magazine - Connect-World
magazine - Connect-World
magazine - Connect-World
- No tags were found...
Create successful ePaper yourself
Turn your PDF publications into a flip-book with our unique Google optimized e-Paper software.
EMEA 2013<br />
Kees van Veenendaal<br />
VP and General Manager of EMEA<br />
MobileIron<br />
Let the Content speak for itself
WINNER<br />
OF THE WTA<br />
TECHOLOGY<br />
AWARD<br />
2013<br />
MDM6100<br />
BROADCAST SATELLITE MODEM<br />
M6100<br />
BROADCAST SATELLITE MODULATOR<br />
VISIT US AT<br />
IBC 2013<br />
BOOTH 1A49<br />
STAY AHEAD IN<br />
RELIABLE BROADCASTING<br />
SOLUTIONS FOR EXISTING AND<br />
CONVERGING BROADCAST INFRASTRUCTURES<br />
Featured Technologies:<br />
— DVB-S2 and S2 Extensions<br />
— Multistream<br />
— DVB-CID Carrier ID<br />
— Automated Equalink®<br />
— Clean Channel Technology TM<br />
5REASONS<br />
TO JOIN<br />
NEWTEC<br />
AT IBC<br />
Follow Newtec Satcom on<br />
in<br />
You<br />
Tube<br />
1<br />
2<br />
3<br />
4<br />
5<br />
TEAM, LOOKING FORWARD TO WELCOMING YOU AT OUR BOOTH!<br />
SAT 14 SEPT & SUN 15 SEPT AT 5PM:<br />
Happy Hour with Belgian Beers at the Newtec Booth (1A49)<br />
INFO SESSIONS + PANEL DISCUSSIONS<br />
SAT 14 SEPT 2013<br />
Session 1: 10am - Are you ready to turn Carrier ID on<br />
Session 2: 3pm - S2 Extensions: Real answers from Industry Leaders<br />
UHDTV DEMOS OVER SATELLITE<br />
MARKETS WITH APPLICATIONS FOR<br />
BROADCAST - IP TRUNKING & BACKHAULING<br />
ENTERPRISE & CONSUMER VSAT - GOVERNMENT & DEFENSE<br />
DAYS OF SATCOM PRODUCTS & TECHNOLOGIES<br />
SHAPING THE FUTURE OF SATELLITE COMMUNICATIONS
All articles are available for download at www.connect-world.com<br />
CONTENTS<br />
<strong>Connect</strong>ions<br />
From the Editor-in-Chief’s desk<br />
by Fredric Morris<br />
Imprint<br />
4 6 9 11<br />
14 17 20 22<br />
25<br />
35<br />
46<br />
28<br />
38<br />
Advertisements<br />
Newtec<br />
BT<br />
IBC<br />
SDN & NFV<br />
ITU <strong>World</strong> 2013<br />
NFC MMS<br />
Broadband <strong>World</strong> Forum<br />
PTC<br />
Carriers <strong>World</strong> Asia<br />
Cisco<br />
AT&T<br />
31<br />
40<br />
33<br />
43<br />
2<br />
2<br />
IFC<br />
3<br />
8<br />
13<br />
19<br />
26<br />
29<br />
36<br />
41<br />
IBC<br />
OBC<br />
4G growth<br />
Will 4G bring growth 4<br />
by Didier Levy, Arthur D. Little<br />
Digital content<br />
Content is king 6<br />
by Steve Ellis, CEO and President, Broadcast Pix<br />
Digital broadcasting<br />
Winning digital audience 9<br />
by Solomon Mugera, BBC Africa Editor<br />
Unified communications<br />
Content in a network context 11<br />
by Bill Wignall, President and CEO, Sangoma Technologies<br />
Data traffic<br />
Managing rising data traffic to increase data revenues 14<br />
by Niall Norton, CEO, Openet<br />
Quality content distribution<br />
Content is king - but quality reigns 17<br />
by Hui Zhang, Co-Founder and CEO, Conviva<br />
Telco evolution<br />
Content talks - but what’s the message 20<br />
by George Nikoloudis, COO, OTEGLOBE<br />
Communication service providers<br />
How CSPs can stay competitive 22<br />
by Gordon Rawling, Oracle Communications<br />
Subscriber relations<br />
The value of empowered subscribers 25<br />
by Lucas Skoczkowski, founder and CEO, Redknee<br />
Signaling traffic<br />
Diameter signaling: the good, the bad, and the future 28<br />
by Doug Suriano, CTO, Tekelec<br />
Over-the-top content<br />
Headline: Content for the masses 31<br />
by Zdeněk Gerlický, CTO, nangu.TV<br />
Native language content<br />
Content speaks for itself - in the viewer’s language 33<br />
by Philippe Rouxel, CMO, GlobeCast<br />
Virtual working<br />
The essentials of virtuality 35<br />
by John Berry, Director and Management Consultant, TimelessTime<br />
Secure content distribution<br />
Secure mobile distribution of corporate content 38<br />
by Ian Evans, Managing Director EMEA, AirWatch<br />
Mobile security<br />
Cutting mobile content risks 40<br />
by Kees Van Veenendaal, VP and General Manager of EMEA, MobileIron<br />
Ultra HD TV<br />
Ultra HD TV - real quality 43<br />
by Ian Trow, Senior Director of Emerging Technology and Strategy, Harmonic<br />
Bandwidth<br />
Conquering through copper - delivering content wherever needed 46<br />
by Lee Palmer, Commercial Director, The Kenton Group
CONNECTIONS<br />
<strong>Connect</strong>ions<br />
Today access to digital content<br />
is changing the way we work<br />
and live. Social networks are<br />
redefining the way we interact<br />
not only with friends and family,<br />
but the way we interact with<br />
businesses of all sorts and the way<br />
businesses communicate internally.<br />
The resulting surge in digital<br />
traffic is straining networks - both<br />
fixed and wireless and pushing<br />
wireless spectrum to the limits of 3G capacity.<br />
The theme for this issue of <strong>Connect</strong>-<strong>World</strong> EMEA is Let the<br />
Content speak for itself.<br />
Fredric Morris,<br />
Editor-in-Chief,<br />
<strong>Connect</strong>-<strong>World</strong><br />
editor@connect-world.com<br />
Migration to 4G will provide enough additional network<br />
capacity for about ten years, but price competition is reducing<br />
the revenues communications service providers (CSPs) need to<br />
build extra capacity. CSP business models are changing; they are<br />
seeking partnerships with content producers, equipment vendors<br />
- indeed the entire universe of technology and content related<br />
specialties - to help them build the next generation contentmoving<br />
environment both for business and personal use.<br />
Every aspect of the content chain - creation, production,<br />
distribution models, networks, devices business models - is<br />
highly likely to change. What will not change is the need to<br />
please the consumer - from the person who just wants a good<br />
show or the company that has a business to run. Empowering<br />
the user - giving them access to the content they want ant to<br />
what they can do - is the key to higher revenues throughout the<br />
content chain.<br />
Content where we want it, on whatever device we want is the<br />
challenge. When content can reach connected cars and tablets<br />
on train or someone walking down the street, when broadband<br />
Internet access is available and affordable for all - then content<br />
can choose where it goes.<br />
Editor-in-Chief: Fredric J. Morris fredric.morris@connect-world.com<br />
Publisher: David Nunes david.nunes@connect-world.com<br />
Editorial Department: editorial@connect-world.com<br />
<strong>Connect</strong>-<strong>World</strong> is published under licence<br />
by INFOCOMMS MEDIA LTD<br />
email: info@connect-world.com<br />
URL: www.connect-world.com<br />
Production Department: production@connect-world.com<br />
Sales Department: sales@connect-world.com<br />
Administration Department: admin@connect-world.com<br />
All rights reserved. No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form or by any means electronical,<br />
mechanical, photocopying, recording or otherwise, without prior permission from the publishers. The content of this publication is-based<br />
on best knowledge and information available at the time of publication. No responsibility for any injury, death, loss, damage or delay, however<br />
caused, resulting from the use of the material can be accepted by the publishers or others associated with its preparation. The publishers neither<br />
accept responsibility for, nor necessarily agree with, the views expressed by contributors.<br />
ISSN 1748-6998<br />
2 • EMEA 2013
Welcome to the world<br />
of IP interconnection!<br />
Reduce your costs. Innovate faster. Impress your customers.<br />
With the Global IP Exchange from BT<br />
you can enjoy the benefits of seamless interworking<br />
for IP voice and data across networks worldwide.<br />
Talk to us today<br />
and we will help you succeed<br />
in your markets!<br />
www.bt.com/globaltelecom
4G growth<br />
Will 4G bring growth<br />
by Didier Levy, Arthur D. Little<br />
Despite 4G, European telecom operator revenues will continue to decline although somewhat<br />
more slowly. Nevertheless moving to 4G is extremely important for European telecom<br />
operators whose current networks are running out of capacity. 4G LTE can carry 70 per cent<br />
more traffic than the latest 3G technology - enough to meet capacity needs for the next ten<br />
years. To build profits, operators will need new tariff structures, partnerships with content<br />
providers and others, cost reductions, better network utilisation and network sharing.<br />
Didier Levy is the Director of Arthur D. Little’s ‘TIME’ -Telecommunications, IT, Media and Electronics - practice; he has extensive<br />
experience in strategy, marketing & distribution, organization and transformation projects in the TIME sector as well as in other<br />
industrial and services sectors. During many years Mr Levy has assisted players of the telecom and media industry (mobile, fixed,<br />
broadband, pay-TV, vendors) in different parts of the world. In particular, he has led many projects in growth strategy, product design<br />
and pricing, distribution as well as operational performance improvement.<br />
Didier Levy is a graduate of HEC Paris and holds a MSc from the London School of Economics<br />
4G and European revenue recovery<br />
European telecom operators saw revenues<br />
down by 3.8 per cent in 2012. Will 4G<br />
reverse the trend<br />
Although 4G will quickly become essential,<br />
it will not revive the sector’s revenues. In<br />
fact we expect that despite 4G, revenues will<br />
continue to decline in Europe: -1.8 per cent<br />
per year on average by 2016.<br />
The sector could return to growth if LTE<br />
smartphones generated data ARPU of EUR17/<br />
month by 2016e i.e. EUR7 higher than today’s<br />
data ARPU on 3G smartphones - this is a<br />
stretch. Nevertheless this demonstrates the<br />
high importance of a successful move to 4G<br />
for European telecom operators.<br />
For operators, moving to 4G LTE is a nobrainer…<br />
European operators’ 3G networks will soon hit<br />
a ‘capacity wall’ and 4G LTE is a great tool to<br />
surmount this. Moreover 4G LTE is a better<br />
technology than 3G; the amount of traffic that<br />
can be carried on a given amount of spectrum<br />
is almost 70 per cent higher on 4G than it is on<br />
HSPA+, the latest version of 3G.<br />
Based on our traffic and capacity modelling,<br />
we found that thanks to 4G spectrum, operators<br />
will not face capacity issues for an average of<br />
a decade: specifically not before early 2022 for<br />
operators with 800MHz spectrum and some<br />
time in 2020 for those without.<br />
Network demand and capacity for a typical<br />
operator<br />
Source: Arthur D. Little, Exane BNP Paribas<br />
…and we expect customers to adopt 4G<br />
quickly<br />
The US, Japanese and Korean markets where<br />
4G rapidly became successful, benefited<br />
from specific circumstances not shared<br />
by European operators. Still we believe<br />
that 4G will be a commercial success in<br />
Europe. Customers are growing increasingly<br />
frustrated with the 3G experience, a problem<br />
that will only get worse as usage increases.<br />
LTE will bring a better service, with<br />
download speeds three to five times faster<br />
(15-20Mbps versus 4-6Mbps) and response<br />
times five times shorter.<br />
The take-up of LTE should accelerate in the<br />
second half of 2013 and throughout 2014. We<br />
expect 100 per cent of new smartphones and<br />
tablets to be LTE-enabled from 2015, leading<br />
to a 54 per cent penetration of 4G-enabled<br />
devices in the population by 2016.<br />
We do not expect 4G to restore the industry’s<br />
pricing power<br />
We expect 4G to significantly boost mobile<br />
data traffic. Experience in the US, South<br />
Korea and Japan has shown that traffic per<br />
device is higher on 4G than on 3G, driven<br />
by faster speeds, lower latency and datahungrier<br />
devices. In addition, US operators<br />
have shown that ‘shared data’ plans (enabling<br />
a monthly data allowance to be used across<br />
multiple devices) could accelerate the<br />
connection of more devices to networks.<br />
However our analysis shows that the move<br />
to 4G is unlikely to restore pricing power in<br />
the industry. In many cases, price levels keep<br />
declining due to operators offering higher<br />
data plans for the same price. Thus, the<br />
transformation of traffic growth into revenue<br />
growth is not apparent.<br />
4 • EMEA 2013
4G growth<br />
Differentiation is elusive<br />
Unlike Verizon Wireless and AT&T, leading<br />
European mobile operators will struggle to<br />
sustainably differentiate themselves from<br />
challengers for the following reasons:<br />
Spectrum differentiation Challengers’<br />
spectrum assets are far in excess of their<br />
revenue market shares, giving them room<br />
for growth; conversely, leaders have lower<br />
spectrum share than revenue market share and<br />
are hence more constrained.<br />
Cost differentiation Costs will be lower<br />
under 4G than 3G, but the decline will take<br />
time to materialise and all parties will benefit<br />
eventually. With 4G, network costs will<br />
become a smaller part of the total cost base<br />
over the long term; correspondingly, “other<br />
opex” will become an increasingly important<br />
factor to monitor - this is good for the leanest,<br />
not for the largest.<br />
Differentiation from owning fixed<br />
networks Fixed-line networks will be<br />
an increasingly essential part of mobile<br />
networks, with WiFi offload and small<br />
cells being a key part of future architecture.<br />
However, for mobile operators, there are<br />
alternatives to owning fixed-line assets.<br />
Quad-play differentiation It is too early to<br />
say whether customers will prefer to bundle<br />
tablets with smartphones in shared data plans<br />
as is seen in the US or with fixed broadband<br />
in quad-play bundles as in some European<br />
markets. However, mobile-only players<br />
certainly have one less option compared with<br />
their integrated competitors.<br />
So what can operators do<br />
1. Monetising data - new tariff structures<br />
The transformation of traffic growth into<br />
revenue growth depends on how operators<br />
price their mobile data bundles.<br />
We believe that the most attractive structures<br />
are usage caps, which are already common<br />
practice in Europe and shared data plans,<br />
which have developed in the US and are<br />
starting to be seen in Europe e.g.at Telia<br />
Sweden, SFR in France and O2 Ireland.<br />
These shared plans are a great way to<br />
encourage users to connect more devices<br />
to cellular networks - and hence to generate<br />
more traffic revenues over time.<br />
2. Innovating in services through partnerships<br />
Tech giants and content providers such as Apple<br />
and Google are in tight control of the mobile<br />
services ecosystems and most of the value of<br />
additional services such as maps, music, etc. is<br />
unlikely to go to mobile operators.<br />
However, with the move to LTE, we see<br />
several opportunities for mobile operators<br />
to generate value in additional services<br />
- focusing on content heavy applications<br />
(cloud storage, on-demand media, video<br />
conferencing…), with potential benefits either<br />
directly (generating revenues) or indirectly<br />
(stimulating mobile data traffic and/or acting<br />
as customer retention tools).<br />
3. Continuing cost reduction programmes<br />
With a further decline in revenue trends<br />
ahead, reducing costs will remain of<br />
paramount importance. The cost of capacity<br />
is a small component of the overall cost<br />
structure today (c.EUR3/month per customer,<br />
i.e. c.20 per cent of the total cost base) and<br />
will further decline in the coming years,<br />
despite exponential growth in data traffic<br />
(EUR2/month per customer in 2020e).<br />
Being the lowest-cost provider will become<br />
even more important in the future - and<br />
those most likely to benefit from a cost<br />
differentiation in the long term are those<br />
achieving better efficiencies on their ‘other<br />
opex’. For a typical operator, achieving a ten<br />
per cent efficiency gain on the mass of ‘other<br />
opex’is equivalent to achieving a 25-30 per<br />
cent gain on the capacity-related costs in<br />
2013e, and to a c.50 per cent gain in 2020e.<br />
The key opportunities relate to transformation<br />
towards an ‘online centric’ business model<br />
- with opportunities to save on commercial<br />
costs (direct online sales versus indirect<br />
physical distribution), customer management<br />
(self care versus call centres), billing<br />
(e-billing and direct debit), marketing<br />
(simplification of offers; use of targeted<br />
online tools rather than expensive TV<br />
advertising), etc.<br />
4. Optimising network utilisation<br />
Offloading mobile data traffic on fixed-line<br />
networks via WiFi, femtocells, etc. is (and<br />
will increasingly be) a key element of mobile<br />
network strategies, with two key benefits:<br />
Spectrum optimisation: WiFi operates<br />
on a different spectrum to 3G and 4G, so<br />
offloading traffic to WiFi helps enable to<br />
save on spectrum utilization. In our core<br />
scenario, we assume the share of traffic<br />
which offloaded onto WiFi will increase by<br />
25 per cent (of the total traffic) by 2017e. In<br />
this scenario, the operator’s spectrum assets<br />
are modelled to be fully used by 2022. In an<br />
