University of Oulu

Business

opportunities for

local 5G operatorsPetri.Ahokangas@oulu.fi

uO5G Final results seminar, Dec 18, 2018

Marrtti Ahtisaain Insitutute, Dec 2018

University of Oulu

The business model approach

antecedents

outcomes

Contents/processes

University of Oulu

Local operations’

PROBLEM SPACE

Spectrum

Core network

Access network

Busines opportunity?

Business model?

Local operations’

SOLUTION SPACE

Who adopts the role?

Sharing / owning?

Verticalization?

Horizontalization?

Oblique = Hyper-

localization?

Micro operator business opportunities

University of Oulu

Tre

nd

sfo

r 5G

Matinmikko, M., Latva-Aho, M., Ahokangas, P. &. Seppänen, V. (2017). On regulations for 5G: micro licensing for

locally operated networks. Telecommunications Policy, vol. 42, no. 8, pp. 622-635, Sept. 2018.

University of Oulu

Coopetitionat campus

Ahokangas, P., Sipola, E., Matinmikko-Blue, M., Hämmäinen, H. & Walia, J. (2018). Coopetition and ecosystems

– business model for emerging 5G technology context. Paper pressented at the The 2nd Business Model

Conference, June 6-7, 2018, Florence, Italy.

University of Oulu

DisruptiveRevenuemodels

Ahokangas, P., Matinmikko, M., Yrjölä, S. & Atkova, I. (2017). Disruptive revenue models for future micro operator

driven mobile business ecosystem. Nordic Academy of Management Conference, 23-25 August, 2017, Bodo, Norway.

University of Oulu

Context and platform driven business models

Yrjölä, S., Ahokangas, P. & Matinmikko-Blue, M. (2018). Novel Context and Platform Driven Business Models

via 5G Networks. Paper presented at IEEE PIMRC2018 Conference, September 9-12, 2018, Bologna, Italy.

a) Fixed wireless access

b) Extreme mobile broadband

c) Mission critical applications

d) Data as a service

e) Bridge partners

f) Network as a service

g) Multi-tenancy

h) Aggregators and brokers

i) Edge computing

University of Oulu

Generic vertical business model:tailored end-to-end services in restricted areas

Ahokangas, P., Matinmikko-Blue, M., Yrjölä, S., Seppänen, V., Hämmäinen, H., Jurva, R. & Latva-aho, M. (2018).

Business Models for Local 5G Micro Operators. Paper presented at IEEE International Symposium on Dynamic

Spectrum Access Networks (Dyspan), 22-25 October 2018, Seoul, South Korea.

University of Oulu

Generic horizontal business model:local hosted connectivity for MNOs

Ahokangas, P., Matinmikko-Blue, M., Yrjölä, S., Seppänen, V., Hämmäinen, H., Jurva, R. & Latva-aho, M. (2018).

Business Models for Local 5G Micro Operators. Paper presented at IEEE International Symposium on Dynamic

Spectrum Access Networks (Dyspan), 22-25 October 2018, Seoul, South Korea.

University of Oulu

Generic oblique business model:mass-tailored end-to-end services to various segments

Ahokangas, P., Matinmikko-Blue, M., Yrjölä, S., Seppänen, V., Hämmäinen, H., Jurva, R. & Latva-aho, M. (2018).

Business Models for Local 5G Micro Operators. Paper presented at IEEE International Symposium on Dynamic

Spectrum Access Networks (Dyspan), 22-25 October 2018, Seoul, South Korea.

University of Oulu

ConclusionsVERTICAL BUSINESS MODELS AND ECOSYSTEMS

‒ Opportunity in service approach

‒ Low scalability and replicability > projectbusiness

‒ Advantages throgh turn-key solutions

HORIZONTAL BUSINESS MODELS AND ECOSYSTEMS

‒ Opportunity in supplementary services

‒ Scalability in MNOs’ cost-saving potential

‒ Replicability to and advantages in niches

OBLIQUE BUSINESS MODELS AND ECOSYSTEMS

‒ Opportunity in special needs

‒ Scalability and replicability through platformthinking

‒ Advantages in two-sided markets

Ahokangas, P., Matinmikko-Blue, M., Yrjölä, S., Seppänen, V., Hämmäinen, H., Jurva, R. & Latva-aho, M. (2018).

