IMS Next Gen Comm Networks 080905
IMS Next Gen Comm Networks 080905
IMS Next Gen Comm Networks 080905
Introduction .......................................................................................3
References:.......................................................................................16
2
Introduction
The next generation communications network is already taking shape,
driven by the demand for new, converged services from consumers and
business professionals alike. To take advantage of this opportunity, service
providers are adopting new business models and moving to open
standards in order to provide their customers with ubiquitous services
that can be accessed by any end-user device.
This white paper discusses the current market environment, including the
evolving competitive environment, the trend toward commoditization,
and rapid advances in technology. It provides a high-level exploration of
the IMS architecture, and looks at the impact of the standard on present
and future applications and the bearer network infrastructure. The paper
also examines some of the “first steps” and other considerations that
service providers should explore as they move towards the next
generation network.
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Changing Consumer Requirements
The second group of consumers driving demand for new network services
includes business and other professionals who are exposed to technology
in every aspect of their lives. Currently they access their networks at
work, at home, and on the go using different log-ins, buddy lists, and
address books. This segment wants the convenience of combining these
networks in order to be able to seamlessly and efficiently access their
electronic information anytime, anywhere, using a variety of devices.
These two market segments are driving a heightened market demand for
communications services ubiquity. Service providers are meeting this
demand today through a variety of offerings, including repackaging,
service bundling, and new technology implementation. Most of these
solutions are either cumbersome requiring extensive back office processes
for operations and billing, or are being delivered in the form of vendor
based proprietary implementations.
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This creates a very competitive situation for today’s service providers –
they not only have to cope with their traditional competitors, but various
new entrants, as well.
Commoditization
For voice, it took well over a decade for mobile operators to experience
enough price pressure to offer customers free nights and weekends. As
the voice price wars escalated, operators were forced to bundle minutes
and family plans and, in just the last few years, free in-network calling.
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With a larger supply of application developers creating new and/or
improved services which can be offered by service providers and carried
over fatter pipes to the user endpoints, we will continue to see new
offerings created, then matched by competition leading to price erosion
and faster service commoditization. The only way to continue realizing
healthy profit margins is to be nimble – those providers that are first to
market will reap the benefits of premium pricing over the longest period
of time.
Technology Advances
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Brand Loyalty
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IMS: Creating a Customer-Focused Environment
APPLICATION
SESSION
ENDPOINTS
Voice Video
Presence
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Providing a Rich Service Environment
With IMS, the applications and call session control are separated. The
subscriber information is stored in a centralized fashion and the Serving
Call Session Control Function (S-CSCF) integrates the multiple
applications, allowing multiple applications to be active during one session.
Returning to the Push to Speak example, this would mean that we are
able to unbundle the Presence application from the Push to Speak
application, and allow a separate application (e.g., IM) to share it. In the
long run, there is no duplication across multiple applications to replicate
functionality, in this example - Presence. The applications implementation
is more streamlined and allows the service provider increased flexibility in
determining how its service offerings will blend multiple applications –
control is placed in the service provider’s hands.
The IMS standard allows the service provider to blend services and create
a service rich environment where customers can personalize their service
experience, without dictating how service enablement and the customer
interface will be managed. How the service provider takes advantage of
this opportunity to create a unique service environment will lead to a
competitive advantage – customers will be attracted to the personal
preference flexibility and access to a variety of new services in categories
such as entertainment, personal productivity and content delivery.
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In addition, the teaming of service providers with application providers –
such as Yahoo, America Online, MSN, and content owners like Virgin and
Disney – are only the beginning of relationships that will be forged in this
dynamic new environment. The IMS standard and resultant network
implementations will create an environment that supports and
encourages an expansion of teaming by both content and application
developers to create a unique services environment specific to a service
provider’s brand.
These new and exciting services, and the blending of these services, will
drive revenue streams and keep service providers competitive. However,
these services will place a variety of new requirements on the network,
such as more aggressive bandwidth and latency demands. As more
applications are created – either real-time, such as voice, or near real-
time, such as streaming video – the demands on the bearer network will
increasingly require progressive Quality of Service (QoS) management
and network design.
Service providers must not only plan for how they will offer new
applications on the next generation network, but they also need a strategy
relative to current service offerings – including how long to remain
operating in a hybrid network environment. For a while they can
compete by offering the same suite of services delivered by multiple
overlay networks bundled behind the scenes through complicated billing
arrangements and labor-intensive provisioning. However, it is only a
matter of time before that model is no longer viable as the service
provider’s competitors implement more streamlined, cost-effective
vehicles for providing customer-friendly blended service offerings using
an IMS-based architecture.