alternative scenario assuming no incremental<br />
offload, the spectrum would become saturated<br />
more than two years earlier.<br />
Cost optimisation: small cell solutions are<br />
significantly cheaper than large outdoor<br />
macro-cell antennas. However, because the<br />
incremental cost of capacity is small anyway,<br />
we estimate that the cost gain enabled by<br />
offloading an additional 25 per cent of traffic<br />
onto WiFi reaches less than one per cent of<br />
the total cost base of a typical operator.<br />
Integrated fixed-mobile players can leverage<br />
the fact that they own both fixed and mobile<br />
network assets. However, mobile operators do<br />
not need to own fixed-line assets themselves<br />
to benefit from this. There are many other<br />
options available today or which will develop<br />
over the coming years.<br />
5. Consolidation or network sharing<br />
European mobile operators have thought<br />
about in-market consolidation for many<br />
years. There would be significant synergies<br />
in terms of costs and potentially of ‘market<br />
repair’. However, this could come under<br />
regulatory scrutiny from the relevant<br />
competition authorities.<br />
Mobile network sharing is an alternative which<br />
can generate savings ranging from ten per cent<br />
to 30 per cent on network capex and opex. The<br />
roll-out of LTE networks is a good opportunity<br />
to look at this as it is easier to generate<br />
synergies when rolling out a new network than<br />
when trying to consolidate two existing ones.<br />
However, financial benefits have to be weighed<br />
against the potential strategic consequences e.g.<br />
enabling smaller players to access scale benefits<br />
that would otherwise be reserved for leading<br />
players or reducing opportunities to create<br />
significant network differentiation.<br />
In conclusion<br />
4G represents a key opportunity for telecom<br />
operators to address customers’ growing<br />
usages and to provide ten years additional<br />
capacity to European mobile networks.<br />
As a result, 4G will quickly spread across<br />
Europe and will experience commercial success.<br />
Will 4G be enough to put telecom operators<br />
on the path of growth again Probably not as<br />
such, but operators will take advantage of this<br />
new technology to innovate in their offerings,<br />
their services and their networks.<br />
For customers, networks and operators, 4G<br />
will quickly become essential. •<br />
EMEA 2013 • 5
Digital content<br />
Content is king<br />
by Steve Ellis, CEO and President, Broadcast Pix<br />
Content may well be king, but producing a king today is easy. They don’t make kings as they<br />
used to. Today, anyone with a laptop, some sophisticated editing and production software,<br />
and two or three consumer camcorders (or just a cellphone and microphone)can produce<br />
professional content. Add an Internet link, and the producer can distribute it worldwide from<br />
home or even a hotel room - all this at a tiny fraction of what it would have cost less than<br />
ten years ago.<br />
Steve Ellis is CEO and President of Broadcast Pix, and a member of the board of directors. Mr Ellis previously he served vice president<br />
of sales and as vice president of emerging markets at Telestream. Mr Ellis began his video career in the Air Force, Merrill Lynch and<br />
AT&T. Mr Ellis was Vice President and General Manager of Editel Boston. Mr Ellis was also a co-founder of SNNY, which sold video<br />
production equipment and was the top reseller for Pinnacle Systems; Pinnacle later hired him as its director of sales for the Americas.<br />
At Vizrt, he served as Vice President of Sales for North American Operations.<br />
Steve Ellis has a communications degree from the State University of New York.<br />
‘Content is king’ is a quote that has been<br />
vastly overused (and thank you, Mr. Gates,<br />
for the original quote), but it does speak<br />
to the world in which we live. However, I<br />
would take this one step further and modify<br />
his quote to say, “Content is king, but<br />
he who controls the content has the keys<br />
to the kingdom.” The rapidly changing<br />
communication and media landscape is<br />
creating an environment where anyone can<br />
create a kingdom. At the start of my career in<br />
the broadcast and production industry, it took<br />
money and power to control content - and<br />
only those with enough resources were given<br />
the opportunity to be ‘kings.’<br />
Granted, there were a few lucky individuals<br />
that were at the right place at the right time,<br />
but I would contend that if you wanted to<br />
launch a radio station or TV station, build a<br />
station group, or launch CNN, you had to be<br />
someone like Ted Turner with the resources<br />
to do so. You also had to commit those<br />
resources (time and money), and be prepared<br />
to sacrifice equal amounts of both. It was also<br />
very important that you were a visionary with<br />
your eye focused on success.<br />
The rules to success were clearly written,<br />
and how you controlled content was fairly<br />
straightforward. You had to have money and<br />
lots of it. Whoever controlled the medium<br />
controlled the content.<br />
Today, there are only two steadfast rules<br />
needed to build a media empire, and it no<br />
longer takes a great deal of money to control<br />
the media and its associated content. You<br />
need to know a few things, such as a basic<br />
understanding of modern communication,<br />
including the Internet and the technology<br />
needed to create content that will be<br />
disseminated on the Internet. And you need a<br />
very good idea; you need to be a visionary.<br />
A great example of this is Justin Bieber, a<br />
young and extremely wealthy entertainer<br />
who got his start when his music video<br />
on YouTube went viral. A simple video<br />
delivered on the Web, a virtually free<br />
medium, launched a career without<br />
the need of millions for marketing and<br />
promotion. Content is still king, but the<br />
rules have changed.<br />
Not long ago, I was interviewed by a Webbased<br />
industry <strong>magazine</strong> and given the<br />
6 • EMEA 2013
Digital content<br />
opportunity to speak about my company<br />
and our products. My expectation was that a<br />
crew would show up with a tripod, camera,<br />
some type of mic (probably dangling from a<br />
boom or a fish pole), and lighting kit. While<br />
it has been a very long time since I read<br />
Fundamentals of Television Production for<br />
my introductory college video production<br />
course, I remember things that were very<br />
important 30 years ago, including threepoint<br />
lighting, depth of focus, nat sound, and<br />
reaction shots.<br />
Much to my surprise, the interviewer showed<br />
up with a cell phone with a mic plugged into<br />
her phone - no lights, no boom, no crew. This<br />
was a far cry from the numerous videos I<br />
have produced and directed in the past.<br />
The interviewer, who was also the director,<br />
recording engineering, and mic operator,<br />
said, “When I blink my eyes you start<br />
talking, and when I blink again you can<br />
stop.” That was followed by, “I bet you can<br />
do it in one take”, which I did. When the<br />
interview was complete, she ran off with<br />
my one-take performance, bypassed postproduction,<br />
and posted the video on their<br />
Web site within the hour.<br />
Welcome to video production in 2013.<br />
I went back to my hotel room later that day,<br />
found the email with the link to the Web site<br />
for the publication, and watched the video<br />
that seemed to be produced so hastily. Much<br />
to my surprise, it worked. The video did<br />
exactly what was intended: It communicated<br />
a message about my company without all the<br />
trappings and tools I thought were necessary<br />
to deliver content to an audience.<br />
This is a real life experience that<br />
demonstrates that a very simple production<br />
process is only one example of how changes<br />
in technology have changed how we produce<br />
and deliver content and view content.<br />
At one point in my career, I had the<br />
opportunity to oversee the design and<br />
installation of two very extensive video and<br />
film production facilities. The first of these<br />
projects had a construction and equipment<br />
budget of just under $30 million U.S., which<br />
included a live studio with multiple cameras,<br />
a smaller secondary studio, a sound and<br />
audio production suite, three fairly extensive<br />
editing rooms, graphics, and several remote<br />
video production systems. The second was<br />
nearly three times this size, with film-to-tape<br />
transfer, several NLE suites, three times as<br />
many graphic workstations, and more.<br />
The standard definition studio cameras in the<br />
first project were nearly US$80,000 each,<br />
while the 3D graphic systems were close to<br />
US$300,000. Despite the large price tags,<br />
neither production facility would have the<br />
diverse and compressive capabilities of the<br />
tools we use today, which are available at a<br />
fraction of the cost.<br />
Last year, I had the opportunity to<br />
recommend an integrated production<br />
product to someone who has managed<br />
live production for nearly 30 years. He<br />
was tasked with producing a multi-camera<br />
remote live production and delivering the<br />
content to viewers around the world on a<br />
very limited budget.<br />
Years ago, he would have used a remote<br />
production vehicle equipped with cameras<br />
and all the necessary gear. He would<br />
have contacted a company to set up a<br />
communications link, complete with<br />
microwave feed or uplink to a satellite. And<br />
after spending tens of thousands of dollars, he<br />
would pray that it all worked.<br />
Instead, he used an integrated production<br />
software package running on a laptop.<br />
The software included a production switcher,<br />
graphics, audio, streaming capabilities,<br />
and a virtual set - and he plugged in three<br />
consumer grade HD camcorders. For less<br />
than US$4,000 (and the help of an ISP), he<br />
delivered a high quality live production to<br />
locations in several countries.<br />
Fifteen years ago, if you wanted to deliver a<br />
commercial or TV program to be used on the<br />
air in California tomorrow and the production<br />
company was in London, you would put a<br />
production intern on a flight to Los Angeles<br />
with a copy of the videotape. Even five<br />
years ago, I could not have imagined that if I<br />
wanted to share news footage of the tsunami<br />
in Japan or flooding on the New Jersey<br />
shore, I could just upload it to the cloud<br />
and it would instantly appear in someone’s<br />
inbox 8,000 miles away, ready for use on the<br />
evening news.<br />
Television technology (or perhaps I should<br />
call it new media technology) is moving<br />
at such a fast pace that many young<br />
professionals who are just beginning their<br />
careers don’t remember a time when we did<br />
not have file-based workflows. The changes<br />
in our everyday production tools and how<br />
we deliver content is changing how we see<br />
the world. New media delivery systems,<br />
such as YouTube, give everyone equal access<br />
to viewers everywhere; these new media<br />
outlets can create empires and, in some cases,<br />
destroy them.<br />
It has been three decades since Tim Berners-<br />
Lee first postulated the idea of using the<br />
internet as a means to store and retrieve<br />
information. Working as a contractor in<br />
Switzerland, he was the first to believe<br />
that the <strong>World</strong> Wide Web was a medium<br />
that could connect business, employees,<br />
and others. In the years since, streaming<br />
television services have expanded at an<br />
unimaginable rate, and the giants of the<br />
broadcasting and cable industries have moved<br />
quickly to utilize the medium as well.<br />
Radio stations around the world have also<br />
joined the long list of others who utilize<br />
the Web. In particular, radio stations In<br />
the United Kingdom, France, and Germany<br />
are providing streaming video content to<br />
their customers. For the first time, radio<br />
stations and networks can compete with<br />
traditional television stations and networks<br />
by delivering video and audio to anyone,<br />
anywhere in the world.<br />
Whether you are in the United States,<br />
Europe, or Bangladesh, this concept of<br />
providing low-cost entertainment and<br />
information is a worldwide phenomenon.<br />
The number of content providers is growing,<br />
from large media giants to citizen journalists<br />
who stream video and audio news and<br />
content on the Web.<br />
This is the real world of content and<br />
modern media communication. It is no<br />
longer necessary to have big money,<br />
a TV transmitter, or a cable franchise<br />
to communicate an idea. With today’s<br />
advanced technology, the content can and<br />
will speak for itself.<br />
I imagine that if media and communication<br />
philosopher Marshall McLuhan were alive<br />
today, he would be not be surprised that his<br />
famous quote, “The medium is the message,”<br />
and his prediction that there would be a<br />
<strong>World</strong> Wide Web (decades before it was even<br />
invented) had become realities. But he might<br />
be very surprised that in our fast paced and<br />
quickly changing world it is no longer about<br />
the medium - it’s about the message. •<br />
EMEA 2013 • 7
RAI Amsterdam<br />
Conference 12-17 September : Exhibition 13-17 September<br />
IBC2013<br />
Discover More<br />
IBC stands at the forefront of innovation, drawing<br />
more than 50,000 creative, technical and business<br />
professionals from over 160 countries. It couples<br />
a comprehensive exhibition covering all facets<br />
of today’s industry with a highly respected peer<br />
reviewed conference that helps to shape the way<br />
the industry will develop.<br />
Also, take advantage of a variety of extra special features included as<br />
part of your registration at no extra cost:<br />
• IBC <strong>Connect</strong>ed <strong>World</strong><br />
a special area of IBC which<br />
encapsulates the very latest<br />
developments in mobile TV, 3G<br />
and 4G services<br />
• IBC Production Insight<br />
centred around a professional<br />
standard studio set, attendees<br />
have a host of the latest<br />
production technology to get<br />
their hands on<br />
• IBC Workflow Solutions<br />
dedicated to file-based<br />
technologies and provides<br />
attendees with the opportunity to<br />
track the creation management<br />
journey<br />
• IBC Big Screen<br />
providing the perfect platform<br />
for manufacturer demonstrations<br />
and ground breaking screenings<br />
• Future Zone<br />
a tantalising glimpse into the<br />
future of tomorrow’s electronic<br />
media<br />
• IBC Awards<br />
celebrating the personalities<br />
and the organisations best<br />
demonstrating creativity,<br />
innovation and collaboration in<br />
our industry<br />
www.ibc.org<br />
IBC Third Floor 10 Fetter Lane London EC4A 1BR UK<br />
t. +44 (0) 20 7832 4100 f. +44 (0) 20 7832 4130 e. info@ibc.org<br />
Register now at<br />
www.ibc.org/register
Digital broadcasting<br />
Winning digital audience<br />
by Solomon Mugera, BBC Africa Editor<br />
Nearly 60 per cent of Africa’s one billion people have mobile phones and this is transforming<br />
businesses, driving entrepreneurship, economic growth and the continent’s media landscape.<br />
A shift to mobile phones and other portable digital devices is fast overtaking radio<br />
broadcasting; these devices are becoming the mass medium for information, communication<br />
and social interaction. The challenge for mass media broadcasters is to develop ways to<br />
drive digital audiences to traditional platforms. Trends on social media now drive content<br />
for other platforms.<br />
As BBC Africa Editor, Solomon Mugera oversees the managerial and editorial direction of BBC Africa programmes. Before taking this<br />
position Mr Mugera headed the BBC Swahili service, where he started as a producer and presenter; this multimedia radio and online<br />
operation has staff located in the UK, Burundi, DR Congo, Kenya, Rwanda, Tanzania and Uganda.<br />
Mr Mugera also worked with various other BBC services and programmes and H pioneered BBC’s live, interactive debate across the<br />
continent Africa, Have Your Say which started as Africa Live! in 2002. Mr Mugera was instrumental in the launch of the first ever BBC<br />
TV bulletin dedicated to Africa and led the launch of a similar programme in Kiswahili for East and Central Africa.<br />
Before joining the BBC, Solomon worked for three years as a television journalist with the Kenya Broadcasting Corporation.<br />
The growth of mobile phone subscription<br />
across Africa is phenomenal. The <strong>World</strong><br />
Bank estimates that nearly 60 per cent of<br />
the continent’s one billion people have<br />
a mobile phone, more than in developed<br />
economies such as the United States and<br />
the European Union.<br />
It has become a life tool which, says<br />
the <strong>World</strong> Bank, is transforming<br />
businesses, driving entrepreneurship<br />
and economic growth.<br />
Mobile phone technology is also changing<br />
the media landscape across Africa. The<br />
UN predicts that the continent will become<br />
