Vodafone has called for the establishment of a ‘Connectivity Union’ to accelerate Europe’s digital ambitions and bolster its global competitiveness. Emphasising the crucial role of next-generation connectivity, particularly 5G standalone technology, Vodafone argues that this is essential for European businesses to fully harness the industrial value of the internet and emerging technologies such as AI. They warn that Europe risks falling behind in the global digital race without addressing the current connectivity issues.
The European Commission has identified several challenges in the connectivity sector, including fragmentation, excessive costs, and inconsistent regulations that vary across companies despite offering similar services. These issues threaten the achievement of Europe’s digital decade targets and put the region at a significant competitive disadvantage.
Vodafone stresses that Europe needs critical action from policymakers to close the 5G investment gap and turn its digital future around. Joakim Reiter, Chief External & Corporate Affairs Officer at Vodafone, highlighted the urgency of resetting Europe’s telecoms policy regime. He proposed a new Connectivity Union that would bring together the European Commission, national governments, and industry stakeholders to tackle the shortcomings in Europe’s connectivity sector more aggressively.
In response to the European Commission’s consultation paper, Vodafone outlined five key policy pillars for a new Digital Communications Framework for Europe. These include enhancing investment competition in mobile and fixed markets, advocating for pro-investment spectrum policies, ensuring fair regulation based on services offered, implementing a harmonised security framework, and creating a stable policy environment that incorporates sustainability requirements. These pillars aim to end the piecemeal policy approach to telecoms and lay the foundation for a robust Connectivity Union.
Finnish telecommunications giant Nokia recently announced that it has agreed to sell its submarine networks business, Alcatel Submarine Networks (ASN), to the French state for 350 million euros (approximately £300 million). The sale, which is expected to reduce sales in Nokia’s Network Infrastructure Business Group by 1 billion euros (£870 million), will not impact the company’s overall financial outlook, demonstrating Nokia’s robustness of its remaining business segments.
The transaction, anticipated to close by the end of 2024 or early 2025, gives Nokia ample time to adjust and refocus its resources in other sectors. The deal highlights Nokia’s ongoing effort to streamline and recalibrate its business interests towards more profitable or strategic avenues, facilitating better resource allocation and enhancing focus on areas integral to its core objectives and future growth plans.
The Biden administration is scrutinising China Mobile, China Telecom, and China Unicom over concerns that these firms could misuse their access to American data through their US cloud and internet businesses. The Commerce Department is leading the investigation, subpoenaing the state-backed companies and conducting risk analyses on China Mobile and China Telecom. These companies maintain a small US presence, providing services like cloud computing and routing internet traffic, giving them potential access to sensitive data.
The investigation aims to prevent these Chinese firms from exploiting their US presence to aid Beijing, aligning with Washington’s broader strategy to counteract potential threats to national security from Chinese technology companies. The US has previously barred these companies from providing telephone and broadband services. Authorities could block transactions that allow these firms to operate in data centres and manage internet traffic, potentially crippling their remaining US operations.
China’s embassy in Washington has criticised these actions, urging the US to cease suppressing Chinese companies. No evidence has been found that these firms intentionally provided US data to the Chinese government. However, concerns persist about their capabilities to access and potentially misuse data, primarily through Points of Presence (PoPs) and data centres in the US, which could pose significant security risks.
Nvidia has signed a new partnership with Qatari telecom group Oreedoo to bring its AI technology to data centres in five Middle Eastern countries. Signed at the TM Forum in Copenhagen last week, the deal makes Ooredoo a Nvidia cloud partner (NCP) that will contribute significantly to enhancing AI capabilities in the region.
Central to this partnership is Ooredoo’s plan to deploy thousands of Nvidia’s Tensor Core GPUs in its AI data centres. In a news release, the company said these GPUs are essential in providing advanced AI and machine learning services, including generative AI. This deployment is part of Ooredoo’s broader strategy to innovate and expand its technological infrastructure. The company has not disclosed the specific types of Nvidia technology that will be installed, although it says this will depend on availability and customer demand.
