IPv4 Shouldn’t Exhaust Growth of Telecom Service Providers: Adrian Taylor

IPv4

As rural broadband initiatives help bridge the digital divide, communications service providers have a wealth of opportunities to add subscribers, expand territory, and grow their business. However, they will first need to address the challenges posed by IPv4 exhaustion—and its impact on the cost of new subscriber IP addresses.

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Since November 2019, when the final allocation of publicly available IPv4 addresses was made, new IPv4 addresses have been obtainable only at high open market prices. There is a virtually unlimited stock of IPv6 addresses available, but migration to the new standard is a highly complex prospect and impractical in the short term for many communications service providers. They need a more feasible and affordable way to support new subscribers.

Fortunately, there’s another way forward. Carrier-grade NAT (CGNAT), a standard for network address translation (NAT), makes it possible to extend the life of existing IPv4 addresses to support additional subscribers. In this way, communications service providers can capture new opportunities for growth—while simultaneously positioning their business for IPv6 migration when the time is right.

Rural Broadband Initiatives Expand Opportunities for Communications Service Providers

While broadband plays a central role in peoples lives, millions of households in both rural and urban communities still lack access to high-speed internet from broadband services from either Fibre to the Premises (FTTP), fixed wireless internet, or mobile ISP—representing a vast potential market for providers. Now accelerating support for rural broadband initiatives and digital divide programs are turbocharging that opportunity.

Meanwhile, demand for broadband services is surging. As the COVID-19 pandemic shifted broad swathes of modern life online, average broadband network usage in the UK doubled in 2020 compared to 2019.

Rural broadband networks have performed well, thanks in part to infrastructure investments by rural broadband providers and an increase in FTTP penetration. This robust connectivity paves the way for new opportunities for both communications service providers and underserved communities and customers, facilitating the introduction of new services such as rich content experiences, new forms of collaboration, distance learning, telehealth, IoT, precision agriculture, and more.