AT&T is making big changes in its cloud computing efforts, deciding to move its next-generation 5G wireless core to Microsoft’s Azure cloud and also selling its Network Cloud Platform tech to Microsoft.
Financial terms were not disclosed.
Azure along with IBM/Red Hat, Google and Amazon are vying for trillions of dollars in business opportunities in the booming cloud market.
Earlier this week, IBM and Red Hat announced big wins for their own cloud efforts at the Mobile World Congress, including a deal with Verizon.
IBM, Red Hat launch next-generation wireless cloud tools with artificial intelligence
“Microsoft is essentially taking over AT&T’s cloud network deployment, responsible for operations as it exists today and transforming it with a combination of hybrid cloud assets,” FierceWireless reports.
“Then, Microsoft will incorporate learnings and IP the carrier has built into its commercial Azure offering for operators, according to Shawn Hakl, Microsoft’s VP of 5G Strategy, in an interview with FierceWireless.”
- The AT&T view
“Our Network Cloud team has proved that running a network in the cloud drives speed, security, cost improvements and innovation,” said AT&T CTO Andre Fuetsch. “Microsoft’s decision to acquire these assets is a testament to AT&T’s leadership in network virtualization, culture of innovation, and realization of a telco-grade cloud stack. The next step is making this capability accessible to operators around the world and ensuring it has the resources behind it to continue to evolve and improve. And do it securely. Microsoft’s cloud expertise and global reach make them the perfect fit for this next phase.”
- The Microsoft view
“With Azure, operators can provide a more flexible and scalable service model, save infrastructure cost, and use AI to automate operations and differentiate customer offerings,” said Jason Zander, EVP of Azure at Microsoft. “Through our collaboration with AT&T, Microsoft will expand its telecom portfolio to support operators with a carrier-grade cloud that provides seamless experiences across Microsoft’s cloud and the operator’s network.”
