Besides be made. Innovative ways ofpricing, new grounds

Besides the improved scalability and ?exibility providedby network slicing, it also worths to discuss business dimensionof applying of network slicing from operator’sperspective. In traditional networks, the cost of an operatorin terms of CAPEX and OPEX is high in reference to thetotal generated revenue. There are several reasons for suchhigher costs, where the most important one is the networkresource underutilization.In traditional network architectures, the network operatorprovides an unspeci?ed network resource pool forgeneral utilization of all applications. However, dependingon the performance requirement, various applications canhave highly speci?ed characteristics of resource utilization.Therefore, under traditional architectures, it is often to re-serve excessive amount of certain network resources forsome use-case with only slight demands on them. A lot ofnetwork resources are thus wasted, leading to a low networkutilization rate.In contrast, with deployment of network slicing, operatorsare able to ef?ciently analyze operational cost and revenuegenerated from each individual slice in the entire network.Based on revenue analysis, operators can allocate speci?ednetwork resource bundles to different slices, which makesthe resource management much more structured, ?exible,and ef?cient. It is concluded that the very same network canbe utilized to seamlessly provide more and better servicesi.e. generate more revenue without any increase in CAPEX.Therefore, network provider needs new algorithms in orderto cope with new architecture and maximize revenue. Toaccomplish this, a deep review of the telecommunicationregulatory framework has to be made. Innovative ways ofpricing, new grounds for cost sharing and standardized solutions,which provide the required support for interoperabilityin multi-vendor and multi-technology environments, must bestudied as well. Moreover, inter-operator network sharing andcooperative slicing concepts can be ef?ciently implementedby optimizing the network cost model for increasing the overallrevenue, and meanwhile providing network scalability.Network cost models in traditional networks are typicallyuilt based on CAPEX and OPEX, which are estimatedaccording to the number of base stations (BSs), the transmissionpower and the traf?c volume. For sliced networks, thismethodology is not appropriate any more. As each resourcecan be shared by several network slices, and the slicingscheme varies from one resource to another. Hence, OPEXcannot be generally estimated for the entire physical network.A novel slice-oriented cost model is therefore needed. Aswe already discussed, every slice is speci?ed for a particularpre-de?ned service, which covers a group of use cases withsimilar demands for the QoS. Therefore, a slice can beidentically de?ned by a set of KPI requirements.As 5G networks are supposed to support network slicesimplemented by both traditional mobile network operators


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