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Making the Move to IMS
Convergence of voice, data, and content services along with the melding
of service provider types affects more than just the network
infrastructure. It also impacts corporate strategy, marketing, business
operations, network operations and service development. It will inevitably
change the way business is conducted. Each segment of the market and
each service provider will migrate to the next generation network from a
different starting point.
Further, they must consider how they will expand their offerings and
networks to allow multiple types of access such as cellular handsets, WiFi,
and set-top boxes. The ability to provide the customer with a combined
and seamless wireline and wireless experience providing access to a
variety of content will be the hallmark of the communications provider.
Wireline service providers must consider how they will obtain and
integrate wireless capabilities as well as determine the best way to
incorporate content into their service offerings.
Wireless service providers must also plan for service blending, content
delivery and network-related convergence. To provide a competitive
service environment rich with blended lifestyle services, wireless service
providers must begin to implement Call Session Control, HSS and an IP-
core based on IMS standards. Wireless service providers must recognize, a
single access technology will not satisfy all of the needs of the
“communications” customers. Very high bandwidth services available
today only via a wired connection are highly valued and will be
demanded from the converged communications provider. Services such as
HDTV, high speed Internet access, and real-time video are examples of
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services in demand today which will not be available through a pure
wireless connection in the mass market for a decade or more. Wireless
service providers must determine how to penetrate the communications
services consumed in the home both from a content and delivery
perspective.
Cable service providers have similar hurdles to jump as their peers move
from the Wireline service provider market. Both market segments must
evolve their service offerings to provide a seamless wired and wireless
experience. The cable service providers must also overcome the narrowly
defined market position perceived by a portion of their target market.
Often, even those who purchase data and telephone services, think of
cable service providers as a broadcast or content provider, and not
necessarily as a provider of communications. It will be important to shift
the mindset of these consumers in order to compete effectively.
So, when does it make sense to migrate current customers and services to
the next generation network? In evaluating this question, many
interrelated variables must be weighed. Service providers must thoroughly
understand their current business and the business they want to be in
when the new decade arrives. They must weigh current service offerings,
current customer migration, new service offerings, and new customer
implementation against the cost associated with all of the network
enhancements, both from a financial and competitive perspective.
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There are a myriad of initial steps that each type of service provider can
take in preparation for the move to a full IMS-based network. The very
first step is the same for everyone – make a sound business decision
regarding when, where, and how your company will move to IMS.
Fundamentally this requires some understanding of IMS, its capabilities,
limitations, architectures, and benefits.
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Some examples of phased-in service capabilities at the macro level are
illustrated in Figure 2. The order and timing of each capability depends on
the service provider’s individual network and business conditions.
Current Future
Communications
Service Provider
Wireless Service Provider Example
Voice Data Single Sign-on Seamless IMS Native Multi-Media Access network
SMS Services Anywhere Roaming Services Messaging migration to all-IP
Voice Access
Messaging
Current Future
The transition to IMS will most likely occur in discrete steps that focus on
capturing additional revenue or decreasing cost. In the best case scenario,
each step helps to substantially fund the next step in the progression to an
all IMS-based architecture.
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There is no doubt that we are moving toward a converged network that
will create a new market segment. At the very least, this new market
segment will encompass and replace today’s segmented wireless, wireline
and cable market – and perhaps include additional segments such as
entertainment and satellite. A new, more inclusive category of provider
will emerge – communications providers that will deliver services and
applications across all access types.
Those who succeed in making the transition will get there through good
business strategy, new technology implementation, solid application and
network planning, and efficient network migration.
As data, voice and video are carried over an IP-based network core with
customers accessing their services from both fixed and mobile venues,
complexities in subscriber information, application management and
network infrastructure must all be managed in a coherent fashion. Service
providers must invest in a timely manner to mitigate the chances of lower
competitiveness and higher churn. Working with solution providers that
are experienced network integrators and have a strong ecosystem with
the ability to create customer-based best-in-class solutions, will increase
the service provider’s chances of success.
Another important first step toward success is locating and teaming with
“convergence thought leaders” who can help with:
• Business strategy and service planning
• Network and applications selection
• Evolution and migration planning
• Hybrid network management
• Cost effective and efficient implementation processes
• Network management and maintenance
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References:
1
Eric N. Berkowitz, Roger A. Kerin, Steven W. Hartley and William Rudelius.
Marketing, Seventh Edition (McGraw Hill, 2003), pp. 77-78.
2
Ibid.
3
Ibid, p. 181.
4
Ibid, p. 125.
Ann Marie Vega has worked in the communications industry for 20 years
with specific experience in product management, market management,
strategy, and global practice management. Her educational background
includes an Honors degree in Marketing from the University of
Massachusetts, as well as an M.B.A. from Babson College. Ann Marie is
also an adjunct professor in the Marketing Department at the University
of New Hampshire.