INSIGHT ISSUE 03 | 2021

31 CORD is essential to providing high bandwidth and low latency (Fronthaul and Backhaul) networks in traditional Telco Operator space. These networks are vital to the success of many new and emerging technologies. Below is a list of drivers/technologies that could benefit from using these CORD networks: CORD can present additional revenue opportunities for Telco providers. The evolution of network equipment with a smaller footprint has reduced the white space consumption by a significant amount (Figure 2 ). Telco providers are now presented with revenue opportunities through repurposing of this space. Some examples for additional revenue include edge colocation, 5G deployment colocation space, and many ancillary services that would be required (i.e.: remote hands, cross-connects, etc.). In the last decade, global telecomrevenue (average revenue per user), has been stagnating or flattening. In that time period, traffic demands have increased exponentially to support millions of devices that are being connected, such as high definition video streaming and future applications including VR and AR. These demands have experienced a major spike during the recent pandemic period (COVID-19) when most office workers are required to do work activities remotely. This “pandemic bandwidth” has stressed Telco and ISP networks to the limit of their capacity. This trend and global events further widen the revenue and traffic gap (Figure 1). Telco companies have been under increasing pressure to create efficiencies in both their capital expenditure (CapEx) and operational expenditure (OpEx). The central office is one of the key elements of a Telco network and consumes a big portion of expenditures. Technological convergence is pushing “open” data center technologies and architectures. These technologies and architectures have been deployed for many years in data centers. They provide major CapEx and OpEx efficiency, as well as improve business velocity and automation. The Telco industry will benefit greatly from both. A pioneering initiative of disaggregating and virtualizing Telco networks, centered at their central offices, is being led by an organization called Open Network Foundation (ONF). The main goal of this initiative is to bring cloud economies to the Telco central offices, focusing on simplicity and system interoperability. CORD projects WHAT IS CORD? Revenue Opportunities Before CORD After CORD deployed in the last few years have relied heavily on data center spine-leaf network architecture. This architecture is drastically different than how legacy Telco networks have traditionally been structured. At the very foundation of legacy Telco networks, 23" wide Telco racks, DC powered Telco equipment, and singlemode fiber connections have been the norm. With the shift to CORD, more traditional data center equipment will be utilized, opening a whole different section of infrastructure products. Some of these products are multimode fiber, AC power, UPS equipment, and Out-of-Band (OoB) management over category copper cabling. Why Implement CORD? INSIGHT | Doing Business Figure 1 Figure 2

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