AT&T announced yesterday it will move its 5G mobile network to the Microsoft cloud. The alliance provides a path for all of AT&T’s mobile network traffic to be managed using Microsoft Azure technologies. The companies will start with AT&T’s 5G core, the software at the heart of the 5G network, that connects mobile users and IoT devices with internet and other services. AT&T said the move is designed to increase productivity and cost efficiency while focusing on the delivery of large-scale network services that meet its customers’ evolving needs.
Microsoft, in turn, will gain access to AT&T’s intellectual property and technical expertise to grow its telecom flagship offering, Azure for Operators. Microsoft is acquiring AT&T’s carrier-grade Network Cloud platform technology, which AT&T’s 5G core network runs on. AT&T’s Network Cloud platform has been running AT&T’s 5G core at scale since the company launched 5G in 2018. This move brings real-world production 5G workloads to Azure for Operators.
“AT&T has one of the world’s most powerful global backbone networks serving hundreds of millions of subscribers. Our Network Cloud team has proved that running a network in the cloud drives speed, security, cost improvements and innovation. Microsoft’s decision to acquire these assets is a testament to AT&T’s leadership in network virtualization, culture of innovation, and realization of a telco-grade cloud stack,” said AT&T EVP/CTO Andre Fuetsch. “The next step is making this capability accessible to operators around the world and ensuring it has the resources behind it to continue to evolve and improve. And do it securely. Microsoft’s cloud expertise and global reach make them the perfect fit for this next phase.”
AT&T will continue to operate its network and retain its customer relationships. By using Microsoft’s hybrid and hyperscale infrastructure, AT&T can substantially reduce engineering and development costs. Early access to Microsoft’s cloud, AI and edge technology will provide AT&T with the flexibility it needs to rapidly innovate and launch new services and customer experiences enabled by 5G.
“With Azure, operators can provide a more flexible and scalable service model, save infrastructure cost, and use AI to automate operations and differentiate customer offerings,” said Jason Zander, executive vice president Azure, Microsoft. “Through our collaboration with AT&T, Microsoft will expand its telecom portfolio to support operators with a carrier-grade cloud that provides seamless experiences across Microsoft’s cloud and the operator’s network.”
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