A Brief Overview of Energy Efficiency and Fossil Independence in Telecom Network Infrastructure Industry

Telecommunication firms are not immune to the environmental impact faced by other industries. The sector’s energy consumption and electronic waste generation have increased in the last few years due to a rapidly expanding global network and the proliferation of energy-consuming devices. The preference for adopting sustainable methods across all industries has encouraged operators to build out infrastructure that supports high-speed communications.

Although many operators have pledged to support climate initiatives, some sustainability strategies are unattainable without additional changes. The telecom industry’s impact on the environment is primarily through energy consumption, e-waste, and the use of materials that require mining or other harmful processes. Given the scale of operations and the rapid expansion of networks, the telecom industry is expected to adopt more sustainable practices to reduce its carbon footprint.

Energy efficiency in data centers without quality compromise

This for data centers often gets sourced from non-renewable energy reserves. Improving energy efficiency is thus a looming immediacy for establishing a sustainable network with a minimal footprint. Telecom companies have adopted energy-efficient switches, routers, and servers to minimize power consumption. Moreover, operators run multiple applications on a single server through virtualization. This notably diminishes the number of machines required in the set up leading to lower energy and e-wastage.

Fujitsu Limited launched a 5G vRAN solution in February 2023. It integrated virtualized central units and distributed units with NVIDIA's GPU technology under the '5G Open RAN Ecosystem' initiative. Its design improved radio unit capacity and processing power to a large extent. Moreover, it provided high-quality communication and accommodated various functions in a flexible open network. According to Allied Market Research, rising demand for efficient 5G networking has contributed to the expansion of the telecom network infrastructure market.

More than 90% of operators' operational carbon footprint is due to electricity used to power their networks, according to the 2022 ABI Research report "A Telco Sustainability Reality Check." Operators measure their carbon emissions by evaluating their greenhouse gas emissions. This is based on direct and indirect emissions from an operator. They also choose to disclose their carbon impact footprint to the Carbon Disclosure Project for transparency and accountability.

Telecom Network Infrastructure Market

Minimizing fossil dependency through renewable sourcing

Instead of using diesel generators, operators consider solar power, wind power, lithium-ion batteries, and renewable electricity from a renewable source. Telecom companies have installed solar panels on their roofs and cell towers to generate clean and renewable energy. Additionally, they invest in wireless technologies and equipment that consume less energy. However, operators face some barriers in obtaining and implementing renewable energy, according to GSMA.

Huawei and NTPC Green Energy's initiatives for a sustainable network

In March 2023, Huawei launched the Eco series antennas that reduce site power consumption, improve network energy efficiency, and save OPEX. These ultra-energy-efficient antennas reduce carbon emissions while benefiting the environment and society. Eco series antennas help operators build green, high-performance 5G networks without needing more energy, even during surges in network traffic. More recently, on November 16, 2024, NTPC Green Energy collaborated with Indus Towers to improve renewable energy adoption in the telecommunications sector. It aimed to integrate solar power into telecom infrastructure.

Endnote

Sustainability has formed an essential value system for firms operating within the telecom industry. Operators are deeply focused on energy efficiency and renewable energy sourcing. Minimizing dependency on grid power and fossil fuels has not only reduced the footprint but also the overall functional expenses. In addition, responsible efforts from business owners are expected to optimize the effectiveness of telecom networks, without compromising quality and efficiency.

Trending Reports in the Semiconductor and Electronics Industry:

The global telecom electronic manufacturing service market size was valued at $137.37 billion in 2019 and is expected to reach $209.17 billion by 2027, growing at a CAGR of 6.50% from 2020 to 2027. 

The global network-attached storage market was valued at $25.6 billion in 2022 and is projected to reach $96.1 billion by 2032, growing at a CAGR of 14.6% from 2023 to 2032.

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