predominantly urban within 20 years. Over<br />
that time, 48 per cent of all Africans will be<br />
city dwellers. That number will continue to<br />
rise year on year.<br />
A study in 2012 by the US based Centre<br />
for International Media Assistance (CIMA)<br />
says increased urbanization and growth in<br />
technological development will bring about<br />
significant changes in the way people in<br />
Africa consume particularly digital media.<br />
The report shows that mobile ownership is<br />
higher in cities. Nigeria is a case in point.<br />
In 2012, 85 per cent of residents in big<br />
cities such as Lagos owned a cellphone<br />
compared to 72 per cent of rural residents.<br />
At this rate mobile penetration could reach<br />
or even surpass the 100 per cent mark in<br />
some cities within the next few years.<br />
And it will not be long before mobile<br />
phones and other portable digital devices<br />
inevitably become the mass medium for<br />
information, communication, interaction<br />
and other transactions.<br />
The traditional method of broadcasting<br />
to mass audiences via radio is fast<br />
being overtaken by a shift, particularly<br />
by the young, to mobile-phone and<br />
internet platforms.<br />
Take the case of Kenya where the number<br />
of mobile subscribers has risen to more<br />
than 30 million. However, according to<br />
the Communication Commission of Kenya,<br />
CCK, the rate of growth of one per c ent<br />
EMEA 2013 • 9
Digital broadcasting<br />
seen over much of 2012 shows the market<br />
“appears saturated and tending towards<br />
maturity.” That means nearly all adults in<br />
Kenya, which has a population of about 42<br />
million, has a mobile phone.<br />
The story is the same across most of Africa.<br />
Nigeria’s Communication Commission<br />
reports that mobile-phone subscriptions<br />
have risen to more than 100 million, the<br />
highest on the continent.<br />
Figures from Ghana’s National<br />
Communications Authority show there<br />
are nearly as many mobile phones as the<br />
country’s population of nearly 25 million.<br />
That presents a penetration of 100 per cent.<br />
Research shows that short message service<br />
(SMS) is still the most popular use of<br />
mobile phones in Africa. It facilitates<br />
interactivity, aids financial transactions and<br />
enhances communication. While it provides<br />
a platform for media content such as audio,<br />
video and text, SMS can be a direct and<br />
timely source of feedback and market<br />
intelligence for broadcasters.<br />
The high growth of mobile-phone use<br />
across Africa is also driven by various<br />
factors such as the low cost of handsets and<br />
competition among mobile-phone service<br />
providers, ensuring better price deals.<br />
The introduction of fibre-optic connectivity<br />
has enhanced mobile internet speed.<br />
Competition in the sector is also helping to<br />
keep connectivity costs relatively low.<br />
Recent statistics by the Communication<br />
Commission of Kenya, CCK, show<br />
the number of internet users in Kenya<br />
continues to grow, reaching 16.2 million by<br />
end of 2012. This represents nearly 40 per<br />
cent of the population. The growth trend<br />
cuts across internet penetration and usage<br />
of broadband.<br />
This increase is attributed to growing<br />
demand for internet and data services,<br />
including use of social media especially<br />
among the young. Competitive tariffs<br />
by the mobile operators could also have<br />
contributed to the growth in the number of<br />
internet users.<br />
A recent <strong>World</strong> Bank survey on mobile<br />
usage in Kenya shows that the majority are<br />
young people between the ages of 18 to<br />
29. This shift creates new opportunities for<br />
existing broadcasters to reach and engage<br />
with audiences. For the BBC, which has<br />
built a strong heritage in Africa thanks<br />
to radio, this shift to digital platforms<br />
poses both a number of opportunities and<br />
challenges. The debate is no longer about<br />
whether or not to tackle them, but how to<br />
do it in a cost-effective way that delivers<br />
reach and impact.<br />
First, there are thousands of mobile<br />
handsets in the market. Their screen sizes<br />
and capabilities vary, from basic to feature<br />
to smart phones. Through an approach<br />
called Responsive Design, the BBC is<br />
redesigning its websites so that web pages<br />
can resize themselves depending on the<br />
type of mobile phone or device with<br />
which a user is accessing the content.<br />
The challenge is how to fit content that is<br />
designed on a desktop computer to various<br />
screen sizes and retain as many elements of<br />
the content as possible.<br />
The African market is still dominated by basic<br />
and feature phones. Less than ten per cent of<br />
mobile phone owners have smartphones.<br />
One of the BBC’s first language service<br />
websites to move to Responsive Design is<br />
BBC Hausa’s bbchausa.com. The service<br />
which boasts a weekly radio audience of<br />
more than 23 million, commands a huge<br />
following on its Facebook site which has<br />
more than 300,000 likes. The BBC Swahili<br />
service, with a radio audience of nearly<br />
20 million, is also performing well on<br />
Facebook with nearly 90,000 likes. The<br />
majority of BBC Hausa and BBC Swahili<br />
digital audience access internet via their<br />
mobile phones rather than the desktop.<br />
The second challenge for broadcasters is<br />
how to strike a balance between the needs<br />
of traditional versus digital audiences.<br />
Research suggests that mobile users<br />
across Africa are rather different to BBC’s<br />
existing radio audiences. Whilst existing<br />
radio audiences tend to be rather older<br />
and predominantly male, African mobile<br />
users tend to be younger and more evenly<br />
balanced between male and female.<br />
Do we need a different editorial proposition<br />
to capture the digital market What sort<br />
of news is this audience looking for and<br />
in what formats Journalists used to one<br />
form of production for radio are having to<br />
adapt their skills to new platforms. How<br />
do broadcasters juggle limited resources to<br />
serve new audiences as well as old ones<br />
As highlighted above, there is a difference<br />
between radio and mobile phone audiences.<br />
Programming content for mobile telephone<br />
is not the same as for radio and TV. They<br />
differ in duration, tone and delivery.<br />
Beyond SMS, the rapid growth of online<br />
social networks such as Facebook,<br />
YouTube, Twitter and blogs offer<br />
broadcasters with potential to drive<br />
digital audiences. It can help increase<br />
reach, engagement and interactivity with<br />
audiences. Social media are also helping<br />
generate content for other platforms. On<br />
several occasions, BBC Hausa service has<br />
learned about events happening in northern<br />
Nigeria through its Facebook page.<br />
Take the case of Kenya’s elections last<br />
March. The polls passed off peacefully,<br />
a stark contrast to what happened<br />
when a dispute over the outcome of the<br />
December 2007 elections degenerated<br />
into violent protests.<br />
While there was calm on the streets,<br />
Kenyans resorted what some in social<br />
media described as digital violence.<br />
BBC Monitoring observed how Kenyans<br />
exchanged offensive ethnic slurs on<br />
Facebook, Twitter, blogs and other<br />
social networks.<br />
BBC Monitoring reported that the state<br />
National Cohesion and Integration<br />
Commission (NCIC) highlighted the<br />
use of ‘coded language’ and ethnic<br />
stereotypes to engage in ‘hate speech’ and<br />
stir ethnic intolerance.<br />
Beyond politics, Kenyans and Nigerians<br />
took to Twitter to taunt each other as<br />
their national teams braced for a <strong>World</strong><br />
Cup qualifier match. With hashtag<br />
#SomeoneTellNigeria, Kenyans complained<br />
about how unfairly their team had been<br />
treated by their hosts ahead of the match,<br />
and began to mock Nigerians. The<br />
latter responded in kind with hashtag<br />
#SomeoneTellKenya.<br />
Such trends on social media are a source<br />
of content for other platforms such as<br />
radio, TV and online. The challenge for<br />
mass media broadcasters in particular is<br />
how to develop capacity and technical<br />
ability to drive digital audiences to<br />
traditional platforms. •<br />
10 • EMEA 2013
Unified communications<br />
Content in a network context<br />
by Bill Wignall, President and CEO, Sangoma Technologies<br />
Demand continues to grow for rich and relevant content, but, it is still a challenge to deliver<br />
content reliably wherever it is needed. Today’s communications infrastructure has evolved<br />
over the last 50 years; it is a patchwork of disparate systems that, amazingly, manage to<br />
interconnect. Unified Communications (UC) solutions glue together this collection of<br />
disparate technologies, business processes and infrastructure. Simplified UC deployment<br />
will be the key to getting the most out of the available resources and information.<br />
Bill Wignall serves as President and Chief Executive Officer of Sangoma Technologies. A technology industry veteran for over 20 years,<br />
Mr. Wignall has held CEO and executive roles at Truition, Electronics Workbench, Northern Telecom, BNI and Telezone.<br />
Bill Wignall is a Registered Professional Engineer in Ontario and holds a B.A.Sc., Electrical Engineering from the University of Toronto.<br />
He is also a graduate of Stanford University’s Executive Program for Growing Companies.<br />
Many of us in the telecommunications<br />
world place a premium on creating the<br />
latest, fastest, most powerful technology<br />
solutions, applications, and services for<br />
targeting particular markets or solving special<br />
challenges. We tend to pay these innovations<br />
extra attention; perhaps, in some cases, more<br />
than they deserve. This rings especially<br />
true when one considers the mind of the<br />
individual end user who stands to benefit<br />
most from these emerging technologies. The<br />
focus is almost always on the sizzle - the<br />
flash, the productivity, or the entertainment<br />
value consumed by the user. No surprise, it’s<br />
all about the content.<br />
Communications technologies that were<br />
once considered blue-sky thinking,<br />
such as multimedia communications,<br />
collaboration tools in the workplace,<br />
presence management and more, have all<br />
become not just part of our daily lives, but<br />
indispensable tools and capabilities for<br />
living and competing in today’s high-paced<br />
global village. While many are looking<br />
for the flash and entertainment value of<br />
rich and immediate access to content, in<br />
the business world, content is regarded in<br />
a somewhat different, more crucial, light.<br />
Communications information in any format<br />
- voice, video, text, email, and more, as<br />
well as the inputs or outputs of any business<br />
process - are elements of content that can<br />
have a profound impact on the profitability<br />
or even survivability of an organization.<br />
Whether personal or professional content<br />
is the subject, one fact remains clear across<br />
the board: There continues to be an evergrowing<br />
demand across all markets and<br />
walks of life for rich and relevant content.<br />
As the saying goes: Content is king. Content<br />
keeps users and consumers busy, happy, and<br />
productive. Yet, if truth be told, content is<br />
nothing if it cannot be steadily and reliably<br />
delivered to the many endpoints where it<br />
is consumed. So, in this respect, though<br />
content may be considered king, if there are<br />
no dependable, robust, and seamless systems<br />
to ensure its uninterrupted delivery, this king<br />
has no kingdom.<br />
Behind the closed curtain<br />
When we peel back this thin surface veneer<br />
of exciting content, we reveal the frightening<br />
truth that the technologies, networks,<br />
standards, and environments that comprise<br />
our communications infrastructure, one that<br />
has evolved so dramatically and disruptively<br />
these past fifty years, is nothing more than an<br />
underlying patchwork of disparate systems<br />
that somehow, amazingly, still manage to<br />
interconnect - well, most times, though<br />
perhaps not very efficiently. With each new<br />
wave of technological evolution, from the<br />
first digital telephone circuits straight through<br />
to cellular, Voice-over-IP, mobile data, SMS<br />
and text, video chat, and “free” Internet<br />
calling services today, this hunk of legacy<br />
infrastructure continues to have new widgets<br />
and gadgets bolted onto its top, sides, bottom,<br />
and even its inside.<br />
This is not to suggest that nothing has been<br />
retired or taken out of service in all this time,<br />
of course, but it doesn’t take too long or too<br />
hard a look to still discover within today’s<br />
systems the residual working pieces of nearly<br />
everything invented since that first fateful<br />
telecom connection was made so many years<br />
ago - when Alexander Graham Bell first<br />
called Watson the adjacent room. Further<br />
complicating modern communications is the<br />
EMEA 2013 • 11
Unified communications<br />
fact that no single person or business ever sits<br />
still. Today’s organizations seldom operate<br />
from a single monolithic location. Rather,<br />
their offices, systems, and information assets<br />
are distributed throughout the world - whether<br />
down the block, or downtown, or across<br />
cities, countries, and continents. In addition,<br />
they increasingly rely on a workforce that can<br />
prove just as widely distributed, if not more so,<br />
with remote teleworkers conducting business<br />
from wherever they happen to be. With so<br />
much distribution to span today, with so much<br />
territory to be efficiently and cost-effectively<br />
covered - both physically and virtually - it’s<br />
little wonder that the rally cry for the last<br />
decade has been “Unified Communications!”<br />
But again, for content to rule as king in<br />
our circles, systems need to be continually<br />
integrated to ensure its non-stop delivery.<br />
UC to the rescue<br />
Now, an enterprise or their trusted system<br />
integrator can certainly deploy a UC solution<br />
that glues together all of the different parts<br />
and pieces of business processes, systems,<br />
and networks - and many have done so using<br />
media gateways, routers, PBX platforms,<br />
session border controllers, and a broad range<br />
of database engines, dialers, call servers, and<br />
workflow management systems. However,<br />
as time and technology continue to march<br />
on, and businesses continue to focus on<br />
serving customers with the effective use of<br />
content, the skills necessary to knit together<br />
a patchwork of disparate elements are<br />
becoming more difficult to find in any one<br />
organization. For many, overarching solutions<br />
that can take the complexity out of deploying<br />
UC will be the key to getting the most out of<br />
the resources and information available.<br />
Over the years the UC solutions developed<br />
by global UC leaders, has given us the<br />
means to deal with the challenges that<br />
bubble to the surface in nearly every<br />
implementation. Even though these<br />
providers sell technology suites and<br />
comprehensive solutions, there is still an<br />
incredible amount of complexity involved<br />
in deploying and implementing them. The<br />
‘out of the box’ experience does not really<br />
lend itself to a ‘set it and forget it’ mindset.<br />
Almost every installation has unique<br />
requirements and ecosystem tie-ins that<br />
require additional pieces that facilitate the<br />
seamless bridging of old and new systems<br />
and networks. It’s these little chinks in the<br />
armor of the total solution that can present<br />
the biggest challenges - and where vendors<br />
can apply what they have learned to hammer<br />
out these final wrinkles.<br />
To put this argument into tangible<br />
perspective, let’s consider for a moment, as<br />
a working example, the latest innovation<br />
in Unified Communications (UC) from<br />
Microsoft - Microsoft Lync. This is a<br />
powerful suite of business process tools and<br />
features that easily combine communications,<br />
common files and databases, real-time<br />
collaboration with the convenience of desktop<br />
sharing, presence management capabilities,<br />
multiple forms of messaging and media<br />
interactions, as well as business processes<br />
such as those typically used in contact centers<br />
and service bureaus just to rattle off a few<br />
scenarios. Now, that’s a great deal of stuff<br />
to pack onto a single platform - a heck of a<br />
lot of content! - and it’s almost never spread<br />
across easy ‘greenfield’ landscapes. In fact,<br />
in most enterprises, a UC solution such as<br />
Lync will have to seamlessly integrate with<br />
multiple disparate platforms and systems<br />
within the business ecosystem, both old and<br />
new, both proven and emerging, and must<br />
likely make multiple and varied network<br />
connections to the outside world. And yet, of<br />
course, we assume all of this heterogeneity<br />
will merge neatly, unify seamlessly, and work<br />
without a hitch, completely transparent to all<br />
