24 July 2017
| James Pearce
With a number of global telecoms operators planning to switch off 2G networks in the near future, Vodafone has said it will not turn off its GSM network in Europe until 2025 at the earliest.
All of Japan’s mobile
operators abandoned 2G services by April 2012, making it the
first country to fully jump to 3G and 4G-only networks.
AT&T has already switched off its 2G network, while
rivals including Verizon and T-Mobile have unveiled plans to do
Sunrise plans to switch off 2G by the end of next year,
while Swisscom and T-Mobile Netherlands have scheduled shut
downs by the end of 2020.
Vodafone itself switch off 2G in Australia last year, but
CEO of enterprise Erik Brenneis said its 2G network in Europe
will live on until at least 2025.
The reason, according to Brenneis, is the need to support
legacy machine-to-machine (M2M) and internet of things (IoT)
connections that run on 2G.
Vodafone is one of the leading IoT providers globally,
according to Gartner, with that segment of the business
producing more than €700 million in revenue per year.
Brenneis said that although new IoT technologies such as
narrowband IoT can offer similar benefits to 2G connections,
there are still a lot of legacy connections that will not be
renewed for several years.
"We are encouraging customers to develop new applications on
the technology that is best for them," he explained. "So we
also play the role of consultants for some of our customers. If
they ask us for help, we offer it. If they want an application
where they can upgrade software on the device consistently, we
might recommend an alternative to NB-IoT – it is an
individual discussion and what we do is offer the solution that
is best for the customer.
"Our plan is that we won’t switch off 2G
networks in Europe until the year 2025, which is longer than
the life time of most of the IoT connections even if you bring
them into the market now."
The news makes Vodafone the second of Europe’s
mobile giants to rule ouot a switch off in the next five years,
after Telefonica CTO Enrique Blanco said the same at this
year’s Mobile World Congress in February.
The reason a lot of operators are currently considering
their strategy for 2G networks is because they require more
spectrum for 4G and future 5G deployments. Brenneis said this
is a discussion carried out a lot across
Vodafone’s top management team.
"We discuss freeing up spectrum internally a lot. You can
also scale down a 2G network in a gradual way by reserving some
bandwidth for legacy applications, and then, we will consult
with customers who make new applications on what is the right
"Should they move to 4G for new applications, as there is
also cheap hardware available? From us, customers get the same
price per megabyte no matter what connection they are on, the
cost difference is on the hardware. We also consult each
individual on that – it depends on a lot of
parameters, such as the lifetime of their solution, or the
demand on bandwidth. Customers should not worry about our 2G
switching off any time soon."