Why is this important?
The question of whether these centres will receive the most or less advanced versions of Nvidia’s AI chips remains open in light of US export controls. Last year, US policies expanded restrictions on the export of sophisticated AI chips from Nvidia and AMD beyond China to include certain Middle Eastern countries. In response, Nvidia, AMD, and Intel have announced plans to develop less powerful AI chips that can be exported to restricted regions like China. In the absence of details given by the partners, it is unsure which AI-capable chips will be deployed in Ooredoo’s data centres.
This partnership is part of Ooredoo’s larger strategic vision to transform into the region’s leading telecom and infrastructure holding company. The company’s CEO Aziz Aluthman Fakhroo said that a $1 billion investment will expand its data centre capacity from 40 to 60-65 megawatts, with the goal of tripling it by the end of the decade. In a region that is still determining its AI strategy, Ooredoo’s expansion is set to shape those same policies. As for Nvidia, this partnership means another region in which the company asserts its market dominance.
Nokia CEO Pekka Lundmark showcased a breakthrough in phone call technology, utilising ‘immersive audio and video’ to enhance call quality with three-dimensional sound. Lundmark, who witnessed the first 2G call in 1991, hailed this advancement as the future of voice communication.
Traditional smartphone calls often need more depth, compressing audio and resulting in flat, less detailed sound. Nokia’s innovation promises to revolutionise this experience, offering callers a lifelike interaction akin to being in the same room.
Nokia makes world’s first cellular call using new Immersive Voice and Audio Services (IVAS) codec. With the codec you can hear calls in 3D spatial sound in real-time instead of today’s monophonic experience.
Jenni Lukander, president of Nokia Technologies, emphasised the significance of this advancement, dubbing it the most significant improvement since the introduction of monophonic telephony audio. The technology demonstrated in a call with Finland’s Ambassador of Digitalisation and New Technologies, Stefan Lindström, is poised to become standardised, enabling implementation across network providers, chipset manufacturers, and handset makers.
Beyond personal calls, Nokia’s immersive technology holds potential for conference calls, allowing voices to be separated based on spatial locations. Executives highlighted that most smartphones already possess the necessary microphones for implementation, transmitting real-time spatial characteristics of a call. While the technology is part of the upcoming 5G Advanced standard, widespread availability through licensing opportunities may take several years.
President Emmerson Mnangagwa announced that Zimbabwe has granted Elon Musk’s Starlink the license to operate in the country, marking a significant step towards enhancing internet access. The approval is anticipated to bring high-speed, low-cost satellite internet to Zimbabwe, mainly benefiting rural areas with low-Earth-orbit (LEO) technology.
Starlink will partner exclusively with IMC Communications to provide its services in Zimbabwe. Only 34.8% of the population currently has internet access, as noted in a 2021 World Bank report, with three major mobile operators dominating the market. The introduction of Starlink aims to bridge this gap, offering a more extensive and affordable internet infrastructure.
The development follows issues with unregistered users smuggling Starlink kits from neighbouring countries, such as Zambia. Starlink’s official presence in Africa is expanding, with services already available in Nigeria, Mozambique, Zambia, Kenya, and Malawi. However, regulatory challenges remain in Cameroon, where authorities recently seized Starlink equipment due to licensing issues.
Microsoft is partnering with UAE-based AI firm G42 to invest $1 billion in a new data centre in Kenya to expand cloud-computing services in East Africa. The data centre, built by G42 and its partners, will use geothermal energy and provide access to Microsoft’s Azure through a new cloud region specifically for East Africa.
This initiative is part of a broader effort by major tech companies like Amazon, Microsoft, and Alphabet to meet the growing demand for cloud and generative AI services. G42, which recently received a $1.5 billion investment from Microsoft, is also developing an open-source AI model in Swahili and English.
During President William Ruto’s visit to the United States, a letter of intent for the project will be signed on Friday between Microsoft, G42, and Kenya’s Ministry of Information, Communications, and the Digital Economy. The data centre is expected to be operational within two years after the final agreements are signed.