who use it. Because if not, what’s the point<br />
The complexity of such an undertaking<br />
was once considered daunting. Today,<br />
such unification is not only doable, and<br />
preferable, but expected. Working on the<br />
front lines of business communications<br />
we see this dynamic manifesting itself in<br />
multiple ways every day. In fact, according<br />
to reports from the global systems integrator<br />
Ingram Micro, small and medium enterprises<br />
see the efficiencies and flexibility offered by<br />
UC as not just a business preference, but,<br />
indeed, a competitive necessity. However,<br />
without large in-house IT staffs, most of<br />
these companies require a solution that can<br />
bridge not only the server and application<br />
environment in the LAN (and sometimes in<br />
the Cloud), but can also unify the different<br />
outside world connections, including SIP<br />
trunking, Internet access and security,<br />
Public Switched Telephone Network<br />
(PSTN) connectivity, and multiple video and<br />
application sharing features.<br />
The good news for many is that, along<br />
with the crush of technological innovation<br />
across the industry, a focus has emerged<br />
from unique market leaders for bridging<br />
these varied and disparate ecosystems in<br />
simple and efficient ways. The Lync Express<br />
appliance from Sangoma is one such all-inone<br />
solution that covers all of the common<br />
integration pain points that can make UC<br />
and Lync a major headache for smaller<br />
companies that are running lean. This<br />
was precisely the case for Euroline AS, a<br />
distributor of telecommunications equipment<br />
and solutions based in Drammen, Norway.<br />
A small enterprise with locations in Norway<br />
and Denmark, Euroline’s management<br />
team was eager to replace a failing PBX<br />
and gain the advantages of UC through<br />
deploying Lync. However, without the correct<br />
internal expertise, they required a simple<br />
and comprehensive solution. According<br />
to technical manager Rune Jacobsen, who<br />
had no previous experience with Lync, the<br />
configuration was quite intuitive and easy<br />
to navigate, and the change was completed<br />
without disruption to everyday business.<br />
Without consistent delivery, content is<br />
inconsequential<br />
What has driven the need for this and so<br />
many other innovative solutions for unifying<br />
communications in the business world The<br />
same hunger we have in our personal worlds:<br />
an ever-constant demand for delivered<br />
content. Think about it. Every professional in<br />
the business world is also an avid consumer<br />
of content in their personal worlds, and<br />
the same expectations that drive them at<br />
home are those that, either consciously or<br />
unconsciously, are also driving them at work.<br />
There exists a constant demand for immediate<br />
access to rich content, delivered in ubiquitous<br />
and unimpeded ways. Granted, this is easily<br />
said, but not so easily done; however, and<br />
at the risk of invoking yet another cliché,<br />
necessity is the mother of invention.<br />
Thus, in markets around the world,<br />
enterprises of all sizes continue exploring<br />
UC-like solutions such as Lync to satisfy<br />
their content-hungry workforce. They want<br />
that familiar unified frontend that accesses<br />
the myriad of applications, networks, and<br />
technologies residing in the backend -<br />
separate, but connected - to deliver the<br />
seamless and consistent content we all so<br />
commonly crave.<br />
The desire and expectation of the business<br />
owner is not just for content, then, but<br />
for continuously connected content, with<br />
dependable distribution and delivery to all<br />
company-related constituents and consumers<br />
- both internal and external - without the<br />
prohibitive costs and complexities associated<br />
with such connectivity. This is why, for my<br />
money, sure, content may be king… but<br />
delivery will always reign! •<br />
12 • EMEA 2013
A great and very helpful insight into the use cases of SDN<br />
SFR, SDN 2012<br />
2 ND ANNUAL<br />
NEW FOR 2013<br />
SOFTWARE DEFINED NETWORKING<br />
& VIRTUALISATION SUMMIT<br />
LIVE INTEROP EVENT:<br />
Service Provider<br />
Transport Use<br />
Cases for SDN<br />
SOFTWARE DEFINED NETWORKING<br />
& VIRTUALISATION SUMMIT<br />
THE ONLY<br />
FREE-TO-ATTEND<br />
SDN CONFERENCE<br />
FOR OPERATORS!<br />
* limited offer and valid only for up to 3 operators<br />
from the same company<br />
SOFTWARE DEFINED NETWORKING<br />
& VIRTUALISATION SUMMIT<br />
SOFTWARE DEFINED NETWORKING<br />
& VIRTUALISATION SUMMIT<br />
SOFTWARE DEFINED NETWORKING<br />
& VIRTUALISATION SUMMIT<br />
PART OF THE:<br />
SDN& NFV<br />
<strong>World</strong> Series<br />
CO-LOCATED WITH 10TH ANNUAL<br />
REAL WORLD EXAMPLES<br />
PROVIDING MORE IN-DEPTH & TECHNICAL ANALYSIS<br />
OF SDN & VIRTUALISATION TECHNOLOGIES,<br />
THAN ANY OTHER CONFERENCE<br />
30 TH SEPT – 2 ND OCT 2013<br />
Clarion Congress Hotel, Prague, Czech Republic<br />
OFFICIAL<br />
CONGRESS<br />
Hot Topics for 2013, including:<br />
SOFTWARE DEFINED NETWORKING<br />
& VIRTUALISATION SUMMIT<br />
CLOUD<br />
DATA<br />
CENTRE<br />
NETWORK FUNCTIONS<br />
VIRTUALISATION<br />
APIs<br />
OPENFLOW &<br />
API PROTOCOLS<br />
MEET The <strong>World</strong>’s Leading<br />
SDN Speakers<br />
3 INTERACTIVE DAYS FULL TO THE<br />
BRIM WITH DEBATE & NETWORKING<br />
ALONGSIDE ETHERNET WORLD:<br />
500+<br />
ATTENDEES<br />
25+<br />
EXHIBITORS<br />
CO-LOCATED EXHIBITION FEATURING:<br />
Platinum Sponsors:<br />
60+<br />
INTERNATIONAL<br />
SPEAKERS<br />
VICTOR M. GRADO<br />
Senior Cloud<br />
Solutions Architect<br />
Verizon<br />
VEDRAN ZAFIROVSKI<br />
Network Engineer<br />
Google<br />
Gold Sponsors:<br />
JEFF BARR<br />
Chief Web Services<br />
Evangelist<br />
Amazon Web Services<br />
MIRKO VOLTOLINI<br />
Director Design<br />
& Architecture<br />
Colt Technology Services<br />
Silver Sponsors:<br />
SOFTWARE<br />
ERY PUNTA<br />
NAM-SEOK KO<br />
DEFINED NETWORKING<br />
AVP Business<br />
Principal Researcher<br />
& Innovation VIRTUALISATION SUMMIT<br />
ETRI<br />
Telkom Indonesia<br />
ENDORSED BY:<br />
ANDY REID<br />
Chief Network Services<br />
Architect<br />
British Telecom<br />
ANTONIO MANZALINI<br />
Senior Manager –<br />
Future Strategy Centre<br />
Telecom Italia<br />
Official leading<br />
endorsing partner: ETSI<br />
NFV Working Group<br />
AND Key Knowledge<br />
Partner:<br />
ANDREAS GLADISCH<br />
VP Convergent Networks<br />
& Infrastructure<br />
Deutsche Telekom<br />
Innovation Labs<br />
SHAHAR STEIFF<br />
AVP Business<br />
Operations<br />
PCCW Global<br />
PLUS<br />
EXCLUSIVE FINANCIAL ANALYSIS PANEL<br />
WITH MORE THAN 20 ADDITIONAL EXPERT SPEAKERS INSIDE...<br />
@SDN<strong>World</strong>Series #SDNSummit<br />
Join our LinkedIn group: SDN <strong>World</strong> Series<br />
Register your place at SDNconference.com
Data traffic<br />
Managing rising data traffic to increase data revenues<br />
by Niall Norton, CEO, Openet<br />
Within a few years, ten per cent of all mobile connections will use 4G, but will generate<br />
45 per cent of the traffic. With increased data traffic comes additional costs and, as well, a<br />
chance to sell ever more sophisticated services to build revenue. Operators’ are becoming<br />
digital service providers and partners to those who provide digital services and content -<br />
everything from home automation services, to cloud based entertainment to mobile health<br />
products. Telecoms are becoming content delivery networks.<br />
Niall Norton is Openet’s Chief executive officer and is a member of its Board. Mr Norton previously served as Openet’s Chief financial<br />
officer. Prior to joining Openet, Mr Norton served as Chief Financial Officer and Corporate Secretary of O2 Ireland, the Irish<br />
operations of O2 Group Telecommunications PLC. Mr Norton also serves as a director of Clever Communications Limited, a mobile<br />
virtual network operator.<br />
Niall Norton holds a B.C. degree in Commerce from University College Dublin and is a Fellow of the Institute of Chartered<br />
Accountants in Ireland.<br />
I recently read that in 2012 only one per<br />
cent of global mobile connections were on<br />
4G networks, but this one per cent drove 14<br />
per cent of all global mobile data traffic. 4G<br />
has been described as the fastest growing<br />
mobile technology ever and market forecasts<br />
predicting that by 2017 ten per cent of all<br />
global connections will use 4G, but will<br />
generate 45 per cent of the world’s mobile<br />
data traffic. This will help account for the<br />
fact that data usage is continuing to grow,<br />
as is the penetration of mobile devices with<br />
Internet connectivity. According to recent<br />
Cisco 2013 VNI forecast, Western Europe is<br />
second only to North America in the growth<br />
of connected mobile devices with ten per<br />
cent CAGR from 2012 to 2017. Increasingly,<br />
many of these devices will be able to access<br />
LTE networks, with 96 per cent of European<br />
operators surveyed by Informa Telecoms &<br />
Media claiming to have a live or pending<br />
LTE network.<br />
These figures are useful in setting the<br />
context. Just a quick look at the websites<br />
of mobile operators and we can see how<br />
they’ve changed in a few years - they’re<br />
now data centric. In many bundles voice<br />
calls and text messages are unlimited, and<br />
it’s data usage that has caps (by volume,<br />
and increasingly speed). The next step in the<br />
operators’ evolution is moving to become<br />
digital services providers and partners<br />
to those who provide digital services.<br />
Several operators are now providing digital<br />
lifestyle products and services - from<br />
home automation services, to cloud based<br />
entertainment to mobile health products.<br />
Telecom networks have come a long way<br />
from being a phone company and are poised<br />
to be content delivery networks.<br />
At the heart of this evolution - services that<br />
require data.<br />
14 • EMEA 2013
Data traffic<br />
“Innovative operators are managing the mobile data gap, and many have taken steps to<br />
better optimize mobile data traffic. Operators have reported optimized data traffic growth due<br />
to such measures as web and video optimization, reduction in peer-peer traffic, as well as<br />
tight control and enforcement of fair usage policies.”<br />
With this increase in data traffic comes both<br />
opportunities and threats. The network and<br />
infrastructure CapEx costs, as well as the<br />
ongoing OpEx, are significant threats. The<br />
opportunities are there too - the optimal<br />
success formula being how operators<br />
best turn this massive increase in usage<br />
into profit. Many of the most innovative<br />
operators are rolling out LTE networks,<br />
seeing average data usage and revenues<br />
increase and facing the ever increasing data<br />
upsurge with a confidence that this will<br />
enable them to sell many more value based<br />
products and services to their customer base.<br />
And they’re doing so profitably.<br />
The key to success is to manage the mobile<br />
data gap - that is the data revenue per<br />
subscriber is greater than the data traffic<br />
cost (and associated cost to serve) per<br />
subscriber for delivering data. It is not just<br />
a case of managing down network costs to<br />
serve - it’s also clearly about increasing<br />
data enabled revenues.<br />
Innovative operators are managing the<br />
mobile data gap, and many have taken<br />
steps to better optimize mobile data traffic.<br />
Operators have reported optimized data<br />
traffic growth due to such measures as web<br />
and video optimization, reduction in peerpeer<br />
traffic, as well as tight control and<br />
enforcement of fair usage policies. These<br />
controls and traffic management initiatives<br />
are the start of an increased focus on proactive<br />
data traffic management, and we will<br />
continue to see an increase in their range and<br />
implementation over the next few years.<br />
Generating increased revenues on the other<br />
hand requires operators to be able to offer a<br />
more rich and diverse portfolio of ‘mobility<br />
enabled’ solutions to their customers<br />
directly, and indirectly via content partners.<br />
Such services include video, location based<br />
services, content and real time services that<br />
maximize the ever increasing features of<br />
their devices. Revenues also are now being<br />
also generated from partner deals where<br />
mobility is transforming existing business<br />
models, cloud based service offerings and<br />
machine-to-machine business models.<br />
These services are real time typically to<br />
make them valuable.<br />
Cost control to revenue generation<br />
When data usage started to cause some<br />
alarm bells to ring, many operators bought<br />
policy management systems to add controls<br />
to network usage. Typically the first use<br />
case was to implement fair usage policies.<br />
Policy management systems have come<br />
a long way since the early days of fair<br />
usage, and they’re now used by marketing<br />
in product development, as well as by<br />
network. Knowing which traffic to apply<br />
required bandwidth to, and what rules<br />
to apply to different traffic types, from<br />
different customers, all helps in controlling<br />
network cost. For example, deciding to<br />
off-load one traffic type (e.g. video) to wifi<br />
for certain customers, may result in cost<br />
optimization. Using the same policy system<br />
an operator may decide to allocate a higher<br />
QoS to traffic for one content partner for<br />
streaming videos, rather than just best<br />
effort - this example shows how policy is<br />
being used for product development as well<br />
as network optimization.<br />
However, traffic (and associated cost)<br />
optimization is only one part of the equation.<br />
The other is to increase data revenues at a<br />
fast enough rate. This comes from looking at<br />
increasing revenues for the delivery of data<br />
services and also looking at new business<br />
models and revenue sources.<br />
We know that mobile data can increase<br />
revenues and overall APRU, a challenge<br />
many operators face is that revenue uplift<br />
will not be enough to balance the cost<br />
of providing and maintaining networks<br />
to cater for the increases in mobile data<br />
traffic volumes. For many operators this<br />
is still a significant strategic issue, while<br />
others are meeting this challenge and are<br />
now starting to implement controls to<br />
decrease average network costs. The main<br />
challenge is now to consistently increase<br />
data revenues and to examine new revenue<br />
streams, which will ensure that mobile<br />
data revenues exceed costs and provide a<br />
solid foundation in which to roll out new<br />
networks and services.<br />
We’ve seen the move away from all you<br />
can eat plans to tiered data plans, with<br />
tiers typically volume based. This provides<br />
a more equitable approach to pricing and<br />
also attracts low volume customers, for<br />
whom an all you can eat plan doesn’t make<br />
economic sense. The addition of speed<br />
tiers is starting to happen in some countries<br />
(e.g. with LTE networks), and some<br />
operators are now offering off-peak time<br />
based pricing for mobile data to try and<br />
help balance network traffic. Tiered pricing<br />
of data is just the start - operators now<br />
know that they need to deliver data enabled<br />
services that customers will value, and pay<br />
for accordingly.<br />
It doesn’t end in tiers - The emergence of<br />
dynamic services<br />
Increases in sophistication in customer<br />
behaviour are radically changing how<br />
operators develop and market their<br />
services. The immediacy of customers’ data<br />
experience is resulting in the continuous<br />
marketing loop of analyzing behaviour,<br />
developing offers, launching and promoting<br />
services, and back to campaign measurement<br />
at a faster rate than ever before (see Figure<br />
1). Add new services from partners into the<br />
mix and the process becomes more complex<br />
as well as faster. New offer and service<br />
development will become increasingly<br />
dynamic, as operators continue to develop<br />
their pricing and product strategies based on<br />
value, rather than be involved in a race to<br />
the bottom by selling a generic commodity.<br />
As operators look at how to best monetize<br />
these new and enhanced services, they<br />
will need to look at pricing and packaging<br />
flexibility that exists in legacy systems and<br />
ask that it provides the flexibility and fast<br />
time to market that dynamic data driven<br />
services will require.<br />
Dynamic Services enables value based<br />
pricing options to be presented to<br />
appropriate segments in real-time based<br />
on their context and network usage<br />
patterns. This requires real-time visibility<br />
so that customers can see when they are<br />
approaching thresholds and select from the<br />
available options e.g. to purchase additional<br />
data entitlements or accept a slower<br />
network speed.<br />
Dynamic Services are enabled by advanced<br />
PCC (policy and charging controls) systems.<br />
EMEA 2013 • 15
Data traffic<br />
In addition to network access control and<br />
data monetization, PCC systems have access<br />
to real-time customer usage data which can<br />
