- DISH Network Corp DISH chose Amazon Web Services, Inc. (AWS) as its preferred cloud provider and will construct its 5G network on AWS under Amazon.Com Inc AMZN deal.
- Dish will launch its 5G network in Las Vegas in the third quarter, as per the Financial Times report.
- The public cloud shift and the use of smaller suppliers, called ‘Open RAN’, were vital to regaining a footing in the global telecoms market following the regulatory crackdowns on Huawei Technologies’ equipment use in markets including the U.S. and U.K., Dish Chair Charlie Ergen said.
- Dish utilized capacity on T-Mobile U.S. Inc’s TMUS 4G services network.
- It has planned to incur $8 billion to $10 billion on its 5G network build-up. The company has also expended $25 billion on the spectrum.
- Dish’s licenses mandated it to connect 20% of the U.S. population to the 5G network by June next year.
- Amazon won the Dish deal by beating the likes of Microsoft Corp MSFT and Alphabet Inc GOOG GOOGL Google, Ergen said.
- The telecom industry attracted large U.S. technology companies in the past two years following the shift in telecom functions to the cloud.
- Amazon’s upcoming CEO Andy Jassy expected more telecom companies to follow Dish’s example over the coming years to focus their limited resources on network expansion and customer services instead of in-house data centers. The “expensive and slower” current network architecture drove the 5G shift added Jassy.
- Amazon failed to enter the mobile handset market and is estimated to launch its wireless brand recently.
- Amazon aimed to partner with the telecoms industry via AWS, as 5G and edge computing drove the need for processing power across the mobile network, according to Jassy.
- Disruptive Analysis founder Dean Bubley expected the broader telecom sector shift to the public cloud to occur “in stages” as some parts of a network could not be “cloudified.”
- Dish is betting on the AWS deal to compete with Verizon Communications Inc VZ, AT&T Inc T, and T-Mobile U.S. Inc.
- Price action: DISH shares traded higher by 8.59% at $40.06 on the last check Wednesday.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Loading...
Benzinga simplifies the market for smarter investing
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
Join Now: Free!
Already a member?Sign in
