The TCO of Network Functions Virtualization: Understand the Lifecycle Costs

Telcos are deploying software-driven architectures that their OTT competitors have demonstrated can provide greater agility and flexibility. NFV is a key driver in these transformations that telcos expect will also help them operate more efficiently, which will be particularly crucial as they prepare for 5G. They are taking numerous approaches to transformation, depending on the level of risk and disruption they are willing to accept. Telcos have many choices for solutions at each layer of the architecture, ranging from proprietary to open source. The cost drivers are the same for most transformations, but the solution selected will have different impacts. To make the most informed decision, telcos must consider the full range of lifecycle costs of software-driven architecture solutions.

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