be harnessed into customer intelligence to<br />
drive service innovation. Recent advances<br />
in PCC have seen the addition of interaction<br />
software which provides a secure channel<br />
to the customer device, which drives realtime<br />
customer interaction. This provides<br />
a step change in the evolution of PCC<br />
systems which speeds up the marketing<br />
continuum illustrated in Figure 1, by proving<br />
real-time offer presentation, interaction,<br />
communications and purchasing.<br />
There are many successful examples of<br />
Dynamic Services being launched by<br />
operators - ranging from data, application,<br />
speed ‘bolt-ons, to shared data plans,<br />
to service passes. What is consistent is<br />
that they need real-time charging and<br />
monetization, and policy is now being<br />
used to help develop products to increase<br />
revenues, as well as control costs. Realtime<br />
charging integrated with policy is now<br />
a given in providing the foundation for data<br />
offers. Operators are now evolving this to<br />
the next stage and delivering engagement<br />
with the policy and charging control<br />
infrastructure direct to subscribers, who can<br />
view and purchase services, and to content<br />
providers, with controlled access to Policy<br />
and Charging functions.<br />
PCC integrated with a real-time<br />
engagement capability is the key to<br />
operators delivering a Dynamic Services<br />
strategy and giving customers the choices<br />
needed to let them spend their money on<br />
the services that they want.<br />
Real-Time - The foundation for data<br />
monetization<br />
In order for operators to increase data<br />
revenues by offering innovative plans<br />
and dynamic services they need to be<br />
supported by systems that provide the realtime<br />
capabilities that customers need when<br />
buying and using data enabled services.<br />
For customers to understand and take<br />
advantage of compelling offers ‘right<br />
now’ they must be able to explore and<br />
purchase ‘right now.’ As operators move<br />
into a world of value based charging with<br />
its shared plans, sponsored services, and<br />
context specific passes, the emergence of<br />
the network as a platform drives us to the<br />
inevitable conclusion - with data and content<br />
we have to do everything, not just some<br />
things, in real-time.<br />
Real-time data is the key to securing a<br />
sustainable place in the value chain for<br />
operators. It enables customers to make<br />
more choices, faster. It allows QoS to be<br />
built in to an infrastructure that now plays<br />
the role of marketing enabler. Operators<br />
can expand real-time PCC direct to the<br />
device, run real-time analytics and by<br />
moving real-time capabilities direct to the<br />
customer deliver real customer choice and<br />
deliver value. This is starting to happen<br />
and operators are now seeing that with the<br />
potential of real time operations in the hands<br />
of the business, anything is possible.•<br />
An insight into the future!<br />
You are a decision maker;<br />
You understand your business;<br />
Do you understand how ICT affect the markets,<br />
the countries and the people you serve<br />
Gain insight into how ICT leaders see the future.<br />
<strong>Connect</strong>-<strong>World</strong>, The Decision Makers’ Forum for<br />
ICT Driven Development, brings you the thoughts<br />
and opinions of leaders from around the globe,<br />
their personal assessment of the issues that drive<br />
the ICT revolution and change the lives of us all.<br />
16 • EMEA 2013<br />
connect-world.com<br />
The Decision Makers’ Forum for ICT Driven Development<br />
Global House n 12 Albert Road n London E16 2DW n United Kingdom n Tel.: +44 20 7540 0876 n Fax: +44 20 7474 0090 n email: info@connect-world.com n URL: www.connect-world.com
Quality content distribution<br />
Content is king - but quality reigns<br />
by Hui Zhang, Co-Founder and CEO, Conviva<br />
The TV industry is undergoing a massive transformation in the delivery of content to<br />
consumers. There are new ways to deliver content to meet the demands of ‘TV Everywhere‘<br />
and social entertainment. Over-the-top (OTT) video delivery - delivery via the Internet to<br />
any connected screen - is changing the economics of content delivery. Since the Internet<br />
was not designed for the quality video consumers expect, content providers are challenged<br />
to produce multiple Internet-streaming formats and different ways to advertise for each.<br />
Dr Hui Zhang is a Co-Founder and CEO of Conviva; he brings 20 years of pioneering research experience to the design and construction<br />
of media control platforms. As a professor of computer science at Carnegie Mellon University (CMU), Dr Zhang has established himself<br />
as a world authority on Internet Quality of Service (QoS), video streaming, network control and Internet architecture.<br />
Dr Zhang’s End System Multicast (ESM) research group at CMU pioneered the overlay multicast architecture and developed the world’s<br />
first peer-to-peer live streaming system. His paper on ESM won the ACM SIGMETRICS Test of Time Award in 2012 for its significant<br />
impact on research, methodology, application and transfer in the last decade. His 4D research project advocated the network control<br />
architecture that separates control logic from data devices, and was the precursor to the Software Defined Networks (SDN) initiative.<br />
The TV industry is undergoing a massive<br />
transformation in the delivery of content to its<br />
consumers. With more devices for watching<br />
content, come new techniques of content<br />
delivery particularly to meet the demands of<br />
TV Everywhere and social entertainment. We<br />
have seen the popular uptake of over-the-top<br />
(OTT) video delivery or delivery through a<br />
facilities-based service provider that can be<br />
sent to any connected consumer electronics<br />
device, regardless of location. Yet, the fact of<br />
the matter is, the internet was not originally<br />
designed for quality online video delivery.<br />
To meet the realisation of TV Everywhere<br />
consumers are coming to expect, content<br />
owners and publishers are faced with<br />
the technicalities of producing multiple<br />
internet-streaming formats use different<br />
types of authentication methods, and also<br />
have different ways of inserting adverts.<br />
Underpinning all this is a far greater<br />
challenge; maintaining high video quality<br />
despite external factors and optimising<br />
delivery without interruption to the end user.<br />
Dr. Zhang suggests that there are a few<br />
hurdles to overcome. Here, he discusses the<br />
challenges with TV Everywhere or rather<br />
‘content everywhere.’<br />
The TV Everywhere paradigm<br />
As imagined, there are a variety of new<br />
business and operational models emerging.<br />
TV Everywhere, an innovative business<br />
model, has been a welcome development<br />
within the Pay TV industry and is gaining<br />
traction. Park Associates research recently<br />
revealed 70 per cent of European PayTV<br />
area are able to access TV Everywhere.<br />
OTT services such as Netflix and Hulu have<br />
made significant strides and have proved<br />
popular with consumers particularly with<br />
attractive operational models alike Video On<br />
Demand (VoD). Its low-cost packages and<br />
access to content has caused broadcasters and<br />
PayTV providers to develop these innovative<br />
models to ensure they do not lose their large<br />
subscriber base.<br />
Added to this, most multiscreen TV content<br />
has until recently been served as VoD. The<br />
simplicity of obtaining the rights to VoD<br />
content has allowed OTT providers to boost<br />
their viewership numbers. Despite this, the<br />
majority of consumers’ time is still spent<br />
watching linear TV in their home and come to<br />
EMEA 2013 • 17
Quality content distribution<br />
“Delivering different types of content to different devices is especially complex when it<br />
comes to processes and distributing across networks. Live content particularly must be<br />
authenticated by subscribers on authorised devices before it can be viewed, adding yet<br />
another level of complication.”<br />
expect this type of content on-the-go. Events<br />
such as The 2012 Olympics and Paralympics<br />
pulled in record number of online viewers<br />
around the world using different devices to<br />
witness history being made. Consumers want<br />
to watch more live content wherever they are<br />
providing an opportunity for broadcasters<br />
and Pay TV providers to take the competitive<br />
advantage and secure its position far ahead of<br />
OTT service providers.<br />
To achieve this however, it is critical that<br />
certain elements are guaranteed. While the<br />
availability of different types of content is<br />
key, equally valuable is the assurance that the<br />
content will be delivered without interruption.<br />
Authentication and content access must be<br />
seamless and guaranteed and every viewer<br />
ideally needs to enjoy the high quality<br />
viewing experience on every size screen and<br />
from every type of network.<br />
Getting to the finish line<br />
In the race to gain this competitive edge,<br />
certain challenges need to be addressed<br />
before TV Everywhere or OTT can really<br />
take off. Firstly making content available<br />
by securing the rights to broader content<br />
distribution such as live content is necessary.<br />
PayTV providers have the benefit of being<br />
able to extend in-home access to live TV<br />
content, without incurring additional charges.<br />
OTT providers must negotiate new contracts<br />
for multiscreen live TV and do not have<br />
the large subscriber base and budgets to<br />
consolidate their case.<br />
Delivering different types of content to<br />
different devices is especially complex when<br />
it comes to processes and distributing across<br />
networks. Live content particularly must be<br />
authenticated by subscribers on authorised<br />
devices before it can be viewed, adding yet<br />
another level of complication.<br />
Coupled with the variety and availability<br />
of new content as well as the processes<br />
involved, consumers are in need of<br />
additional education about the realms of<br />
TV Everywhere services. Knowledge of<br />
what content is available across devices<br />
fragmented and is an area that is in need of<br />
support. What we do know however is that<br />
according to ABI Research, in addition to<br />
the computer, Apple’s iPad continues to be<br />
the most supported TV Everywhere device,<br />
particularly in the US market. In fact, it<br />
suggests that iOS and Android smartphones<br />
and tablets capture the lion’s share of<br />
device support, besting even the popular<br />
game consoles, reinforcing the importance<br />
mobility plays in the future of the TV<br />
Everywhere market.<br />
Quality viewing = opportunities for revenue<br />
Beyond variety, security and availability,<br />
quality remains a significant hurdle to<br />
overcome. We know that the technology is in<br />
place to offer wider reaching TV Everywhere<br />
services. Investments are being made in<br />
varying amounts across different regions<br />
towards building robust infrastructure that<br />
will deliver online video without interruption.<br />
The fact is a huge overhaul and massive<br />
investment is not necessarily the solution.<br />
Software is available today that can pre-empt<br />
the level of optimisation that is necessary<br />
to resolve quality issues and interruptions<br />
to video. By switching between content<br />
delivery networks (CDN) such technology<br />
can ensure that video is delivered optimally<br />
allowing for fast start up times, no buffering<br />
and at a highly sustained bitrate. To achieve<br />
this level of quality however, broadcasters,<br />
publishers and content owners need to be<br />
armed with the right data that illustrates the<br />
Quality of Experience (QoE) for each of<br />
their viewers. This knowledge and insight is<br />
extremely valuable as equipping publishers<br />
with real-time QoE data will mean revenue<br />
opportunities can be leveraged to help grow<br />
audience numbers and consolidate the brand.<br />
Publishers are particularly interested in seeing<br />
how long each viewer watches and how<br />
often each viewer returns to watch more. By<br />
eliminating buffering, avoiding video start-up<br />
failures and improving video bit-rates across<br />
all devices, a typical premium long form<br />
Video On Demand provider, with 10 million<br />
views per month, should increase revenue by<br />
approximately £1.9 million monthly.<br />
The concept of TV Everywhere is exciting<br />
and clearly within reach, yet challenges<br />
remain. TV Everywhere will allow content<br />
owners to extend the relationship they<br />
have with current subscribers onto digital<br />
platforms in a personalised way and<br />
represents expansive opportunities for<br />
revenue. With this in mind, it is important<br />
to note that while variety and availability of<br />
content will determine the success of TV<br />
Everywhere, QoE will determine its purpose<br />
and will reign supreme. •<br />
<strong>Connect</strong>-<strong>World</strong> now on<br />
Facebook & Twitter<br />
<strong>Connect</strong>-<strong>World</strong>, the world’s<br />
foremost discussion forum for<br />
leaders in the ICT industry, is now<br />
available on Facebook and Twitter.<br />
The world’s top ICT decision<br />
makers express their opinions in<br />
<strong>Connect</strong>-<strong>World</strong>. They use clear,<br />
non-technical, English to discuss<br />
how ICT helps shape regional<br />
and global development. The<br />
articles essentially examine the<br />
influence that ICT products and<br />
services have on the way people<br />
live and do business. With<br />
separate editions for each of<br />
the world’s regions, the reports<br />
highlight the most important ICT<br />
trends and issues influencing<br />
socio-economic growth.<br />
<strong>Connect</strong>-<strong>World</strong> is now available<br />
to follow on Twitter (http://twitter.<br />
com/#!/<strong>Connect</strong><strong>World</strong>ICT) and<br />
Facebook http://www.facebook.<br />
com/connectworld.ict<br />
Also, it is still possible, for FREE,<br />
to directly access all past and<br />
present <strong>Connect</strong>-<strong>World</strong> articles,<br />
ICT Industry press releases,<br />
eLetters, ICT News and more at<br />
www.connect-world.com.<br />
18 • EMEA 2013
The world is<br />
greedy for data.<br />
Can you<br />
keep serving<br />
Social networks, video on demand, OTT<br />
apps and smartphones have created a<br />
hunger for bandwidth. Where is the extra<br />
spectrum coming from - and who’s funding<br />
the network upgrade<br />
The 1 conversation that matters<br />
Participate now, visit world2013.itu.int
Telco evolution<br />
Content talks - but what’s the message<br />
by George Nikoloudis, COO, OTEGLOBE<br />
Although most of their market will still come from data and voice services, the telecom<br />
industry needs to reinvent itself in the next ten years. The rise of non-traditional services,<br />
explosive Internet demand, shifts in customer behaviour, an always connected digital world<br />
and innovations brought by OTT will force today’s telcos to choose between traditional<br />
revenue streams or look to higher growth services at a higher risk. Telcos need to climb the<br />
value chain of applications, content and media to grow.<br />
George Nikoloudis is OTEGLOBE’s Chief Operating Officer; he was previously OTEGLOBE’s Director of Voice Sales Services. Prior<br />
to OTEGLOBE, Mr Nikoloudis held a number of high-level positions at MCI Inc, later acquired by Verizon Business. As a Country<br />
Manager, Mr. Nikoloudis was responsible for the launch and operation of the regional office in Athens, which covered the markets of<br />
Greece, Cyprus, Bulgaria, Romania and FYROM.<br />
George Nikoloudis holds a University Degree in Electrical Engineering from the UNSW University of Sydney and a specialization<br />
in Informatics.<br />
Content booms in a connected world<br />
Remember when the Internet was known as<br />
the “information super highway” Back in<br />
these days, users connected to the Internet<br />
primarily through dial-up networking to<br />
look for information and email messages and<br />
then disconnect once their job was complete,<br />
freeing the phone line for traditional phone<br />
calls. Nowadays things are a little bit different<br />
but the context is the same: Spread the<br />
knowledge around the world and stay tuned in<br />
a global village called the <strong>World</strong> Wide Web.<br />
Today, the Internet isn’t just a side activity,<br />
it’s the main dish. It is a social medium<br />
where people are engaged. We shop online,<br />
do business online, we play games online,<br />
we read the news online, we listen to music<br />
on line, we watch TV and movies online,<br />
we connect on-line with social media, it’s<br />
a never-ending list. Our kids expect to find<br />
nearly all types of content available online<br />
and on all kind of different devices. Mobile<br />
devices, such as smartphones and tablets, as<br />
well as connected internet TV are likewise<br />
becoming the most popular and enjoyable<br />
medium for entertainment services.<br />
And what have we done as an industry to feed<br />
this content hungry, always connected Homo<br />