The Democratic-majority FCC, led by Chairwoman Jessica Rosenworcel, voted to adopt an order titled ‘Safeguarding and Securing the Open Internet.’ The order largely reinstates the net neutrality rules established under the Obama administration in 2015, which were later overturned in 2017. It prohibits Internet Service Providers (ISPs) from blocking or throttling access to content.
Rosenworcel argues that these rules are essential to keep the internet ‘fast, open, and fair,’ emphasising that reclassifying broadband as a telecommunications service under Title II of the Communications Act increases the FCC’s regulatory authority. However, it will not involve rate regulation or undermine investment incentives.
A group of 41 Republican lawmakers has challenged the FCC’s decision to vote on the matter, arguing that it exceeds the agency’s authority by treating broadband like a utility without explicit Congressional approval. They contend that only Congress has the power to impose such regulations. Despite this opposition, historical legal precedents from the Supreme Court and the U.S. Court of Appeals support the FCC’s authority to regulate broadband under Title II.
Google unveiled plans on Wednesday to invest $1 billion in two new submarine cables to enhance connectivity between the United States and Japan. These subsea cables, named Proa and Taihei, will be constructed by NEC Corp., a leading Japanese tech company. Proa’s route will span Japan, the Commonwealth of the Northern Mariana Islands (CNMI), and Guam, connecting the continental US with Shima, Japan. The Taihei cable, on the other hand, will establish a direct link between Japan and Hawaii.
In addition to these cables, Google will extend its existing Taiwan-Philippines-US (TPU) cable system to CNMI, integrating it into the Proa network. The TPU cable, also built by NEC, will connect Taiwan, the Philippines, Guam, and the US and is slated for completion by May 2025. Furthermore, Google’s Tabua cable, anticipated to be operational by 2026, will be extended to Hawaii, expanding its route from the US to Fiji and Australia.
These investments align with broader geopolitical objectives, as highlighted by the recent meeting between Japanese Prime Minister Kishida Fumio and US President Joe Biden, affirming their commitment to a free and open Indo-Pacific region. The joint statement issued post-meeting specifically noted Google’s $1 billion investment, emphasising the expansion of digital connectivity for the North Pacific Connect initiative in collaboration with NEC to enhance digital infrastructure across the US, Japan, and Pacific Island Nations.
Why does it matter?
The US and Japan intend to collaborate with like-minded partners to fortify and expand resilient networks in the Pacific region. Part of this initiative includes contributing funds, such as $16 million, towards cable systems for the Federated States of Micronesia and Tuvalu, emphasising the strategic importance of digital connectivity in fostering economic and diplomatic ties across the Pacific. These developments underscore Google’s significant role in enhancing global digital infrastructure and promoting connectivity across diverse regions.
China has approved increased operations of drones and other aerial vehicles, fueling excitement for the significant potential the technology holds in enhancing the country’s burgeoning “low-altitude economy.” “Low-altitude economy” is a key strategic sector listed by China, encompassing industries linked to manned and unmanned vehicles operating below 1,000 meters. The sector is valued at $70 billion in 2023, is projected to exceed $140 billion by 2026 in the country, as reported by Ministry of Industry and Information Technology (MIIT)-affiliated research institute.
Guidelines published by MIIT indicate Beijing’s ambition to invigorate the general aviation industry by 2027, emphasizing applications in urban air transport, logistics, and emergency rescue. By 2030, they aim to introduce a new, high-end, smart, and eco-friendly development model for general aviation, which is expected to significantly contribute to economic growth.
Civilian drones in China have already observed widespread adoption in various sectors including agriculture and aerial photography. Drone logistics services have now reached urban areas as well.
Sun Wensheng of China’s Civil Aviation Administration highlighted the ongoing enhancement of support services for low-altitude flights, including streamlined approval processes and air traffic management. He also mentioned about the efforts in refining the certification system for unmanned aircraft to facilitate the low-altitude economy’s growth.
