ORAN Drives Higher Returns on Investments in Urban and Suburban Regions

Fuente: arXiv
Salvato in:
Dettagli Bibliografici
Autori principali: Sharma, Priyanka, Oughton, Edward J., Shanoyan, Aleksan
Natura: Preprint
Pubblicazione: 2024
Soggetti:
Accesso online:
Tags: Aggiungi Tag
Nessun Tag, puoi essere il primo ad aggiungerne!!
_version_ 1866912169184985088
author Sharma, Priyanka
Oughton, Edward J.
Shanoyan, Aleksan
author_facet Sharma, Priyanka
Oughton, Edward J.
Shanoyan, Aleksan
contents This paper provides the first incentive analysis of open radio access networks (ORAN) using game theory. We assess strategic interactions between telecom supply chain stakeholders: mobile network operators (MNOs), network infrastructure suppliers (NIS), and original equipment manufacturers (OEMs) across three procurement scenarios: (i) Traditional, (ii) Predatory as monolithic radio access networks (MRAN), and (iii) DirectOEM as ORAN. We use random forest and gradient boosting models to evaluate the optimal margins across urban, suburban, and rural U.S. regions. Results suggest that ORAN deployment consistently demonstrates higher net present value (NPV) of profits in urban and suburban regions, outperforming the traditional procurement strategy by 11% to 31%. However, rural areas present lower NPVs across all scenarios, with significant variability at the county level. This analysis offers actionable insights for telecom investment strategies, bridging technical innovation with economic outcomes and addressing strategic supply chain dynamics through a game-theoretic lens.
format Preprint
id arxiv_https___arxiv_org_abs_2412_18346
institution arXiv
publishDate 2024
record_format arxiv
spellingShingle ORAN Drives Higher Returns on Investments in Urban and Suburban Regions
Sharma, Priyanka
Oughton, Edward J.
Shanoyan, Aleksan
General Economics
Economics
This paper provides the first incentive analysis of open radio access networks (ORAN) using game theory. We assess strategic interactions between telecom supply chain stakeholders: mobile network operators (MNOs), network infrastructure suppliers (NIS), and original equipment manufacturers (OEMs) across three procurement scenarios: (i) Traditional, (ii) Predatory as monolithic radio access networks (MRAN), and (iii) DirectOEM as ORAN. We use random forest and gradient boosting models to evaluate the optimal margins across urban, suburban, and rural U.S. regions. Results suggest that ORAN deployment consistently demonstrates higher net present value (NPV) of profits in urban and suburban regions, outperforming the traditional procurement strategy by 11% to 31%. However, rural areas present lower NPVs across all scenarios, with significant variability at the county level. This analysis offers actionable insights for telecom investment strategies, bridging technical innovation with economic outcomes and addressing strategic supply chain dynamics through a game-theoretic lens.
title ORAN Drives Higher Returns on Investments in Urban and Suburban Regions
topic General Economics
Economics
url https://arxiv.org/abs/2412.18346