Sapiens We built high-speed, broadband<br />
connections to replace the old dial-up lines,<br />
we run thousand of kilometers of optical<br />
fibres around the globe, added mobility<br />
and layer-upon-layer of complexity on our<br />
network infrastructure to make sure that our<br />
services would always be there when people<br />
needed them.<br />
Oh, and by the way, somewhere along the line<br />
we made money, we increased our revenues<br />
and the size of our business, we transformed<br />
ourselves from simple voice carriers to fixed,<br />
mobile, internet, etc. service providers.<br />
So since our industry, the telecom industry, has<br />
benefited so much by this content boom during<br />
these last 30 years why’s everyone complaining<br />
Stop shouting! Listen to what the content has<br />
to say…..<br />
When it comes to our industry today’s<br />
customers have one thing in common: they<br />
are ignorant about the players in the content<br />
delivery chain. They don’t know - and<br />
couldn’t care less - who owns the content<br />
when they watch a movie on their iPad or<br />
who is responsible for their call when they<br />
use Skype.<br />
People in our industry say that this rapidly<br />
changing customer behaviour is reshaping the<br />
competitive landscape of Traditional Telecom<br />
Operators. Why<br />
Because on the one hand new entrants, also<br />
known as ‘over-the-top’ or OTT players<br />
20 • EMEA 2013
Telco evolution<br />
are offering free services via Internet<br />
directly to the end-customers, our eye-balls,<br />
eliminating voice and data revenue streams<br />
and on the other hand heavy network and<br />
IT investments are still required just to keep<br />
up with the traffic explosion coming from<br />
these same OTT sources, that generate little,<br />
if any, incremental revenues. It seems like<br />
moving in circles, but wasn’t it always like<br />
that More content needed bigger networks<br />
that connected more people asking for more<br />
content, it’s a never ending story. So what’s<br />
the difference today<br />
Become a utility or be like Google What are<br />
the options<br />
Sustaining new revenues is as important today<br />
for traditional telecom operators as it was<br />
when voice became the cash cow for potential<br />
revenue streams. International pressure on<br />
roaming and terminating tariffs diminishes<br />
high margin products like voice and text<br />
messages, paving the way for the rise of new,<br />
non-traditional services i.e. social media,<br />
M2M, etc. with tighter and riskier margins.<br />
This fundamental shift towards a different<br />
revenue mix and eroding margins is<br />
shaking up the industry and is introducing<br />
new metrics of service performance as<br />
well, like accelerating content delivery<br />
and overcoming problems of bandwidth<br />
bottlenecks and latency over long distances.<br />
Moreover with medium and large businesses<br />
and corporations moving much of their IT<br />
infrastructure to the cloud, the speed, quality<br />
and assured delivery of corporate content<br />
and applications over the cloud, as well as<br />
the increasingly vital e-commerce content,<br />
is also sensitive to the inherent delays - path<br />
congestion along the way - and vulnerabilities<br />
of public Internet.<br />
So it does not come as a surprise that<br />
trying to remain competitive more telcos<br />
are focusing on content delivery networks<br />
(CDN), that promise to increase and, most<br />
importantly, assure the speed and quality<br />
of content to the end user as if the origin -<br />
content server is located right down the<br />
corner. Some telcos are investing in CDN<br />
technologies to shape up their own networks<br />
for the growing content opportunity. Others<br />
are integrating CDN solutions of third<br />
parties in their network and service offering,<br />
either by acquiring or by partnering with<br />
pure-play CDN providers. Lately, there<br />
has also been a lot of debate in the CDN<br />
industry as to whether or not a federated<br />
CDN model will take place amongst<br />
independent operators taking on bilateral<br />
agreements or exchange based models and<br />
the establishment of CDN exchanges.<br />
But is this the magic solution for our industry’s<br />
growth Will another technological advance help<br />
our business to transform into highly efficient<br />
and innovative media entities, the Google, Apple<br />
and Amazon of the future Although moving<br />
higher up the value chain is raising the bar again<br />
for our industry, setting new and higher delivery<br />
standards, it is also sending another message: that<br />
all the key players in the value chain will need<br />
to co-operate in the immediate future to deliver<br />
content over managed networks instead of public<br />
Internet to improve performance and uptime,<br />
lower overall costs, improve quality of service<br />
and in the end improve the end user experience.<br />
Global experienced leading operators<br />
with extensive network infrastructure<br />
and presence in multiple markets, smart<br />
content distributors with efficient delivery<br />
platforms and creative OTT players with their<br />
innovative solutions should work together to<br />
build new business models, form alliances<br />
and commercial agreements and pave the<br />
way for the digital world of the future.<br />
But what about the smaller regional players<br />
or specialized wholesale providers What<br />
should a regional service provider do in the<br />
meantime to address the content explosion<br />
and the fundamental shifts towards new<br />
services in this new and unpredictable<br />
digital landscape<br />
I’m a regional player. What can I do now<br />
Every player in our industry should need to<br />
be prepared for the fundamental shift in the<br />
market by deciding which markets to address<br />
and which business models - tools to use in<br />
the short/mid -term.<br />
What the content tells us is that no matter<br />
our size and geographic reach, sitting on<br />
the fence is no longer an option as network<br />
costs are increasing and the revenues<br />
coming from traditional ‘cash cow’ services<br />
are starting to stagnate.<br />
A good short term plan to compete in the<br />
different parts of the value chain is to adopt<br />
a “reliable & smart pipe’ model focused<br />
on efficient connectivity selling, targeting<br />
CAPEX optimization and flexible cost<br />
structures that are the key success factors<br />
in securing customer loyalty and long term<br />
contracts. A short/mid-term approach is to<br />
address specific carriers, content providers<br />
and OTT players alike and co-operate<br />
to create better value for them and their<br />
customers by developing innovative, reliable<br />
and highly adaptable tailor-made solutions.<br />
Expansion into new products and adjacent<br />
markets along the value chain will also be<br />
necessary, but for a regional operator a high<br />
risk, high investment approach towards new<br />
products and services could only form part<br />
of a transformation process in the mid/longterm.<br />
We have to keep in mind that although<br />
new services such as cloud computing, will<br />
experience high revenue growth, they have<br />
significantly lower margins (less that 15<br />
per cent on an average) when compared to<br />
traditional voice and data services.<br />
The approach to evolve into a smart, next<br />
generation operator targeting specific<br />
markets might look conservative or even out<br />
fashioned to some, but at the end of the day<br />
there is no standard ‘one size fits all’ model,<br />
every operator will have to take their own<br />
decisions on how far they want to go and<br />
which path best suits their strategic model,<br />
capabilities and heritage.<br />
So what will it look like in ten years from<br />
now<br />
Few industries will have to re-invent<br />
themselves as the telecom industry will<br />
have to in the next 10 years. The rise of<br />
non-traditional services associated with the<br />
explosive internet demand, shifts in customer<br />
behaviour in an always connected digital<br />
world and the innovations brought in the<br />
supply of services by OTT players create<br />
strategic challenges for the telecom operators<br />
of today putting them at the crossroads<br />
between sticking to the traditional revenue<br />
streams or building new partnerships and<br />
tapping into higher growth services but at a<br />
higher risk.<br />
Although more than 65 per cent of the market<br />
is still expected to come from core telecom<br />
services (data and voice) in the next decade,<br />
the operators will need to move along the<br />
value chain to more applications, content and<br />
media-based solutions to preserve such as<br />
their growth potential.<br />
In a few words, our industry will need to<br />
transform not only to address new customer<br />
demands but also to adapt to the challenges of<br />
the new digital world.<br />
The content speaks now and we have to<br />
listen:<br />
Human evolution has always been about<br />
adaptability and co-operation, not survival of<br />
the fittest! •<br />
EMEA 2013 • 21
Communication service providers<br />
How CSPs can stay competitive<br />
by Gordon Rawling, Oracle Communications<br />
Competition has been hard on CSPs (communications service providers). Price competition<br />
- a race to the bottom - mines their businesses; still, CSPs don’t need to fight on price.<br />
Packages tailored to the individual user, based on usage data they already have, can help<br />
CSPs offer quality services which cannot be offered at the cheap, commoditised end of the<br />
market. Skilfully tailored services, based on analytics and insight, can fight churn as well as<br />
be a key to customer acquisition.<br />
Gordon Rawling is the Director of EMEA Marketing for Oracle Communications; he joined Oracle Communications as senior marketing<br />
director for market development in the EMEA region. Prior to his role at Oracle, Mr Rawling worked for Amdocs where he held a<br />
variety of roles, from delivery to product marketing. Prior to Amdocs, Mr Rawling worked for EDS, performing management consulting,<br />
relationship management and delivery roles throughout the organisation.<br />
Gordon Rawling graduated from Salford University with a degree in computer science.<br />
The Internet has done much to change the<br />
way we live and how we work and entertain<br />
ourselves, but our loyalty to those companies<br />
who first got us online, or who we’ve used<br />
for many years, is still something that can<br />
never be taken for granted. Especially if those<br />
companies fail to remain competitive with<br />
new entrants flooding the communication<br />
service provider (CSP) market.<br />
However, being competitive is no easy riddle<br />
to resolve. It would be easy to assume it is all<br />
about price but the truth is far from it, even in<br />
these straitened times. Our Internet access in<br />
particular has gone from being a nice to have<br />
to an essential in many homes.<br />
Network infrastructure is also coming under<br />
increasing pressure from industries. While<br />
consumers have been shopping, banking,<br />
reading and connecting with friends for<br />
some time, the rise of Machine-to-machine<br />
communications (M2M) to automate<br />
processes in industries including healthcare<br />
insurance, automotive, logistics, retail and<br />
utilities is a much newer phenomenon. The<br />
increasing volume of traffic related to M2M<br />
makes it even more important for CSPs<br />
to understand usage trends if they want to<br />
improve their service offering and find a way<br />
to monetise.<br />
But unlike other utilities where value for<br />
money relates to an intersection of price,<br />
availability and reliability, CSPs find a far<br />
greater array of customer preferences and<br />
expectations. Some customers are more<br />
motivated by speed, some by price, some by<br />
quality of service, and some by download<br />
limits or factors such as bundled content<br />
or value-added-services. However, none of<br />
those potential differentiators are mutually<br />
exclusive. Most consumers are likely to be a<br />
combination of these factors, skewed more<br />
or less towards price depending on the value<br />
they perceive their Internet service to provide<br />
them with, which is why M2M services are so<br />
crucial to CSPs.<br />
This means that first and foremost, the CSP<br />
must understand each customer and their<br />
22 • EMEA 2013
Communication service providers<br />
individual needs: from those willing to pay a<br />
premium for a better, faster service to those<br />
who just need a simple entry level service.<br />
For example, a customer who values a<br />
choice of on-demand premium content and<br />
high, uncapped speeds for streaming or<br />
downloading media and is online for several<br />
hours every night is likely to take a view that<br />
what they’re looking for in a CSP goes far<br />
beyond simply finding the lowest price. They<br />
want a quality of service which rarely comes<br />
cheap and they are most likely prepared to<br />
pay as long as the service they receive meets<br />
their expectations.<br />
Against such expectations, the CSPs don’t<br />
need to be fighting on price with every other<br />
company. It needs to be looking at what its<br />
tailored package for that user, based on the<br />
data they have, looks like and ensuring that it<br />
is competitively priced for the offering.<br />
It may seem obvious, but CSPs need to<br />
delve into their customer data and provide a<br />
customer centric offering based on genuine<br />
needs and behaviours rather than focusing<br />
on the offers of their rivals, because some of<br />
those rivals will be targeting very different<br />
customer segments.<br />
The market is becoming crowded and CSPs<br />
cannot afford to lose sight of their customers.<br />
A crowded marketplace<br />
Each day, millions of tablets, smartphones,<br />
smart TVs and home PCs connect to the<br />
Internet, fuelling an insatiable appetite for<br />
entertainment, online shopping, social media,<br />
news and on-demand content from film and<br />
television to music.<br />
There is no shortage of customers who need<br />
Internet services, but there is also no shortage<br />
of service providers vying for their custom.<br />
Today, there is an unprecedented amount of<br />
competitive offers and loss-leading deals on<br />
broadband being offered by traditional CSPs<br />
and new entrants such as retailers.<br />
The economics are fairly simple on the<br />
face of things. A supermarket, for example,<br />
which makes millions on its core groceries<br />
business can afford to subsidise Internet<br />
services in the same way it may also do so<br />
for credit cards or insurance. Such tactics<br />
are businesses’ pursuit of building a brand<br />
which touches every area of a customer’s<br />
life, finding cross-selling opportunities amid<br />
the customer data they collect.<br />
Similarly Internet services can be a loss<br />
leader for retailers looking to shift other<br />
goods. Recently we have seen UK high<br />
street retailer John Lewis offering an initial<br />
six months free Internet service to customers<br />
buying connected devices, such as tablets,<br />
PCs or smart TVs.<br />
But for those businesses which only sell<br />
Internet services the ability to compete on<br />
price is being squeezed. A loss-leader for<br />
them is simply a loss. And attracting new<br />
customers on a profitable basis is increasingly<br />
tricky for CSPs in such a climate if they try to<br />
compete purely on price.<br />
However, it is worth going back to the earlier<br />
point that not all consumers want the cheapest<br />
possible broadband access. In fact, as we<br />
become more sophisticated online citizens, it<br />
is quite likely more and more consumers want<br />
more from their Internet provider than a bogstandard<br />
Internet connection.<br />
Many consumers prioritise quality of<br />
service, the breadth of services offered<br />
- such as premium movie and television<br />
services - and the overall bundle they are<br />
being provided with. Stripping out any frills<br />
and service niceties therefore simply to offer<br />
the cheapest possible service may represent<br />
a false economy, or certainly may only be<br />
right for an entry level product for light<br />
users of the web.<br />
Free, a French CSP, is testament to this. A<br />
disruptive force in the telecommunications<br />
market, Free was the first tripleplay provider<br />
in the country offering broadband, landline<br />
and IPTV services. Having secured a 3G<br />
license in 2010, the company launched its<br />
mobile service in 2012 and secured 8%<br />
of the total market by the end of the year.<br />
Offering a service beyond broadband that<br />
utilised its full quadruple play product,<br />
Free was able to capture over 6 million<br />
subscribers in a year.<br />
And this is the key - not all consumers are<br />
the same. They want choice, some want high<br />
quality, some want cheap.<br />
CSPs therefore, must get on the front foot and<br />
review their service provision and the quality<br />
of what they are offering customers based<br />
on their customer data. They must ensure<br />
customers feel unique and that their needs<br />
are being catered for. Most importantly, CSPs<br />
need to offer the kind of quality of service<br />
