Which technology does Cloud RAN utilize to respond to fluctuating user demand?

Cloud RAN utilizes dynamic resource allocation to effectively respond to fluctuating user demand. This technology allows the system to adaptively distribute computing and network resources based on real-time traffic conditions and user requirements.

Dynamic resource allocation involves monitoring current network usage and dynamically adjusting the resources assigned to various components, such as baseband processing or storage. This capability ensures that the network can efficiently handle increased demand during peak periods by allocating more resources and redistributing them during lower traffic times, thereby optimizing performance and user experience.

In contrast, static resource management refers to the allocation of resources that remain fixed regardless of changing demands, which is less effective in a dynamic environment where user demand can vary significantly. Fixed pricing models and standardized connectivity do not directly impact resource allocation strategies and therefore do not address the need for responsive adjustments in resource distribution as user demand fluctuates.