Convergence Challenges In the Indian Context

Transcription

1 Convergence Challenges In the Indian Context Basavaraj Hooli

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3 Mobile Technology Evolution SAE 2G 1995

4 TODAY: Discrete Markets TOMORROW: Convergence Content/Applications Network Content/Applications Network (all IP Based) Cable Satellite Analog TV Devices PC Market Mobile Fixed Telephony Edge iden 1xrtt EV-DO Fixed Broadband (Cable/ DSL) Devices Location Office Home On the Go Wireless Broadband Cable DSL, Dial- Up (specific to each channel) Copper Fiber Optic (ubiquitous) Convergence is the ability to process all types of data (voice,data and video) by all types of devices (cell phone, PDA, laptop, p, TV, and landline phones) carried on all types of networks (cable, wireless, landline, satellite).

5 Indian Rural Connectivity Rural Penetration FMC Wireless last mile Evolution-Ready Backhaul link Large prepaid customer base Challenges in billing WiFi Inevitable? WiFi Enabled Devices Device penetration Indian Language g Smart Phones Not just voice but data too Information access Killer Applications Obama s Broad band Stimulus: The stimulus package includes $7.2 billion to expand broadband Internet access into "underserved" and rural areas

6 IP is inevitable

7 Convergence Drivers Technology Example IP TV Single content source Content manager distributes to multiple access types Seamless user experience Globalization M&A BUSINES S. Standards Market Regulatory

8 Changing Times Consolidation of the market Market competition is increasing Incumbents squeeze incumbents (internationally) Mobile operators squeeze fixed operators (UMA) Fixed operators fight back with Wi-Fi solutions Mobile operators are squeezed by Wi-Fi / Wi-Max New players (MVNOs, CLECs, Google, Skype), squeeze everyone Core revenue (voice) is saturated and profit declining Whilst voice revenue stagnates, Data revenue increases Network costs are too high, and old equipment need replacing Networks are complex, hard to scale and interoperate Operators are tied to vendors for dedicated technologies Roll-out time for new services is too long Also customers are pushing for more innovative services

9 Customers expect more Yesterday Computing Today Content and Services Telephone News Tomorrow My contacts My messages My calendar My presence My applications My content Tl Television ii Mail Gaming Converged Phones IPTV VoD Interactive gaming

10 The market wants more for less

11 Operators must evolve or become extinct Option 1: Stick head in sand and ignore the storm Continue down the same path, upgrade existing kit Option 2: Evolve simplify the network (reduce complexity and cost) become access independent d (mobile / fixed) offer new services quickly and on demand concentrate on content and services Evolution is Convergence

12 Shift Towards NGN Technology Implications Legacy + Next Generation Financial Implications Increase in CAPEX Stable OPEX Operational Implications QoS and Interoperability VoIP, core NGN Service Emerging Services OSS/BSS- Legacy + NG Regulatory Implications No clear regulatory framework Business Models and Pricing Biggest Potential Challenge The shift towards next-generation networks (NGNs) is possibly the most fundamental The shift towards next generation networks (NGNs) is possibly the most fundamental transformation the ICT segment has ever seen. However, it is an evolutionary rather than revolutionary development, which has long-term implications

13 Organizational Challenges Enterprise Architecture and the mind set IT and Telecom convergence (Telco 2.0) Management of change Change Leadership Change Planning Business Ownership Business Implementation Preparation Manage Network and Services Centrally

14 Other Usual Challenges

15 India of My Dreams Mahatma Gandhi Basic education was an embodiment of Mahatma Gandhi s perception of an ideal society as one consisting of small, self-reliant communities. To him, Indian villages were capable of becoming such communities; indeed, he believed that Indian villages were historically self-reliant, and the great task now was to restore their autonomy and to create the conditions necessary for economic self-sufficiency and political dignity in villages

16 Summary Look at the best possible way to reach the un-served (Rural) areas Look at FMC and Backhaul link options Understand Convergence value proposition Evaluate investment decision holistically Ensure every network investment is compliant to standards Consider total E2E solution (e.g charging, IOTs, terminals, etc) Leverage on existing deployments to obtain cost efficiencies Aim to simplify network decrease complexity and improve operational efficiencies to benefit from CAPEX & OPEX savings Define clearly the convergence steps, big bang is not an option Launch new services rapidly, effectively & differentiate t offerings

17 Basavaraj Hooli MphasiS, An EDS Company Cybercity - tower 2, Magarpatta, Hadapsar, Pune