of the programme – and this number is growing, with our latest participants completing the programme at the end of 2024. As the UK telecoms market becomes more accessible to new market entrants, the UK is fast becoming recognised for its Open RAN innovation and telecoms supply chain diversification. SONIC Labs’ global community of Open RAN innovators, industry, academia and government informs our work in driving long-term industry adoption and application of open network technologies. Learn more from our ‘Guide to Open RAN Vendors and Products’.

2. Ecosystem innovation

Large scale collaboration is key to driving innovation in the global Open RAN ecosystem, and by sharing insights and early learnings from both national and international stakeholders, the SONIC Labs programme is fostering meaningful collaborations with Wireless Infrastructure Providers, Testbeds, and Mobile Network Operators (MNOs) through our Strategic Advisory Board and Industry Groups.

The key Open RAN innovation pathway is the RAN Intelligent Controller (RIC), a new function defined by O-RAN Alliance, and built on principles of automation, artificial intelligence (AI) and machine learning (ML) to use network resources more efficiently. The RIC component adds a new level of intelligence and virtualised functions in network infrastructure, helping providers differentiate and further monetise services. At Digital Catapult, we have been seizing this opportunity with innovators through our Technology Access Programme with a focus on RIC.

3. Opportunities to drive energy efficiency

It’s crucial for the telecoms industry to find innovative ways to save energy as traffic demands and pressures to decarbonise increase – energy costs account for up to 40% of network operating expenses, and most of that energy is used by the radio access network and power amplifiers. To tackle this challenge, our innovation challenge focused on the RAN Intelligent Controller (RIC). One of its key features is to support and optimise the quality of service and coverage while also impacting energy usage.

4. New revenue opportunities

UK operators’ EBITDA (earnings before interest, taxes, depreciation, and amortisation) was on average ten percentage points lower than the European average. Evidence suggests that high capital costs and comparatively low returns on capital investment compound each other and create significant market barriers. Open RAN technologies have the potential to lower barriers to entry and enable greater competition in the UK market.

Open RAN has its challenges

Addressing integration complexity through rigorous testing

Despite all the benefits Open RAN brings, it does come with challenges and barriers, and one of those challenges is the integration complexity. Integrating diverse RAN components becomes a complex exercise since it involves combining hardware and software elements from multiple vendors, each with its own specifications, interfaces, and configurations.  

Achieving smooth integration and functionality across the entire network requires careful planning, rigorous testing, and well-defined interfaces to bridge the gaps between different components. This is what SONIC Labs is about; to facilitate the rigorous testing by multiple different vendors, build the skills set and drive the development of the Open RAN ecosystem.

Open RAN technologies and Digital Catapult

Digital Catapult has been driving deep tech adoption for over a decade. We are a lead delivery partner in the UK Telecoms Innovation Network (UKTIN) and a member of the Telecom Infra Project, the O-RAN Alliance and one of the European lab hosts for the O-RAN Alliance PlugFest.

Interested in learning more about Digital Catapult’s SONIC Labs? Register your interest.