which simply cannot be offered at the cheap,<br />
commoditised end of the market.<br />
Without that differentiation they will be<br />
drawn into a downward spiral of competing<br />
purely on price.<br />
This is something Portuguese cable operator,<br />
Zon, struggled with. Seeing an increase in<br />
competition offering cheaper services, Zon<br />
took the decision to focus on the quality of<br />
service delivered to its consumers and set<br />
about redesigning its entire user interface.<br />
What it achieved was an unrivalled user<br />
experience and quality of service that put the<br />
customer back in the centre of its service.<br />
A focus on skillfully tailored services, based<br />
on analytics and insight, should have the<br />
effect of fighting churn but can also be a key<br />
element in customer acquisition.<br />
It must start with understanding the full<br />
worth of a customer across all products<br />
and the full lifetime of their custom.<br />
In order to offer a service which keeps<br />
customers happy and bought in, CSPs<br />
must offer personalised deals and rewards<br />
based on the value of the customer. In an<br />
increasingly savvy marketplace customers<br />
will know their worth. CSPs cannot afford<br />
to take them for granted.<br />
Similarly, CSPs must be prepared to predict<br />
and pre-empt complaints. If they know how<br />
important Internet access is to customers<br />
then they must pre-empt the angry reaction<br />
when it is unavailable. Customers who are<br />
proactively notified of a problem in their area<br />
are likely to bear less ill will towards a CSP<br />
- providing it is quickly fixed - than if they<br />
have to find it and report it themselves.<br />
Fine tuning, based on understanding customer<br />
data, can start in the call centre and customer<br />
service operation with the faster, more<br />
focused resolution of customer enquiries and<br />
the more effective tailoring of packages and<br />
bundles to suit individual customers through<br />
to choice of premium content on offer. Cheap<br />
Internet access is often just that. It doesn’t<br />
come bundled with services such as cable TV.<br />
Therefore, CSPs offering bundles must ensure<br />
they are complementary. Data gleaned about<br />
Internet usage should inform the provision<br />
and promotion of such services.<br />
No two customers are the same<br />
Typically, the cheapest offerings at the<br />
more commoditised end of the market<br />
treat customers with a uniformity that<br />
ignores many trends in Internet usage and<br />
individual behaviour.<br />
EMEA 2013 • 23
Communication service providers<br />
For example, CSPs may know that customers<br />
who most regularly take advantage of an<br />
agreement to use Wi-Fi hotspots as part of<br />
their package may be most amenable to offers<br />
such as cloud based storage and back-up or<br />
packages of services related to getting the<br />
most out of multiple mobile devices and their<br />
mobile lifestyle.<br />
Security is another service which can be<br />
incorporated so that customers feel they<br />
are getting value on top of their basic<br />
connectivity. Similarly, content deals with<br />
music or movie studios can be brokered<br />
and tailored based on online behaviour.<br />
For example, CSPs who recognise the<br />
behaviours of families with children may<br />
be most successful in offering security<br />
packages, online safety guidelines and<br />
parental controls. Learning such things about<br />
customers must then be fed in to the overall<br />
customer service experience. Providing<br />
parental controls shouldn’t stop with parental<br />
controls. Those households with children<br />
may be a good market for packaged content<br />
such as Disney classic movies on-demand.<br />
Conversely, households with children may<br />
see higher instances of sport or more mature<br />
programming being watched on second<br />
screens or mobile devices, if the family TV<br />
is taken over by children, creating a captive<br />
audience for promoting such services.<br />
Getting customers engaged regularly with<br />
multiple services from one CSP makes it far<br />
less likely they will churn, even if they can<br />
get a better deal on one aspect of the offering.<br />
CSPs also have a wealth of infrastructure<br />
they can make work harder, providing cloud<br />
storage, applications and back-up services to<br />
customers where a need is identified. And for<br />
home office workers, CSPs can offer business<br />
applications and hosted email as well as<br />
helpdesk services to reduce the need for<br />
external IT support. All of these offers can be<br />
built around insights and behaviours the CSPs<br />
should be able to gain.<br />
Much of this isn’t about cost it’s about<br />
convenience and quality. Ultimately, CSPs<br />
need to break away from the race to the<br />
bottom taking place - in terms of pricing -<br />
and realise consumers are only going to get<br />
more sophisticated in the use of the Internet,<br />
with behaviours and usage only going to get<br />
more complex.<br />
They may lose a handful of customers<br />
to the novelty of free, no-frills Internet<br />
access, but the growth areas are going to<br />
be in providing a service which reflects<br />
the importance many people place on their<br />
Internet access at home.•<br />
An insight into the future!<br />
You are a decision maker;<br />
You understand your business;<br />
Do you understand how ICT affect the markets,<br />
the countries and the people you serve<br />
Gain insight into how ICT leaders see the future.<br />
<strong>Connect</strong>-<strong>World</strong>, The Decision Makers’ Forum for<br />
ICT Driven Development, brings you the thoughts<br />
and opinions of leaders from around the globe,<br />
their personal assessment of the issues that drive<br />
the ICT revolution and change the lives of us all.<br />
24 • EMEA 2013<br />
connect-world.com<br />
The Decision Makers’ Forum for ICT Driven Development<br />
Global House n 12 Albert Road n London E16 2DW n United Kingdom n Tel.: +44 20 7540 0876 n Fax: +44 20 7474 0090 n email: info@connect-world.com n URL: www.connect-world.com
Subscriber relations<br />
The value of empowered subscribers<br />
by Lucas Skoczkowski, founder and CEO, Redknee<br />
Communication service providers (CSP’s) need to keep all their subscribers happy, all the<br />
time. How do they create compelling service bundles to address subscriber needs How<br />
do they identify those needs, protect and increase revenues and reduce churn Insight into<br />
usage patterns drives the creation of clearer, more relevant services, and more competitive<br />
pricing plans. Give power to the subscribers over what and how they consume data, and<br />
they’ll give you the trust that forms the basis of all lasting relationships.<br />
Lucas Skoczkowski is founder and CEO of Redknee, a provider of real-time converged billing systems. Mr Skoczkowski previously gained<br />
experience in sales, operations, business and product development with a variety of international companies including Nortel Networks<br />
(USA, UK, Canada) and Clearnet Communications Inc. Mr Skoczkowski has been honoured with the Ernst & Young Entrepreneur of the<br />
Year Award in the Information Technology sector for Ontario, as well as a Top 40 Under 40 Award for Canada.<br />
Lucas Skoczkowski earned a BSc in Electrical Engineering from the University of Waterloo, where he was a Loran Scholar.<br />
Content service providers (CSP) today are<br />
competing in a dynamic, growing and datahungry<br />
market. Subscribers know what they<br />
want and they know how to shop around to<br />
get it. If one provider doesn’t offer the right<br />
solution, subscribers are becoming adept at<br />
switching to another. Increasing frustration<br />
with ‘bill-shock’, frequently triggered by<br />
roaming charges -- combined with the often<br />
complex schedules of pre-paid plans that fail<br />
to address certain subscriber needs -- creates<br />
barriers to loyalty. It’s a tough market, and<br />
it’s placing pressure on operators to transform<br />
their business models.<br />
That sounds like a daunting challenge.<br />
‘Transformation’ sounds like it involves<br />
significant investment, time and ingenuity.<br />
It doesn’t have to. When operators accept<br />
that they simply need to ‘recalibrate’ their<br />
positioning, shift on their axis a little, and<br />
realign the capabilities they already have<br />
so that the market perceives them and<br />
reacts to them in a different way, business<br />
opportunities come easier.<br />
CSPs are already doing this; identifying<br />
profitable new business models. They are<br />
looking more closely at customer experience,<br />
acknowledging variances in subscriber<br />
needs that can help shape modifications to<br />
pricing plans that make more sense to certain<br />
subscriber segments. They are re-evaluating<br />
the way in which customer care is delivered,<br />
moving away from old models of call centres<br />
which no longer resonate with the selfdetermination<br />
subscribers are accustomed<br />
to through the online channel. They are also<br />
looking afresh at their ability to charge for<br />
support services. Most encouragingly of all, they<br />
are achieving success with these new approaches.<br />
Subscriber segmentation<br />
Operators have been locked in a constant<br />
battle against declining ARPU for many<br />
years, aware that the revenue that is<br />
disappearing has not been evaporating<br />
from the mobile market, it has been flowing<br />
elsewhere - invariably to OTT service<br />
providers. LTE is upon us, OTT providers<br />
have introduced magnificently innovative<br />
services into the market, new breed operators<br />
are slicing and dicing consumer motivations<br />
as they launch targeted MVNOs. Subscribers<br />
today know how to manipulate service<br />
packages, swap SIM cards, and interchange<br />
EMEA 2013 • 25
Subscriber relations<br />
devices for different usage requirements.<br />
They know how to get the best deals. In<br />
many ways the market is at a tipping point.<br />
CSPs who fail to deliver clearer service<br />
propositions are likely to lose business to<br />
those who study subscriber usage patterns<br />
closely, assess that nature of services<br />
consumed and then align the services they<br />
offer accordingly.<br />
Agility is critical if operators accept that they<br />
need to shift away from a network-centric<br />
business model to a customer-centric model.<br />
Follow the customer; observe behaviours,<br />
requirements, journey patterns, usage peaks<br />
and troughs. Once you have followed them,<br />
you’ll be able to lead them. Winners in the<br />
market are those who make the content as<br />
accessible as possible. This entails giving<br />
subscribers flexibility and control over not<br />
just what they consume but -- perhaps even<br />
more importantly -- how they consume it.<br />
No subscriber likes to be wrapped over the<br />
knuckles half-way through his or her billing<br />
cycle because they’ve used up their data<br />
allowance. No one likes to be in the dark<br />
about precisely what they get for their money,<br />
so that bills arrive demanding much larger<br />
amounts than the subscriber thought they<br />
might be in for. That’s not a customer care<br />
approach; it’s a big corporation that isn’t<br />
too bothered about who it annoys. Annoyed<br />
customers have a tendency to become excustomers.<br />
Customer-centricity gives the<br />
customer control and in so doing, it also gives<br />
the operator a competitive edge.<br />
Self-care drives subscriber satisfaction<br />
Solutions are available, either in the cloud or<br />
as on-premise models, that enable operators<br />
to deliver self-care to their subscribers<br />
by implementing converged billing and<br />
customer care solutions that are low-risk,<br />
scalable and flexible. These are the solutions<br />
that MVNOs, for example, are using all<br />
over the world to drive agility; identifying<br />
subscriber segments, acting upon their needs<br />
and then relating to them in a caring fashion.<br />
These are the subscribers that stay loyal<br />
because they have no need to shop around.<br />
They are served with integrated self-care<br />
channels that synchronize web portals with<br />
the subscriber’s device, offering real-time<br />
updates if credits require attention or if other<br />
services become available.<br />
They are attracted by fair and flexible tariffs.<br />
For CSPs, the ability to intelligently package<br />
a new service or offering in a way that<br />
encourages frequent use of data is becoming<br />
more important. ‘Roaming’ is a good<br />
example. Traditionally many subscribers<br />
have been hesitant to use their phones when<br />
roaming because they’ve been worried about<br />
the cost. If CSPs focus on upselling and<br />
packaging roaming however, subscribers will<br />
be more receptive and it unlocks additional<br />
revenue for the CSP.<br />
Re-shaping the market<br />
One of the most recent developments in<br />
subscriber self-care is CSP investment<br />
in social media. Customers increasingly<br />
expect to be able to use social media<br />
tools as an engagement channel with their<br />
service provider; it’s a natural fit - for many<br />
subscribers their prime consumption of data<br />
arises from activity through social media<br />
platforms that are changing not just how<br />
they view their worlds but also how they<br />
communicate with every contact point within<br />
those worlds. It’s seamless, or it should be.<br />
For this reason, CSPs are starting to use<br />
Twitter as a channel where concerns can be<br />
raised from the mobile phone and responses<br />
provided by customer care agents through<br />
the same social media channel. CSPs can<br />
today simply introduce a full self-care portal<br />
within Facebook. This enables them to link<br />
the users’ Facebook profiles and their key<br />
friends on Facebook, who also use the same<br />
CSP, directly into their frequent calling plans.<br />
This is sophisticated mobile empowerment<br />
- relevant and targeted to subscriber<br />
behaviours. The self-care experience is<br />
shifted from the mobile to social media,<br />
where consumers are spending more of their<br />
online time. As well as customer care, CSPs<br />
are able to effectively utilise this transition<br />
for marketing new packages, promotions and<br />
new services to subscribers.<br />
Meanwhile, growing markets are adopting<br />
subscriber segmentation and self-care<br />
strategies at increasingly earlier stages in<br />
their evolution, demonstrating successes that<br />
more mature markets are learning from. Zain<br />
Kuwait’s approach is one example of an agile<br />
business model that delivers great business<br />
results by empowering the user.<br />
Analyst firm Pyramid Research believe the<br />
growth rate of mobile Internet in the Middle<br />
East and Africa will be faster than any other<br />
region in the world. While it contributed only<br />
three per cent of global mobile data revenue<br />
in 2008, projections are that the region will<br />
double its share of revenue by 2014. Leading<br />
communications provider Zain Kuwait<br />
launched Kuwait’s first national wireless<br />
broadband service in 2006.<br />
To maximise its data revenues Zain identified<br />
three target subscriber segments: young<br />
users, Arab expatriates, and inbound roaming<br />
markets. With 70 per cent of its subscriber<br />
base being prepaid, Zain wanted to get the<br />
services to its prepaid customers quickly.<br />
This involved changing its business model,<br />
to bring pricing into relevant packages that<br />
subscribers could easily understand and<br />
trust. Zain deployed a real-time rating and<br />
charging platform to enable flexible, tiered<br />
services and dynamic subscriber controls.<br />
The platform has enabled Zain to understand<br />
how its services are being used and how<br />
best to rate and charge for them -- increasing<br />
opportunities to monetise and better manage<br />
its data services and network assets.<br />
Zain’s customers now control their own<br />
mobile experience and can select daily,<br />
weekly, or monthly packages, gaining<br />
better clarity of the charges they will incur.<br />
Through the provider’s web portal, users<br />
have full visibility over the services they<br />
use, they can track their usage and decide<br />
whether they need to top up their credit or<br />
regulate their usage.<br />
Conclusion<br />
The experience of Zain Kuwait highlights<br />
an extremely interesting point relating to<br />
the stage of evolution a market has reached.<br />
Operators in this region generally are<br />
shaping their business models in parallel<br />
with emerging subscriber needs. They<br />
are learning lessons from more mature<br />
markets and responding in an agile way to<br />
opportunities. They are not taking forever to<br />
adapt. These lessons are now coming back to<br />
mature markets, where operators are reacting<br />
afresh to pressures they may once have had<br />
no choice but to succumb to. The cloud now<br />
puts agility and flexibility within reach for<br />
all CSPs, offering low-risk highly relevant<br />
capabilities that can drive customer-centricity<br />
and increase ARPU as well as loyalty.<br />
Operators should not be deterred by the idea<br />
of huge investment costs for any of these<br />
initiatives given the cloud-based business<br />
support systems they can access on a lowrisk<br />