Business Models for Local 5G Micro Operators. Paper presented at IEEE International Symposium on Dynamic

Spectrum Access Networks (Dyspan), 22-25 October 2018, Seoul, South Korea.

University of Oulu

Business

modelConclusions:Micro operatorbusiness models’ solution space

Core

networkOwn

As-a-

service

Access

networkOwn

As-a-

Service

SpectrumLicensed

Shared

Equipment

Devices

As-a-

Service

Services

Conte

nt

Context

ConnectivityCom

merc

e

Unlicensed

Vertical

HorizontalOblique

BYOD

Computing

Modularization of everything

University of Oulu

Conclusions:Future business opportunities in local operations

‒ Edge cloud BMs

‒ Network Slicing BMs

‒ Service modularization for

”realtime or dynamic” and

”shop-in-shop” BMs

‒ Data BMs

‒ Verticalization of BMs

‒ Platform BMs

‒ Context BMs

‒ ”Plan, Build & Manage” BMs

University of Oulu

Pu

bli

ca

tio

ns

‒ Matinmikko, M., Latva-Aho, M., Ahokangas, P. &. Seppänen, V. (2017). On regulations for 5G: micro licensing for locally operated networks. Telecommunications Policy, vol. 42, no. 8, pp. 622-635, Sept. 2018..

‒ Matinmikko, M., Latva-Aho, M., Ahokangas, P., Yrjölä, S. & Koivumäkrti, T. (2017). Micro operators to boost local service delivery in 5G. Wireless Personal Communications, 14 p

‒ Matinmikko-Blue, M., Yrjölä, S., Seppänen, V., Ahokangas, P., Hämmäinen, H. & Latva-aho, M. (2018). Analysis ofSpectrum Valuation Approaches: The Viewpoint of Local 5G Networks in Shared Spectrum Bands. Paper presented at IEEE International Symposium on Dynamic Spectrum Access Networks (Dyspan), 22-25 October 2018, Seoul, South Korea. Submitted to IEEE Transactions on Cognitive Communications and Networking.

‒ Ahokangas, P., Matinmikko-Blue, M., Yrjölä, S., Seppänen, V., Hämmäinen, H., Jurva, R. & Latva-aho, M. (2018).Business Models for Local 5G Micro Operators. Paper presented at IEEE International Symposium on Dynamic Spectrum Access Networks (Dyspan), 22-25 October 2018, Seoul, South Korea. Submitted to IEEE Transactions on CognitiveCommunications and Networking.

‒ Ahokangas, P., Matinmikko-Blue, M., Latva-aho, M., Seppänen. V- & Koivumäki, T. (2018)- Business model scenarios and the sharing economy- To be submitted to EMJ.

‒ Yrjölä, S., Ahokangas, P. & Matinmikko-Blue, M. (2018). Novel Context and Platform Driven Business Models via 5G Networks. Paper presented at IEEE PIMRC2018 Conference, September 9-12, 2018, Bologna, Italy.

‒ Ahokangas, P., Sipola, E., Matinmikko-Blue, M., Hämmäinen, H. & Walia, J. (2018). Coopetition and ecosystems –business model for emerging 5G technology context. Paper pressented at the The 2nd Business Model Conference, June 6-7, 2018, Florence, Italy.

‒ Ahokangas, P., Matinmikko, M., Yrjölä, S. & Atkova, I. (2017). Disruptive revenue models for future micro operator drivenmobile business ecosystem. Nordic Academy of Management Conference, 23-25 August, 2017, Bodo, Norway.

‒ Mansoori, S. (2018). Alternative value configurations emerging for 5g micro operator in factory of future context. Master’s thesis, Oulu Business School.

‒ Sipola, E. (2017). Developing a business model for a micro operator in 5g environment in campus use case in Finland. Master’s thesis, Oulu Business School.

University of Oulu

Thank you!