Cisco Systems, Inc. (NASDAQ:CSCO) and Verizon Communications Inc. (NYSE:VZ) have agreed to work together on the delivery of a 5G architecture network. The former will provide the mobile carrier with pre-commercial network services as it carries out its trials. Verizon expects to start offering the 5G to pilot customers during the first half of 2017.
The project will make use of Cisco’s virtualized and cloud-based 5G packet core to enable network transportation of gigabit speeds. There will also be a lot of utilization of Cisco’s virtually managed services software platform. This is expected to facilitate the deployment of network and security services the likes of Cisco iWAN.
Verizon and Cisco will also explore connectivity and performance of the 5G network
Apparently, the duo is not only interested in the development of technologies that will enhance greater service agility. They are also looking into the connectivity and performance of the 5G network and particularly how it can be harnessed.
VP of Business Networking and Security Services at Verizon Shawn Hakl says, “As part of this activity, Verizon and Cisco will use enterprise SD-WAN functions that interact with the carrier 5G network to integrate security policy and manage the performance of applications such as unified communications.”
But Verizon’s 5G pilot is likely to be one of the world’s largest networks
The mobile telecommunication company is eyeing a larger market. It expects to have several cell sites covering several thousands of customer locations. Some of the first beneficiaries of wireless 5G connection include Miami, Sacramento, Denver, Seattle, Houston and Washington, D.C. among others.
According to Cisco, the carriers’ next-generation 5G wireless networks are efficient because they can hold up more connected devices. The lower latency in the networks is also critical, especially in automotive applications. It could also come in handy in virtual reality.
Meanwhile, there are clear indications that with time, Verizon may have to set up standards for growth. In the meantime, Verizon’s stock was trading at $49.94 a decline of $0.66 or 1.30% while that of Cisco closed at $34.26 a fall of $0.06 or 0.17%.