DALLAS and REDMOND, Wash., June
30, 2021 /PRNewswire/ -- AT&T will move its 5G mobile
network to the Microsoft cloud. This strategic alliance provides a
path for all of AT&T's mobile network traffic to be managed
using Microsoft Azure technologies. The companies will start with
AT&T's 5G core, the software at the heart of the 5G network
that connects mobile users and IoT devices with internet and other
services. Bringing existing and future network workloads to Azure
for Operators will enable AT&T to increase productivity and
cost efficiency while focusing on the delivery of large-scale
network services that meet its customers' evolving needs.
In turn, Microsoft will gain access to AT&T's intellectual
property and technical expertise to grow its telecom flagship
offering, Azure for Operators. Microsoft is acquiring AT&T's
carrier-grade Network Cloud platform technology, which AT&T's
5G core network runs on. AT&T's Network Cloud platform has been
running AT&T's 5G core at scale since the company launched 5G
in 2018. This move brings real-world production 5G workloads to
Azure for Operators. The Network Cloud platform engineering team
will receive offers to join Microsoft. The move is aligned with
Microsoft's commitment to continuous, customer-driven innovation.
Azure for Operators will help operators across the world deliver
highly reliable, cost-effective and secure 5G services to consumer
and enterprise customers.
"AT&T has one of the world's most powerful global backbone
networks serving hundreds of millions of subscribers. Our Network
Cloud team has proved that running a network in the cloud drives
speed, security, cost improvements and innovation. Microsoft's
decision to acquire these assets is a testament to AT&T's
leadership in network virtualization, culture of innovation, and
realization of a telco-grade cloud stack," said Andre Fuetsch, executive vice president and
chief technology officer, AT&T. "The next step is making this
capability accessible to operators around the world and ensuring it
has the resources behind it to continue to evolve and improve. And
do it securely. Microsoft's cloud expertise and global reach make
them the perfect fit for this next phase."
AT&T will continue to operate its network and retain its
customer relationships. By using Microsoft's hybrid and hyperscale
infrastructure, AT&T can substantially reduce engineering and
development costs. Early access to Microsoft's cloud, AI and edge
technology will provide AT&T with the flexibility it needs to
rapidly innovate and launch new services and customer experiences
enabled by 5G.
"With Azure, operators can provide a more flexible and
scalable service model, save infrastructure cost, and use AI to
automate operations and differentiate customer offerings,"
said Jason Zander, executive vice
president Azure, Microsoft. "Through our collaboration with
AT&T, Microsoft will expand its telecom portfolio to support
operators with a carrier-grade cloud that provides seamless
experiences across Microsoft's cloud and the operator's
network."
As AT&T design, development and engineering experts join its
ranks, Microsoft can apply its knowledge to expand the technology
skills it obtained from the 2020 acquisitions of Affirmed Networks
and Metaswitch Networks to enable operators to run a secure telecom
network in the cloud. Additionally, Microsoft will acquire AT&T
engineering and lifecycle management software used to develop and
deploy a carrier-grade cloud that runs containerized or virtualized
network services. Microsoft will make the platform applicable to
other carriers through Azure for Operators and invest in an
ecosystem to enable simpler and faster transition of network
workloads to cloud.
Microsoft will assume responsibility for both software
development and deployment of AT&T's Network Cloud immediately
and bring AT&T's existing network cloud to Azure over the next
three years. The companies are not disclosing details on financial
terms.
The increasing demand for highly reliable mobile services at
competitive prices requires operators to redefine their service
models, streamline operations and unlock industry-specific 5G
opportunities from connected factories and digital retail to
autonomous transportation and entertainment-from-anywhere.
According to the GSMA, operators are expected to spend
$900 billion worldwide between 2021 and 2025 in
mobile capital expenditures (CapEx), roughly 80% of which will be
in 5G and much of it could run on cloud
infrastructure. Operators moving to the cloud can save on
hardware and development, benefit from cloud-enabled automation and
data analytics, and manage real-time responses and peak traffic on
demand. The delivery of new services can be accelerated through
cloud-driven AI and IoT.
About AT&T Communications
We help family, friends and neighbors connect in meaningful ways
every day. From the first phone call 140+ years ago to mobile video
streaming, we @ATT innovate to improve lives.
AT&T Communications is part of AT&T Inc. (NYSE: T). For
more information, please visit us at att.com.
About Microsoft
Microsoft (Nasdaq "MSFT" @microsoft) enables digital
transformation for the era of an intelligent cloud and an
intelligent edge. Its mission is to empower every person and every
organization on the planet to achieve more.
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SOURCE Microsoft Corp.