Open ecosystems are revolutionizing telecom by enabling collaboration, interoperability, and faster innovation.

The Role of Open Ecosystems in Achieving Innovation in the Telecommunications Industry 

 Business market ecosystems will create $100 trillion in value in the next decade according to Accenture. The telecommunications industry stands to capture much of this growth. 

Telecom operators have changed their approach to create and deliver services. Open APIs have altered the map of our industry. They enable better interoperability and speed up new service development. Both telecom and cloud players strongly support this open ecosystem approach. These foundations support the development of 5G networks and beyond. 

Open ecosystems drive innovation in telecommunications. Let’s learn about the key building blocks, partnership strategies and success metrics in this faster changing digital world. 

Understanding Open Ecosystems in Telecom 

“We are convinced that the development of a lively Open RAN ecosystem will boost innovation and act as an important test bench not only for the telco industry but also for the process of digital transformation at EU level.” — Nicola Grassi, Chief Technology & Operations Officer at TIM 

Open ecosystems in telecommunications mark a radical alteration from traditional single-vendor approaches to models that encourage collaboration and flexibility. These ecosystems help organizations share data and services, which creates better value for customers than they could achieve on their own. 

What defines an open ecosystem 

The accessibility, transparency, and collaborative nature define an open ecosystem in telecommunications. No single entity controls these systems, which allows multiple stakeholders to contribute and use resources freely. These systems create complete logs and metrics that show the ecosystem’s state and help with monitoring and management. 

Open architectures and APIs are the foundations that make legacy Communication Service Provider (CSP) technology simpler while supporting quick co-development of innovative products. The system also ensures compatibility and continuous connection between different components, which encourages efficient collaboration among stakeholders. 

 The telecommunications ecosystem has several important participants such as equipment Providers, telecom Service Providers, and telecom software vendors.  

Benefits of openness 

Open ecosystems bring substantial advantages to the telecommunications industry. They promote diversity, customization, and broad collaboration that could lead to lower consumer prices. The disaggregated nature allows more flexibility through mix-and-match options that let operators select optimal solutions for their unique network requirements. 

The Dell’Oro report projects that Open RAN will comprise 20-30% of the global RAN market by 2028. This change helps operators implement advanced security measures and respond to threats better by using technologies and processes from across industries. 

The Most Influential Open-Source Initiatives in Telecommunications 

The telecom industry is undergoing a major transformation, driven by open-source initiatives that promote flexibility, interoperability, and automation. These projects are reshaping network infrastructure, breaking away from traditional vendor-locked models, and enabling a more dynamic and efficient approach to telecom services. 

O-RAN Alliance: Open and Disaggregated Radio Access Networks 

The O-RAN Alliance is redefining the Radio Access Network (RAN) by introducing an open, modular, and multi-vendor architecture. O-RAN changes the traditional landscape in which RAN deployments were controlled by a single vendor by disaggregating the RAN into three distinct components: the Radio Unit (RU), Distributed Unit (DU), and Central Unit (CU), allowing operators to mix and match vendors.  

Unlike traditional RAN architectures, which are monolithic and controlled entirely by a single supplier, O-RAN allows for a more flexible and cost-effective approach by enabling multi-vendor deployments. This shift fosters greater competition, drives innovation, and reduces dependence on proprietary hardware, making networks more agile and cost-efficient. 

ONAP: Open Network Automation Platform 

ONAP (Open Network Automation Platform) is a cloud-native framework designed to automate the orchestration and lifecycle management of telecom networks. It implements a microservices-based architecture, allowing operators to build modular and scalable automation systems. A key feature of ONAP is its support for closed-loop automation, which continuously monitors the network in real time and makes automatic adjustments to optimize performance.  

Traditional OSS/BSS tools tend to be proprietary, rigid, and slow to adapt to the demands of modern networks. ONAP, on the other hand, is open-source, extensible, and designed for real-time automation, making it a more adaptable solution for managing both Virtual Network Functions (VNFs) and Cloud-Native Network Functions (CNFs) alongside physical network elements, enabling telecom operators to streamline operations and significantly reduce costs. 

Nephio: Kubernetes-Based Telecom Automation 

Nephio, an initiative led by Google and the Linux Foundation, focuses on automating cloud-native telecom workloads through Kubernetes and GitOps. It enables telecom operators to manage network functions as cloud-native workloads by leveraging declarative network orchestration, where the operator defines a “desired state” for the network, and Nephio ensures that this state is achieved. This approach supports multi-cloud and hybrid deployments, allowing telecom workloads to operate seamlessly across on-premises, public, and private cloud environments. 

While ONAP provides comprehensive end-to-end service orchestration for a broad range of network functions, Nephio is specifically designed for Kubernetes-based environments. Nephio simplifies Network Function Virtualization (NFV) architectures by using Kubernetes-native constructs, which allow network functions to be managed in a way that is more aligned with modern cloud-native methodologies.  

