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Research Reveals 28 Percent of Mobile Network Operators in Developed Asia-Pacific Markets Will Offer Some Level of 5G Commercial Service by 2020, Compared to Global Norm of 8 Percent

In research released by telecommunications research and consulting firm Analysys Mason titled “The Impact of 5G on Wireline Networks in Asia-Pacific,” new information unveils the forthcoming impact of 5G integration for mobile network operators (MNOs) in Asia-Pacific (APAC).

Of note, it was found that 5G migration will be unlike anything APAC MNOs have experienced in the past. The research shows that strategic investment in wireline infrastructure is crucial for operators in APAC to achieve success in supporting future 5G services. Currently, less than 25 percent of APAC MNOs surveyed have a fully integrated wireless/wireline strategy, with the majority planning both sides concurrently, yet independently. The research found APAC MNOs must develop a converged holistic wireline strategy, even if plans to integrate 5G radios are still a ways off.

Other Key Findings:

  • Respondents to Analysys Mason’s survey shared that top drivers in APAC to deploy 5G by 2023 are lower Total Cost of Ownership (TCO), greater efficiency and flexibility in harnessing resources including spectrum, fiber and radio network, and support for new revenues.
  • 71 percent of MNOs in the developed APAC region are already engaged in some 5G planning to launch 5G services prior to 2024, but only one quarter of those in emerging APAC regions have started.
  • Surveyed MNOs cite diverse reasons for implementing 5G at an early stage (2018 to 2023) including: enhancing networks to support a high-profile event such as the Tokyo Summer Olympics, improving cost efficiency and uncovering new revenue streams.
  • Delivering new video services through enhanced broadband was cited as the most important use case in APAC. However, operators in Japan are focusing on new user experiences driven by virtual reality. Additionally, connected vehicles and the industrial Internet of Things are key drivers in Japan and Korea, while connected healthcare is the most important driver for India, Australia, and Vietnam.
  • Operators must prioritize improving the efficiency and flexibility of existing and future resources, using three new and intertwined approaches – NFV, SDN, and network slicing. These technologies will help converge wireline and wireless networks and tap into both pools of capacity in an on-demand basis, share resources as flexibly as possible, and help create new revenue streams.

Executive Comments:

  • “Our analysis suggests that mobile network operators in APAC must consider an integrated wireless and wireline strategy, as they prepare their networks for upcoming 5G services. Central to their strategy is integrating fiber and radio across their network architecture – a crucial element for MNOs to stay ahead of competition, transform their cost base, and provide a richer experience for their users.”
    - Stephen Wilson, Principal Analyst, Analysys Mason
  • “Mobile Network Operators in APAC navigate a unique user landscape compared to other markets, thus they must also rethink how to architect their networks to support 5G services. Ciena’s approach to building networks aligns with the recommendations in the research, where we have long been an advocate of the integration of wireless and wireline technologies, and now with SDN and NFV for orchestration of the physical and virtual networks for optimal flexibility and efficiency.”
    - Anthony McLachlan, Vice President and General Manager of APAC, Ciena

Upcoming Webinar:

  • Ciena and Analysys Mason will hold a webinar on Wednesday, June 21 at 1:00 p.m. local Hong Kong/Singapore time (1:00 a.m. ET), where analysts Caroline Gabriel, Senior Contributor, and Stephen Wilson, Principal Analyst at Analysys Mason will provide attendees unique insights into the challenges and impact of 5G on wireline networks in Asia-Pacific. Attendees can register for the webinar here.

About the Survey:

  • Ciena (NYSE: CIEN) commissioned Analysys Mason to analyze the impact of 5G deployments in the Asia-Pacific region on wireline networks. The data came from a survey of 54 mobile networking operators in APAC. Developed APAC included: Australia, China, Hong Kong, Japan, New Zealand, Singapore, South Korea, Taiwan. Emerging APAC included: Bangladesh, India, Indonesia, Malaysia, Myanmar, Pakistan, Philippines, Sri Lanka, Thailand, Vietnam, and ‘-stan’ countries.
  • Respondents were CTOs or executives with high-level responsibility for network planning and deployment.
  • The survey was conducted by Analysys Mason in the fourth quarter of 2016.

About Analysys Mason (www.analysysmason.com)

Analysys Mason is a global specialist adviser in telecoms, media and technology (TMT). At the core of Analysys Mason’s offer are two key services: TMT consultancy and research. Since 1985, Analysys Mason has played an influential role in key industry milestones and helping clients through major shifts in the market. We continue to be at the forefront of developments in the digital economy and are advising clients on new business strategies to address disruptive technologies.

About Ciena

Ciena (NYSE: CIEN) is a network strategy and technology company. We translate best-in-class technology into value through a high-touch, consultative business model – with a relentless drive to create exceptional experiences measured by outcomes. For updates on Ciena, follow us on Twitter @Ciena, LinkedIn, the Ciena Insights blog, or visit www.ciena.com.

Note to Ciena Investors

You are encouraged to review the Investors section of our website, where we routinely post press releases, SEC filings, recent news, financial results, and other announcements. From time to time we exclusively post material information to this website along with other disclosure channels that we use. This press release contains certain forward-looking statements that are based on our current expectations, forecasts, information and assumptions. These statements involve inherent risks and uncertainties. Actual results or outcomes may differ materially from those stated or implied, because of risks and uncertainties, including those detailed in our most recent annual or quarterly report filed with the SEC. Forward-looking statements include statements regarding our expectations, beliefs, intentions or strategies and can be identified by words such as "anticipate," "believe," "could," "estimate," "expect," "intend," "may," "should," "will," and "would" or similar words. Ciena assumes no obligation to update the information included in this press release, whether as a result of new information, future events or otherwise.

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