Gaming & VR: Telcos Next Big Bet!

Gaming and Virtual Reality (VR) have the potential to become the next big platforms after PC, web, and mobile.

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Telecom players are increasingly looking to the gaming sector for new revenue opportunities, but disruptive and ground-breaking applications enabled by augmented reality (AR) and 5G’s combination of high data throughput and low latency and are yet to be developed, according to industry analysts.

With the heat now on for telcos to identify ways to get a return on their 5G investments and develop new opportunities using the capabilities the latest mobile broadband generation has to offer, there has been plenty of activity in this area in recent months. Last week, US operator Verizon unveiled work on an AR adventure thriller that uses volumetric video (modern 3D holograms) to provide “an unbelievable immersive experience.” The production, called Helios, is being developed in partnership with immersive studio Novelab and 30 Ninjas, a digital entertainment company co-founded by film director and producer Doug Liman.

Supported by Verizon’s 5G Ultra Wideband 5G service, the immersive experience will allow users of 5G-capable Android and iOS smartphones to follow the plotline of a missing character and uncover the mystery by navigating the story and piecing clues together.

In addition to Verizon, Deutsche Telekom, EE, Globe Telecom, Orange, SK Telecom, SoftBank Corp. and TELUS have joined Niantic’s Planet-Scale AR Alliance, which has a mission to create “amazing real-world AR experiences that demonstrate the possibilities of 5G,” including ultra-reliable low latency, enhanced mobile broadband, network slicing and edge computing.

We’ve already seen some interesting attempts this year, as Japanese operator KDDI touted a successful use of network slicing and 5G standalone (SA) for 8K PlayStation game streaming. The demonstration was announced in February and is part of an initiative with Sony to create new business use cases and entertainment services based on 5G SA.

At the start of the year, US operator AT&T joined forces with NVIDIA to offer 5G GeForce NOW subscriptions, which it claimed offers “one of the world’s best gaming experiences.”

Another example in the gaming and immersive content field involves South Korean telco SK Telecom, which claimed it turned the country into the first Asian market to offer Microsoft Xbox’s cloud gaming service in 2020: A year later it created an AR app based on 5G edge cloud designed to offer immersive experiences for tourists.

Analysts feel that the introduction of new features and services, such as gaming on the move, some AR apps and 8K videos, which require greater bandwidth and higher speeds, will help to highlight the merits of 5G.    

Content will also have a huge role, as it is paramount in driving uptake and usage of next-generation networks. Therefore, expect all providers shouting as loud as possible about how good their fibre and 5G networks are, as rollout ramps up significantly.

After all, the big challenge for telecoms operators remains: How to find the right partnerships, content and marketing strategies to convince their existing and new customers that upgrading to the fastest network out there is, in fact, more needed than ever. (Telecom TV Report)