CAMARA: Open API Initiative for Network Exposure 

The CAMARA project focuses on developing standardized APIs that expose telecom capabilities to developers, enabling seamless integration with third-party applications. It defines APIs for critical network features such as Quality on Demand, SIM swap detection, and edge computing exposure, making it easier for application developers to leverage telecom services in an efficient and scalable manner. The initiative also ensures that these APIs integrate smoothly with both telecom networks and hyperscalers, providing a unified experience across different platforms. 

Historically, telecom APIs have been proprietary and operator-specific, requiring developers to customize integrations for each carrier. CAMARA solves this by offering a set of standardized APIs that work across multiple networks, creating a more open and accessible ecosystem. This allows developers to build applications that can operate across different telecom infrastructures without extensive reconfiguration, fostering greater innovation and interoperability in the industry. 

LF Networking: An Umbrella for Open Networking Projects 

LF Networking (LFN), a Linux Foundation initiative, serves as a central hub for multiple open-source networking projects that drive innovation in Software-Defined Networking (SDN), Network Function Virtualization (NFV), and cloud networking. It hosts several key projects, including ONAP (network automation and orchestration), Tungsten Fabric (SDN), DPDK (high-performance packet processing), and FD.io (fast networking). By fostering collaboration between different networking communities, LFN promotes modular and interoperable solutions that integrate seamlessly with both open-source and commercial platforms. 

Unlike single-focus open-source projects, LF Networking provides a comprehensive framework that supports multiple aspects of network transformation. Rather than developing a single architecture, it acts as an umbrella organization that connects and enhances various open networking efforts. This makes LFN a crucial driver of open innovation in telecom, providing operators with a diverse set of tools and frameworks to modernize their networks. 

Open APIs: The Building Blocks of Innovation 

Network APIs are the building blocks that connect applications to telecom networks. They enable smooth integration of 5G capabilities in hundreds of potential use cases. Knowing how to work with these foundational elements plays a vital role in promoting breakthroughs in telecommunications. 

The open APIs approach to integration offers a transformative shift in how telecom networks interact with external ecosystems, enabling a more open and collaborative environment compared to traditional, rigid integration methods. One of its primary benefits is the lower barrier to entry, allowing non-telecom players such as developers, enterprises, and hyperscalers to easily access and consume telecom services without requiring deep expertise in telecom-specific protocols or infrastructure. By providing standardized, developer-friendly interfaces, open APIs democratize access to network capabilities, fostering broader participation in the telecom ecosystem. This, in turn, accelerates innovation cycles by making it easier to experiment with and deploy new services. Instead of lengthy integration processes tied to proprietary systems, businesses can leverage telco capabilities in a plug-and-play manner, enabling rapid development of new applications and business models. 

Additionally, open APIs serve as a unifying layer that enhances interoperability across different open-source initiatives, such as O-RAN, ONAP, and Nephio. Rather than relying on custom integrations for each project, APIs create a common interface that simplifies how these systems interact, reducing complexity and fragmentation in the ecosystem. This seamless connectivity across multiple platforms enables more efficient automation and orchestration, allowing telecom operators to optimize network operations dynamically. Beyond technical advantages, the adoption of open APIs also unlocks new revenue opportunities, shifting telecom networks from being mere cost centers to monetizable platforms. By exposing network capabilities as services, telecom operators can create new business streams, offering enterprises and developers the ability to tailor network functions to their needs. This transformation paves the way for a more dynamic and commercially viable telecom ecosystem, where innovation, efficiency, and profitability are enhanced through standardized, API-driven integration. 

Open APIs mark a transformation in how telecom operators share network capabilities. These interfaces let developers create 5G-driven applications that employ features like speed tiering and edge compute discovery. The TM Forum’s Open API project shows impressive results. It has reached over 900,000 downloads by 50,000 software developers from 2,800 organizations. 

The market shows huge potential. Network APIs could discover the full potential of $100 billion to $300 billion in connectivity and edge-computing-related revenue over the next 5-7 years. This has led to projects like GSMA’s Open Gateway that wants to standardize APIs across networks, as with how SWIFT changed banking transactions. 

Interoperability frameworks 

Telecommunications breakthroughs depend on interoperability. The IEEE defines it as “the ability of two or more systems to exchange information and use the information that has been exchanged”. This framework ensures that: 

• Systems work together through compatible communications equipment 
• Signal coverage reaches all areas of interest 
• Networks grow efficiently with additional transmitter/receivers 

This also requires to put in place data sharing protocols that are efficient and safe: 

Data sharing protocols have advanced to handle privacy and security concerns while maximizing value. More than 70% of global data and analytics decision-makers now want to expand their use of external data. These protocols include: 

• Privacy-preserving computing techniques like fully homomorphic encryption 
• Differential privacy measures 
• Functional encryption for secure data collaboration 

Measuring Ecosystem Success 

“By leveraging these network APIs, we are unlocking new opportunities for businesses to enhance application capabilities, improve customer experiences and maximize the value of real-time connectivity.” — Srini Kalapala, Senior Vice President of Technology and Product Development, Verizon 

A detailed approach across multiple dimensions helps measure success in open telecom ecosystems. Our analysis of industry data shows operators in the top IT maturity quartile grow revenues three percentage points faster year over year. 

