Canada Can Lead the World in Open RAN Evolution

For years, the global telecommunications landscape has been limited by a traditional approach to radio access networks (RAN), where service providers rely on tightly integrated, proprietary equipment—provided by a single vendor—to keep mobile phones and things like electric vehicles connected. This model is costly to maintain, difficult to scale, and slow to innovate.

Open RAN flips all of that on its head. Instead of a closed ecosystem, the technology embraces modularity through an open framework that enables software and hardware components from multiple vendors to work together seamlessly. By eliminating the decades-long reliance telcos have historically had on a few critical companies, Open RAN promises a next-generation approach with automation, flexibility, and better performance.

Canada has what it takes to harness Open RAN’s disruption in wireless networks, generating billions for the economy, empowering us to lead in innovation, and improving the lives of Canadians through stronger connectivity. To do so, we need advocacy, investment, and regulation to become a global leader in the nascent industry. 

At TELUS, we’re excited about this space from both a technology and economic standpoint. We recently announced Canada’s first deployment of Open RAN, which will see us swap 50% of our 4G/5G network with an Open RAN construct in the next two years.

And while we’re opening the door for Canadian vendors to grow and specialize in this space, Canada must do more to help nurture the industry to maturity so that it can compete globally. If this country even captures 10% of the global Open RAN market by 2030, the industry would bring home approximately $3 billion annually. 

I urge the federal government, my industry peers, and the investor community to realize the potential of Open RAN’s disruptive impact and to take advantage of it immediately, creating pathways for further research, deployment, and the development of new entrants. The time to invest is now, and we can’t afford to pass up the opportunity. 

A Fertile Ground for Homegrown Innovation

With lowered barriers to entry, emerging vendors —each of which work with different components of an Open RAN construct—have an opportunity to enter the market, innovate and spur each other on to continuously improve. With no clear winner yet, a multitude of contenders are vying to establish themselves as the leading modular player, galvanizing a culture of collaboration, creativity, and customization.

In today’s uncertain geopolitical climate, Canadian technology benefits our national security, too. As countries around the world, including Canada, look to swap to compliant vendors, we can feel secure by cultivating more homegrown infrastructure while offering it to others.

For Canadian consumers, growth in sector-wide innovation and competition also means TELUS and telcos across the country are better able to keep up with ever-evolving demands like improved service and expanded coverage. 

An Economic Boost at Every Level 

Canada has a rich talent pool and a well-documented track record of entrepreneurship. 

Take, for instance, the thriving ecosystem of startups developing digital solutions for real-life challenges in Kanata North Business Park. Or, in the case of Canadian-bred Nortel, how Apple, Microsoft, Sony, and other tech giants successfully monetized their intellectual property (IP) after collectively acquiring over 6,000 patents and patent applications in 2011. 

Open RAN is Canada’s next opportunity to develop and monetize IP. Owning it will provide Canadian companies with a global competitive advantage, attracting investment, securing partnerships, and growing our market share. This profit can be reinvested in infrastructure, talent at home and R&D, which will establish our leadership in the early days of this promising industry and signal to the rest of the world that Canada welcomes innovation.

But this isn’t just about technology for technology’s sake. This is about concrete improvements in the daily lives of Canadians. Networks are the backbone of this country. They keep our families safe, our businesses running, and our connections to what matters most, strong. When we build better networks, we build healthier, more vibrant communities.

Open RAN is one way to do that. As network scalability increases, procurement costs decrease, and the supply chain becomes more robust.

As we collectively work toward a more sustainable future, the technology also uses artificial intelligence to reduce and shut down radio frequencies when they’re not in use, minimizing energy consumption. TELUS’ radios, supplied by a Canadian company, are more compact, energy-efficient, and require fewer antennas compared to traditional RAN radios.

Solidifying Leadership With Government Collaboration

Given a renewed interest in regulating RAN from western governments, the growth of Open RAN requires active participation from the Canadian government. With narrow interventions, such as clear interoperability standards and consistent approval processes tailored specifically to mitigate identified risks, policymakers can minimize barriers to entry and help foster the kind of competition that leads to high-impact innovation. They can also encourage more Canadian vendors to participate through incentives, grants and funding programs.

Many countries, including the Five Eyes and their allies, are already showing up. In the 2022 CHIPS and Science Act, the United States government promised $1.5 billion to promote and deploy Open RAN, aiming to boost leadership in wireless technologies and their supply chains. To kick-start their industry, the United Kingdom also set a 2021 Open RAN target of 35% of mobile networks carried over by 2030. 

And while the Canadian government endorsed the United Kingdom’s 2022 Open RAN principles, which highlight implementation neutrality and standards-based compliance, it must, in collaboration with industry, set regulations that allow telcos to accelerate adoption domestically. It must also encourage further standard-setting from the Five Eyes to ensure international cohesion. 

Critics of Open RAN cite the risk of immaturity and complex interoperability as reasons to push back on its implementation. Still, we can continue to solve these challenges by working together. A successfully disaggregated ecosystem requires transparency and trust between telcos, the vendors that supply their hardware and software, and the researchers, investors, and partners that are helping propel Open RAN forward.

Industry stakeholders should take capital risks, prioritizing homegrown infrastructure, funding startups and fostering partnerships that openly share insights and pool resources. 

The Road to Open RAN 

The future of wireless networks built on Open RAN isn’t just a possibility; it’s a certainty. 

As TELUS successfully deploys Open RAN across our wireless network, we’re committed to demonstrating the magnitude of Canada’s telecommunications on the global stage and, most importantly, delivering cutting-edge connectivity to Canadians. 

For Canada to truly make a mark, all stakeholders across the Open RAN ecosystem must come together to push the boundaries of innovation and embrace the value of openness. 

What’s stopping us from standing at the forefront of this transformational shift?