Techno-economic analysis of open RAN deployment scenario: in the case of Ethiotelecom
| dc.contributor.advisor | Beneyam Berehanu (PhD) | |
| dc.contributor.author | Seada Endris | |
| dc.date.accessioned | 2023-12-14T14:48:31Z | |
| dc.date.available | 2023-12-14T14:48:31Z | |
| dc.date.issued | 2023-09 | |
| dc.description.abstract | The telecommunications industry is characterized by the collaboration of multiple vendors to provide mobile network communication services. However, the heterogeneous integration of hardware and software from multiple vendors presents a considerable challenge. Hence, operators typically rely on a single vendor for their radio access network (RAN) requirements. Furthermore, the increasing demand for data services adds to the complexity. In response to these challenges, the introduction of open Radio Access Network (Open RAN) emerges as a solution, offering an ecosystem that is open, flexible, intelligent, efficient, and cost-effective. In the context of Ethiotelecom, an assessment of the viability of implementing Cloud RAN incorporating Layer 1 (L1) and Layer 2 (L2) functionalities alongside the physical network function (PNF) and the virtualization of Layer 3 (L3) functionalities has been conducted. In C-RAN the HW components and SW are all proprietary. This study focuses on the virtualization of all baseband functionalities and based on open RAN COTs HW and SW. This thesis assesses the viability of deploying Open RAN network architecture in Addis Ababa, Ethiopia. A thorough techno-economic analysis (TEA) with a study period of five years was conducted by using modified TERA model. The analysis encompassed an investigation of deployment scenarios of Open RAN Distributed Unit (DU) pooling to edge cloud and Central Unit (CU) pooling to regional cloud. The selection of optimal locations for vDU and vCU components entailed an array of factors, including available bandwidth, fiber accessibility, and latency considerations. Inputs such as cell site data, network configurations, hardware-software specifications, and financial parameters were used. The analysis involved network dimensioning, cost modeling and assessing using economic metrics for each architecture. Metrics such as Net Present Value (NPV), Payback Period (PP), and Internal Rate of Return (IRR) were employed as decision-making tools. These metrics were computed using MS-Excel and MATLAB. The results indicate that D-RAN was more favorable than Open RAN, with PP of 2.4 and 3.5 years, respectively because D-RAN CAPEX cost of initial investment are taken by considering depreciation rate of RAN component. Also both architectural approaches exhibited positive NPV and IRR that exceeded the assumed discount rate of 10%. The findings of this study indicate the profitability of existing RAN architecture within the study period. | |
| dc.identifier.uri | http://etd.aau.edu.et/handle/123456789/954 | |
| dc.language.iso | en_US | |
| dc.publisher | Addis Ababa University | |
| dc.subject | RAN, Open RAN, virtualized RAN, TERA model, TEA, Cost modeling | |
| dc.title | Techno-economic analysis of open RAN deployment scenario: in the case of Ethiotelecom | |
| dc.type | Thesis |