Telecommunications provider O2 Telefónica announced a strategic shift in the operation of its 5G Core network, becoming the first telecommunications operator worldwide to move production-scale network functions to AWS Outposts deployed in its own data center. O2 Telefónica is using technology from European network equipment supplier Nokia to run its 5G core network on AWS infrastructure. As data traffic, digital services and real‑time applications continue to grow, O2 Telefónica is modernizing how it operates 5G core networks. By moving key functions into a cloud‑based architecture hosted in its own data center, the company is strengthening network stability, speeding up innovation and ensuring consistent performance for customers.
This new cloud-based offering is running with 1 million customers and operates in parallel with O2 Telefónica’s existing 5G core network. This deployment advances O2 Telefónica's hybrid cloud strategy, increases the company's flexibility with network equipment suppliers, and enhances technical independence through broader deployment options compared to traditional infrastructure.
"By expanding our 5G core network on AWS Outposts in our own data center, we are advancing our hybrid cloud architecture," said Mallik Rao, Chief Technology & Enterprise Business Officer at O2 Telefónica. "The cloud enables us to operate multiple core networks in parallel with flexible scaling for different requirements. Deploying our 5G core on AWS accelerates our progress toward agentic AI-based autonomous networks, making our network more resilient and controllable while delivering the secure, stable, and fast connection our customers rely on daily."
"O2 Telefónica's deployment of its 5G core network on AWS Outposts demonstrates how telecommunications companies can leverage AWS Cloud capabilities while maintaining on-premises control," said Jan Hofmeyr, vice president, Telecommunications at AWS. "As the first provider worldwide to run an existing 5G core on AWS Outposts at production scale, O2 Telefónica is proving that telecommunications providers can achieve the agility and innovation of cloud infrastructure with the low latency and data residency of on-premises deployment. This hybrid approach gives operators the flexibility to modernize their networks while meeting their specific operational and regulatory requirements. By providing AWS agentic AI services and cloud automation experience, we aim to help fulfill O2 Telefónica's vision of a fully autonomous network."
O2 Telefónica leverages AWS machine learning services—including large language models (LLMs) from Amazon Bedrock—to automate complex 5G maintenance workflows. By building AI-driven agents using Amazon Bedrock AgentCore, the company streamlines core network operations in different use cases. One use case focuses on the agentic clearance of incident tickets and alarms. Furthermore, real-time network information will be augmented to allow fault-free deployment in complex networking scenarios.
"This deployment with O2 Telefónica and AWS demonstrates how cloud-native 5G core networks can deliver the scalability and innovation speed that telecommunications providers need today, said Raghav Sahgal, Chief Customer Officer at Nokia." By combining Nokia's core network technology with AWS infrastructure, we're helping O2 Telefónica operate a resilient network that adapts to growing data demands while accelerating the delivery of new features to customers."
In 2024, O2 Telefónica launched its first 5G Cloud Core powered by Nokia technology in the AWS Region. O2 Telefónica has now deployed its 5G core on AWS Outposts in its own data center, combining AWS Cloud capabilities with on-premises operational control. O2 Telefónica, Nokia, and AWS will continue to collaborate on innovation projects that expand the capabilities of cloud-based network architecture.
For customers, this deployment delivers a more robust 5G experience. The cloud-native core network ensures reliable data management and stable service delivery, enabling improved connections and faster feature updates through accelerated deployment cycles—benefiting applications including streaming, mobile work, and gaming.
O2 Telefónica is also migrating their virtualized IP Multimedia Subsystem (vIMS) to AWS. Alongside the deployment, both companies are developing a comprehensive continuous integration/continuous delivery (CI/CD) automation framework, which will streamline operations and accelerate the delivery of new features and updates.
This hybrid approach combines the innovation speed of cloud infrastructure with the resilience, performance, and governance required for critical network operations.
