Return on Investment (roi) for Multi-Technology son juan Ramiro, Mark Austin and Khalid Hamied

7 Return on Investment (ROI) for Multi-Technology SON
Juan Ramiro, Mark Austin and Khalid Hamied

7.1. Overview of SON Benefits

Explosive market penetration of smartphones and laptop computers with mobile broadband connections is creating a critical scenario in which traffic volumes carried by networks grow at a significant pace whereas Average Revenue Per User (ARPU) is reaching saturation. In such context, the Self-Organizing Networks (SON) management paradigm is proposed mainly as a mechanism to facilitate the delivery of mobile broadband services that are sustainable for wireless carriers from a financial perspective. The main benefits of SON are summarized in Figure 7.1.
As can be seen in Figure 7.1, Operational Expenditure (OPEX) savings heavily rely on automation, which is the main keyword associated with SON. However, as will be discussed later, not all automation initiatives result, by nature, in a financial benefit. This will only be the case if the task was originally being executed manually in the absence of SON. In other words, there are no implicit OPEX savings associated with the introduction of a new automated task. Other sources of OPEX savings come from energy efficiency and decreased need for leased resources (e.g. transmission lines), typically achieved by optimizing the utilization of the available capacity.
Another key benefit from SON is Capital Expenditure (CAPEX) savings, which can be achieved by means of a more accurate capacity planning process and by increasing the effective capacity of the existing network infrastructure. This capacity increase allows operators to delay and/or reduce the deployment of costly capacity expansions, and can be obtained by means of automated planning and optimization of the different settings of each network e lement: physical location, Radio Frequency (RF) configuration, soft parameters, etc. Wireless
Self-Organizing Networks: Self-Planning, Self-Optimization and Self-Healing for GSM, UMTS and LTE, First Edition. Edited by Juan Ramiro and Khalid Hamied.
© 2012 John Wiley & Sons, Ltd. Published 2012 by John Wiley & Sons, Ltd.