Subscribe

Spectrum dearth sees operators squeeze assets

Martin Czernowalow
By Martin Czernowalow, Contributor.
Johannesburg, 29 Sept 2014
Mobile operators are forced to find solutions that are spectrum-efficient, with Vodacom's VOLTE solution being the latest example.
Mobile operators are forced to find solutions that are spectrum-efficient, with Vodacom's VOLTE solution being the latest example.

Local mobile operators are increasingly having to innovate around SA's spectrum shortage, and Vodacom's deployment of voice-over-long-term-evolution (VOLTE) shows the company is trying to squeeze the most out of its assets.

On Friday, SA's biggest operator said it had made the country's first VOLTE call over its 4G/LTE network. It added the move to use 4G/LTE technology to carry voice traffic will mean better call quality for consumers and more efficient use of network resources. "The migration of voice traffic to the 4G/LTE network will also have the benefit of freeing up capacity currently used to carry voice services," says Vodacom CTO Andries Delport.

With a lack of high-demand spectrum in SA, operators such as Vodacom and MTN have been forced to re-farm 3G spectrum to roll out LTE services. Operators are waiting for government to complete the country's digital broadcast migration, which would free up spectrum. However, this process has stalled and there is no indication when it might be completed. In addition, other high-demand spectrum in 2.6GHz has yet to be allocated.

Vodacom spokesman Richard Boorman says actual commercial introduction of VOLTE will take some time, as it will largely depend on the availability of compatible devices. Vodacom says it is working with the handset manufacturers to ensure the technology is embedded in local handsets. Globally, 11 operators offer VOLTE.

Boorman adds VOLTE is packet-based, effectively a carrier-grade packet service using dedicated resources. Vodacom says the move is part of its ongoing R9 billion network investment programme, which has also seen the operator implement enhanced voice services, add base stations and expand fibre-optic infrastructure.

While the technology is a natural step for operators globally, says Boorman, the lack of access to spectrum is pushing the company to do more with what it has. An additional benefit is that VOLTE will see a reduction of congestion on Vodacom's 3G network. "We are having to find other solutions, and LTE is more spectrum-efficient than 3G."

Talking point

Ovum senior analyst Richard Hurst says VOLTE is not a game-changer for operators, but is important in terms of spectrum-efficiency in the local environment. "It's not revolutionary, but rather evolutionary. I see it as a natural progression. VOLTE has seen much global debate and it is the way operators are moving."

Hurst says government's unfulfilled promises of increasing access to spectrum means local companies are being forced to innovate and squeeze their assets, and VOLTE will inject significant efficiency into Vodacom's network.

BMI-TechKnowledge director Brian Neilson says the move makes sense for Vodacom, as it has seen limited uptake of its LTE services, as the technology is handset-dependent. "They have re-farmed HSPA spectrum and reused it for LTE.

"Shifting some voice traffic to the LTE network will help to address the usage imbalance between Vodacom's voice and LTE networks," he says, adding Vodacom most likely feels it needs to use its LTE spectrum more extensively.

However, he warns use will initially be limited by the relatively small number of LTE-capable handsets in the local market. "It could also largely be a marketing first in the race between Vodacom and MTN," he says, alluding to the two previously competing to be first to market with LTE and HD voice services.

Independent analyst Spiwe Chireka says a move to VOLTE has been a global trend in recent years. However, she warns that since Vodacom's VOLTE service is based on re-farmed spectrum, it could also eventually be restricted by a lack of resources.

MTN did not comment by the time of publication as to whether it will roll out a similar solution in future.

Share