Key performance indicators 

Telecom operators use these vital metrics to assess ecosystem performance: 

• Network Performance: Coverage expansion and service quality metrics create competitive edge 
• Customer Metrics: Post-pay customer additions and lower churn show market success 
• Financial Health: Cost efficiency ratios and run rate savings prove operational excellence 
• Environmental Impact: Steps toward carbon neutrality and lower greenhouse gas emissions 

Leading operators report up to 8% reduction in energy-related operational expenses and 13% decrease in RAN capital expenditure through open ecosystem adoption. 

ROI assessment in open ecosystems covers both tangible and intangible benefits. Operators look at: 

• Direct Financial Returns: Revenue generation and cost analysis 
• Indirect Benefits: Customer retention rates and brand equity 
• Non-Financial Impact: Market presence and company reputation 

Tupl as part of the TM Forum Ecosystem 

Tupl signed the TM Forum Open API manifesto in 2023 and this year we have become partners of the ODA Components Directory, whose aim is to accelerate ideation, realization and standardization of the ODA’s building blocks. These initiatives foster an ecosystem of standardized, interoperable solutions that accelerate digital transformation. By adopting these industry-recognized APIs, telecom providers can simplify integration, reduce costs, and drive innovation at scale. 

At Tupl, our AI-powered solutions revolutionize telecom operations, enhancing efficiency, automating complex processes, and enabling smarter decision-making. Being part of TM Forum’s Open API program ensures that our technology is fully aligned with industry standards, making it easier for operators to integrate AI-based automation into their existing infrastructure. 

We believe that, as telecom networks evolve towards intent-based operations and zero-touch automation, Tupl’s AI solutions—backed by TM Forum’s Open API framework—will play a crucial role in transforming network management, customer care, and service assurance. 

By embracing open, collaborative innovation, we empower telecom providers to scale AI-driven automation, accelerate digital transformation, and enhance customer experiences. 

Conclusion 

Open ecosystems are a revolutionary force in telecommunications, and the evidence proves their powerful effect. Research shows how these ecosystems help telecom operators achieve remarkable results. Operators have seen six times higher subscriber growth rates and their operational efficiency has improved by 20-30%. 

Companies that accept open architectures and APIs gain major benefits. The success metrics tell a compelling story – energy costs drop by 8% and RAN capital spending decreases by 13%. On top of that, strategic collaborations between telecom operators and technology providers deliver strong returns. Deutsche Telekom’s USD 4.00 billion revenue achievement with Google Cloud proves this point. 

Future projections paint an exciting picture. Open RAN will represent 20-30% of the global RAN market by 2028. Network APIs could create $300 billion in new revenue opportunities. These numbers send a clear message – telecommunications companies must accept openness to compete and drive innovation. 

Success depends on choosing the right partners, sharing risks strategically, and measuring performance consistently. Companies that become skilled at these elements while building strong ecosystem relationships will lead the industry toward more open, efficient, and innovative solutions. 

FAQs 

Q1. What are the key benefits of open ecosystems in telecommunications? Open ecosystems in telecommunications promote diversity, customization, and broad collaboration. They offer increased flexibility through mix-and-match options, potentially leading to lower consumer prices. Additionally, operators participating in open initiatives tend to gain subscribers six times faster than their regional competitors. 

Q2. How do open APIs contribute to innovation in the telecom industry? Open APIs enable developers to create 5G-driven applications that harness features like speed tiering and edge compute discovery. They allow telecom operators to expose network capabilities, potentially unlocking between $100 billion to $300 billion in connectivity and edge-computing-related revenue over the next 5-7 years. 

Q3. What criteria should be considered when selecting partners in telecom ecosystems? Key criteria for partner selection include financial stability, market knowledge, technical expertise, and a collaborative approach. Partners should demonstrate robust financial resources, deep understanding of local conditions, proven track record in infrastructure deployment, and willingness to align with business goals. 

Q4. How do telecom operators measure the success of open ecosystems? Telecom operators use various key performance indicators to measure ecosystem success, including network performance metrics, customer metrics like post-pay additions and churn reduction, financial health indicators, and environmental impact measures. They also track ROI through direct financial returns, indirect benefits, and non-financial impacts. 

Q5. What is the projected impact of Open RAN on the telecommunications industry? Open RAN is expected to comprise 20-30% of the global RAN market by 2028. Its implementations could contribute $285 billion to global GDP and $19 billion in consumer surplus gains by 2030. Additionally, leading operators have reported up to 8% reduction in energy-related operational expenses and 13% decrease in RAN capital expenditure through open ecosystem adoption.