The perspective of operators that do not perform GT leasing and why they welcome FS.52
Introduction
In the complex world of telecommunications, Global Title (GT) leasing has become an integral aspect of network management, enabling some operators and enterprises to efficiently route and manage traffic across international borders. GT leasing is a practice where one mobile operator or company leases GTs from another operator to facilitate routing and communication. GTs are significant in signaling networks, particularly in the context of SS7, which is used for call and message routing in mobile and fixed-line networks. GT leasing was more common in the past, it has become less prevalent for several reasons.
While some operators have readily embraced transparency in their GT leasing practices, others have been more cautious. So, what are actually the reasons behind the reluctance of certain operators to be transparent, and why is transparency beneficial to the telecommunications industry as a whole?
Understanding Global Title Leasing
GT leasing involves the temporary transfer of signaling information rights between the GT lessor and the GT lessee, allowing for the efficient routing of calls and messages across global networks. This practice facilitates cost-effective and streamlined communication services, particularly in an era where global connectivity is paramount. However, concerns over the lack of transparency in GT leasing practices persist, prompting a closer examination of the reasons behind operator hesitancy to (i) lease their GTs in the first place, and (ii) provide transparency if GTs are leased.
Taking these in order, the main reasons why operators choose not to lease their GTs are:
Fraud and Security Concerns: GT leasing can create vulnerabilities in an MNO network’s security as leased GTs could be exploited by malicious actors for fraudulent activities or to intercept and manipulate signaling traffic. GT leasing is often intentionally conducted with a lack of transparency, aiming to provide malicious actors with a sort of master key for accessing hundreds of global network operators through the SS7 network. Hence, many operators prefer to avoid becoming a GT lessor, to protect their industry reputation and their network security.
Control and Quality Assurance: By leasing GTs, operators may relinquish control over the quality and reliability of their signaling traffic. Maintaining their own GTs allows operators to have more direct oversight and ensures consistent service quality.
Cost Savings and Efficiency: Although leasing GTs typically does generate revenue, it may also introduce additional costs and increase complexity, such as trouble shooting, negotiation and contractual arrangements. Mobile operators may prefer to optimize direct utilisation of their own GTs to achieve cost savings and operational efficiency.
Changing Industry Dynamics: As the telecommunications industry evolves, operators are adopting new technologies and protocols that reduce the reliance on SS7 and signaling networks. This means that GT leasing may be less relevant in modern telecommunications infrastructure.
For some operators that do lease GTs to others, deliberate opaqueness is often used as USP product feature. Others may be reluctant to reveal proprietary routing strategies, network architecture, or pricing models, as they may perceive such transparency as a risk to their competitive edge. Additionally, there may be concerns about regulatory scrutiny and the potential impact on their operational flexibility. In some countries, GT leasing may be imposed on an operator by its government, and may be accompanied by confidentiality restrictions that prevent or limit what information the operator may disclose.
So why are most MNOs in favor of welcoming more transparency in the industry?
Securing Critical Infrastructures: In a time of escalating geopolitical tensions and military conflicts, the legal obligation to protect critical infrastructures takes on special significance. This has led to a resurgence of zero-trust approaches in network interconnections in recent years, along with renewed efforts to enhance the security of international SS7 interfaces.
Interconnection Agreements: Transparency in the industry helps operators establish fair interconnection agreements. Clear rules and standards can prevent disputes and ensure that all operators are treated equitably.
Regulatory Compliance: Many countries have regulation in place that require operators to adhere to specific standards and practices. Transparency helps operators comply with these regulations and avoid legal issues.
Competition and Innovation: A transparent telecommunications industry encourages healthy competition and innovation. It allows new entrants to understand the industry’s rules and compete on a level playing field.
Benefits of Transparency
Contrary to the reservations above, embracing transparency in GT leasing can offer a myriad of advantages for operators. Firstly, transparency fosters trust among telecommunication operators, creating a foundation for stronger collaboration and partnership. Clear communication about GT leasing usage and performance expectations can contribute to the development of long-term and mutually beneficial relationships. By learning from past mistakes and addressing design vulnerabilities early on, network operators can prevent the telecommunications industry from losing trust among the relevant stakeholders. Simultaneously, this proactive approach safeguards the telecommunication industry from potential reactive legal and regulatory actions that regulators might otherwise initiate.
Secondly, transparency can enhance the overall efficiency of global telecommunications networks. Operators that openly share information about their GT leasing practices are better positioned to optimise routing decisions, minimize latency, and improve the overall quality of service. With a clearer understanding of the GT leasing landscape, operators can make more informed decisions that lead to cost savings and improved network performance.
In summary, while GT leasing was once common in the telecommunications industry, it is becoming less prevalent due to security concerns, control, and operational efficiency. This trend needs to continue. Operators prefer to have transparency in the industry to establish fair agreements, comply with regulations, foster competition and innovation, build trust, and maintain a positive industry reputation.
Furthermore, transparent GT leasing practices can contribute to the resilience of the telecommunications industry as a whole. By openly sharing best practices and lessons learned, operators can collectively work towards establishing industry standards that ensure the reliability and security of global communication networks.
Conclusion
Operators that have been hesitant to embrace transparency in GT leasing may find that the benefits of transparency far outweigh the perceived risks. Openness and clarity in GT leasing practices not only strengthens relationships between operators but also contribute to the efficiency and reliability of global telecommunications networks. As the demand for seamless and secure communication continues to grow, the importance of transparent GT leasing practices becomes increasingly apparent. It is not merely a matter of conforming to industry trends, but a strategic move towards building a resilient and interconnected telecommunications ecosystem. Embracing transparency is, therefore, an essential step in navigating the evolving landscape of global communications.