basis. They need not be deterred by time<br />
to market, since these systems drive agility<br />
faster than ever before. And they need no<br />
longer think that subscriber churn is the<br />
inevitable by-product of doing business in<br />
a competitive market. Those days are over<br />
- power to the consumer is bringing power<br />
back into the business. •<br />
EMEA 2013 • 27
Signaling traffic<br />
Diameter signaling: the good, the bad, and the future<br />
by Doug Suriano, CTO, Tekelec<br />
Diameter is an authentication, authorization and accounting protocol for telecommunications<br />
networks that will generate a significant amount of signaling, as more sophisticated policy<br />
and charging systems require more messaging and communication. The dynamics of chatty<br />
apps and LTE-driven services will drive operators to lay a foundation for self-organizing,<br />
self- optimizing, software-defined networks that autonomously respond to surges in signaling<br />
and other unpredictable events. As such, more robust systems are needed for monitoring<br />
traffic, load balancing and congestion control, as well as enhancing the customer experience<br />
and potential for revenue generation.<br />
Doug Suriano is the CTO of Tekelec where he leads product development for intelligent mobile broadband solutions. His R&D team is<br />
responsible for architecting session, policy and subscriber data management products for software-defined networks. Mr Suriano joined<br />
Tekelec from Dynamicsoft, Inc. where he was VP, Engineering. Prior to Dynamicsoft, Inc., Mr Suriano served as Chief Information<br />
Officer for QAD Inc., an enterprise resource planning software developer, responsible for the company’s global information technology<br />
infrastructure, business systems and development support. Mr Suriano also managed IT for the U.S. Marine Corps.<br />
Doug Suriano earned a Master’s of Science degree in information technology at the U.S. Naval Postgraduate School and a Bachelor’s<br />
of Science Degree at the U.S. Naval Academy.<br />
Diameter signaling [‘Diameter’is an<br />
authentication, authorization and accounting<br />
protocol for telecommunications networks]<br />
surges are to be expected as more sophisticated<br />
policy and charging use cases trigger more<br />
signaling messages. But the increased pinging and<br />
communication should be embraced as a harbinger<br />
of more revenue opportunities for operators.<br />
The multi-tasking, mobile-social nature of<br />
subscribers, and the multi-session nature of<br />
new devices are making the concept of ‘busy<br />
hour’ obsolete. The majority of devices today<br />
are continually connected and perpetually<br />
busy thanks to ‘chatty’ apps like Facebook,<br />
Skype and WhatsApp. Constant signaling is<br />
also driven by the dynamics of Voice over<br />
LTE (VoLTE), Rich Communication Suite<br />
(RCS), and new machine-to-machine (M2M)-<br />
, over-the-top (OTT)- and advertising-driven<br />
business models.<br />
For operators in Europe, the Middle East and<br />
Africa, market pressures, regulatory changes<br />
and spectrum auctions are expected to drive<br />
more LTE roll outs.<br />
TeliaSonera, Telekom Austria, Deutsche<br />
Telekom and O2 Germany have been among<br />
the first, and Telefónica Spain, Vodafone and<br />
others have also announced more LTE spend<br />
for this coming summer.<br />
Further, by the end of 2015, about 7.5 million<br />
Middle East subscribers and 11 million African<br />
subscribers will be on LTE, according to figures<br />
issued by Signals and Systems Telecom.<br />
As LTE momentum builds across EMEA,<br />
there will be more sophisticated roaming<br />
arrangements, concurrent data sessions,<br />
video streaming, quality of service (QoS)<br />
guarantees and behavioral changes via social<br />
networking. All of this will cause increases<br />
in Diameter signaling. In fact, Tekelec’s LTE<br />
Diameter Signaling Index® predicts that LTE<br />
Diameter signaling traffic in EMEA will see<br />
a 320 per cent compound annual growth rate<br />
(CAGR) from 2011 to 2016.<br />
That CAGR will be driven by increased<br />
Diameter-based communication among<br />
gateways, policy servers, charging systems,<br />
subscriber profile databases, and mobility and<br />
session management functions.<br />
Some of the biggest increases in signaling<br />
traffic will be due to online charging and<br />
policy functions.<br />
Charging alone can generate multiple<br />
Diameter messages per session - depending<br />
on the type of session, billing arrangements,<br />
and other factors pertinent to the service.<br />
VoLTE and RCS and anything requiring<br />
dynamic charging, quality of service, and<br />
shared usage plans will further drive up<br />
Diameter signaling.<br />
Also, increased mobility will require that<br />
policy be active for longer durations,<br />
maintaining session ‘state’ and tracking<br />
subscriber usage for hours or days as<br />
subscribers move around networks.<br />
For example, if you think about policy in the<br />
context of authentication, messages have to<br />
be invoked every time a subscriber powers<br />
on an LTE device, or activates a new service.<br />
An event like a new iPhone launch - where<br />
millions of devices get activated within a<br />
condensed window - can suddenly generate<br />
a surge of Diameter messages. Similarly, an<br />
event like the Olympics can trigger millions<br />
of messages when smartphones and other<br />
devices become a conduit through which<br />
people share their experiences.<br />
The good news is that the swell in Diameter<br />
traffic will correlate to the sophistication of<br />
services and devices. More sophistication and<br />
more personalization means more revenuegenerating<br />
opportunities.<br />
The bad news, however, is that a wait-and-see<br />
approach to addressing Diameter traffic is no<br />
longer acceptable. As operators accommodate<br />
28 • EMEA 2013
Signaling traffic<br />
popular applications like Apple’s FaceTime<br />
over cellular or QoS-driven VoLTE and<br />
video, or tailor Mobile Ads with subscriber<br />
data, Diameter signaling will need to be<br />
addressed. If not, it will become increasingly<br />
difficult to personalize mobile data services.<br />
Operators need to apply advanced policy<br />
rules, and they will have to manage the<br />
consequent increase in Diameter messages<br />
among policy and charging systems, and<br />
subscriber databases.<br />
Why a centralized diameter approach<br />
‘Signaling storms’ have already hurt network<br />
performance and compromised the customer<br />
experience. In the shift from unlimited to<br />
usage-based data plans, for example, signaling<br />
surges were experienced by several operators.<br />
Operators that are now in the planning stages<br />
have learned from others to incorporate<br />
Diameter signaling strategies into their<br />
network architectures. The lesson: a separate,<br />
intelligent New Diameter Network is needed<br />
from the outset of LTE networks, and<br />
cannot wait until ten million or 20 million<br />
subscribers join the network. A meshed<br />
architecture-the direct connections between<br />
each network element-simply cannot scale<br />
sufficiently, even at low subscriber numbers.<br />
Scalability problems abound in the SS7<br />
world, too. But where SS7 did handle<br />
congestion, traffic overload and traffic<br />
throttling, Diameter does not!<br />
Operators assumed that IP networks would<br />
handle those responsibilities on a ‘best-effort’<br />
basis, but now it has become obvious that the<br />
Diameter protocol has to be deterministic to<br />
address issues at the IP layer.<br />
Currently, Diameter is at the end of year two<br />
of a five-year development cycle and the<br />
IETF is leading standardization to incorporate<br />
new capabilities into the protocol. In the<br />
meantime, operators should increase their<br />
focus on the signaling core.<br />
Building dynamic and resilient networks with<br />
a diameter signaling router<br />
As operators and vendors learn more about the<br />
impact of applications on the Diameter network,<br />
operators are focusing more on the signaling<br />
network and the role it plays in supporting<br />
innovative and sophisticated applications.<br />
Traffic engineers that understand how a<br />
signaling network works are looking more to<br />
Diameter Signaling Routers (DSRs) as a means<br />
to prevent further outages and optimize what<br />
they can do to enable or participate in new<br />
mobile-data business models.<br />
The DSR enables an architecture that<br />
reduces the cost and complexity of the<br />
core network, and it helps IP networks to<br />
grow incrementally in support of increasing<br />
service and traffic demands. Additionally,<br />
the DSR facilitates network monitoring by<br />
providing a centralized vantage point in the<br />
signaling network.<br />
When evaluating solutions, operators should<br />
consider how robust and proven a solution is<br />
in 3G mobile data and LTE networks, as well<br />
as its roadmap for the future.<br />
Important for a solution today is the ability to<br />
handle hundreds of thousands of messages;<br />
tens of millions of concurrent sessions;<br />
and millions of subscribers and devices.<br />
Also important are extensive scalability<br />
and congestion control features. But for the<br />
future, there has to be a path to virtualization,<br />
as operators are going to want to move the<br />
DSR and related elements like policy and<br />
subscriber data management into the cloud.<br />
As more architectural agility becomes<br />
necessary to handle signaling and data traffic<br />
surges, the DSR’s operations, administration<br />
and maintenance (OAM) functions will have<br />
to be virtualized.<br />
Already, operators in the Asia-Pacific<br />
region and IP Exchange (IPX) providers are<br />
deploying DSRs with virtualized elements.<br />
As the DSR becomes increasingly critical,<br />
it will become a key component within an<br />
independent control layer - one that should<br />
be comprised of signaling, policy and<br />
subscriber data management. Tekelec calls<br />
that independent layer the ‘New Diameter<br />
Network,’ a Diameter signaling layer in the<br />
network core that handles routing, traffic<br />
management, load balancing and protocol<br />
interworking. In that context, the DSR<br />
integrates with the Policy Server (PCRF) in<br />
order to define business rules for new service<br />
plans. It also integrates with subscriber data<br />
management (SDM) to personalize services<br />
and evolve them according to consumer<br />
circumstances and preferences.<br />
As a part of the NDN, the DSR, Policy Server<br />
and SDM manage the constant pinging among<br />
essential LTE network elements, including:<br />
Offline Charging<br />
Policy Servers (PCRF)<br />
Online Charging (OCS)<br />
User Data Repositories<br />
Mobility Management Entities (MMEs)<br />
Policy Control Enforcement Points (PCEFs)<br />
Session Management, like a Call Session<br />
Control Function (CSCF)<br />
In essence, the DSR becomes the network’s<br />
central nervous system, monitoring all<br />
Diameter traffic and making decisions<br />
regarding load balancing and congestion<br />
control based on its knowledge of the entire<br />
network, as opposed to a specific segment of<br />
the network.<br />
These capabilities lay the ground work for<br />
software-defined ThinkingNetworks -<br />
networks capable of self-organizing, selfoptimizing,<br />
and self-determining responses<br />
to unprecedented and unpredictable events.<br />
In essence, networks that have to think for<br />
themselves, yet remain malleable enough<br />
that network architects can adjust network<br />
resources as needed.<br />
While operational efficiencies and cost<br />
savings are some of the benefits of<br />
ThinkingNetworks, it will ultimately be<br />
innovation and personalization that are the<br />
crowning benefits.<br />
To get to that point, there are four phases to undergo:<br />
Phase 1, the creation of the New Diameter<br />
Network - a centralized, intelligent Diameter<br />
control layer governing all equipment that<br />
uses the Diameter protocol.<br />
Phase 2 comes when the NDN moves to<br />
the cloud, creating a fundamental shift<br />
in the way operators improve network<br />
scalability and flexibility in terms of sessions,<br />
transactions, and throughput. Tekelec<br />
calls this phase Cloud XG, as the nextgeneration<br />
of cloud will depend on network<br />
function virtualization and software-defined<br />
networks (SDNs). Here, operators will look<br />
to dynamically add and remove compute<br />
resources to available hardware, and to<br />
dynamically manipulate traffic flows entering<br />
or leaving the cloud.<br />
Phase 3 is MobileSocial, where subscribers<br />
are intimately known by their providers<br />
as individuals and as members of greater<br />
social circles - personal and professional.<br />
This is where the rubber meets the road, as<br />
operators become digital-lifestyle providers,<br />
customizing customer experience according<br />
to real-time data coming from networks and<br />
Big-Data sources.<br />
As operators unleash the valuable contextual<br />
data they hold, they build opt-in, mobile<br />
advertising, and other personalized offers to<br />
OTT application and content providers.<br />
Phase 4 culminates with ThinkingNetworks,<br />
which embody all critical components of<br />
the previous phases. Founded on policydirected<br />
SDN control and network event<br />
listeners (such as event records, analytics,<br />
alarms and probes), ThinkingNetworks<br />
give an analytical view of the relationship<br />
between all of the services supported - the<br />
characteristics of each as well as the impact<br />
of one service on another.<br />
The end goal is to significantly reduce<br />
network costs by giving service providers the<br />
ability to dynamically assign compute and<br />
storage resources where and when needed in<br />
the network, as well as to enhance service,<br />
application, device- and user-awareness in<br />
order to further personalize services.<br />
The ThinkingNetworks vision provides<br />
a roadmap to turning those goals into<br />
reality with carefully planned steps that<br />
get operators from where they are today to<br />
where they want to be tomorrow as Digital<br />
Lifestyle Providers. •<br />
30 • EMEA 2013
Over-the-top content<br />
Headline: Content for the masses<br />
by Zdeněk Gerlický, CTO, nangu.TV<br />
Zdeněk Gerlický is the CTO of ‘nangu.TV’ where he oversees all areas of development. Mr<br />
Gerlický joined Alnair a.s, the intellectual property owner of nangu.TV, as a Middleware<br />
System Developer for the IPTV platform. He later became Team Leader of the Java<br />
Development team iand recently assumed the position of CTO.<br />
Zdeněk Gerlický completed his graduate studies at the Faculty of Electrical Engineering at<br />
the Czech Technical University in Prague, majoring in Computer Networks and Internet.<br />
Zdeněk Gerlický is the CTO of ‘nangu.TV’ where he oversees all areas of development. Mr Gerlický joined Alnair a.s, the intellectual<br />
property owner of nangu.TV, as a Middleware System Developer for the IPTV platform. He later became Team Leader of the Java<br />
Development team iand recently assumed the position of CTO.<br />
Zdeněk Gerlický completed his graduate studies at the Faculty of Electrical Engineering at the Czech Technical University in Prague,<br />
majoring in Computer Networks and Internet.<br />
In the last decade the way that we send,<br />
receive and view information has changed<br />
exponentially. Twenty years ago we were<br />
marvelling at the capability of the internet<br />
and how it could potentially change our<br />
lives. We could never have imagined<br />
the technological breakthrough that<br />
smartphones and tablets would bring and<br />
what a difference they would make to how<br />
we operate both at work and at play.<br />
In 1983, when Madonna released her<br />
debut album and shoulder pads were all<br />
the rage, the first - very sizeable - mobile<br />
phone was launched. Motorola’s DynaTAC<br />
‘Dynamic Adaptive Total Area Coverage’<br />
had 30 minutes talk time, could go eight<br />
hours between charges, was 13 x 1.75 x<br />
3.5 inches in dimension, had eight hours of<br />
standby time, took ten hours to recharge,<br />
featured an LED display and memory to<br />
store thirty numbers. All that for a price tag<br />
of US$3,995!<br />
In 1993 the mobile phone was entering<br />
its second decade and a new phase in its<br />
technology; models were just small enough<br />
to fit into the palm of the hand, having<br />
shrunk from the size of a house brick, and<br />
features were beginning to include PDA<br />
capability such as a calculator, pager,<br />
address book and email. Fast forward to<br />
2013 and the change is incredible with<br />
people using their (small) device to search<br />
for content, watch content or interact either<br />
directly or via social media applications<br />
almost anywhere.<br />
A plethora of content consumption<br />
reports and studies support the huge<br />
rise in multi-screen viewing habits in<br />
countries across the world. Digital TV<br />
Europe recently highlighted The Mobile/<br />
Tablet TV & Video: Content, Broadcast<br />
& OTT Strategies 2013-2017 study. It<br />
stated that in 2017 the Western European<br />
market will account for over a fifth of<br />
mobile and tablet viewers, at more than<br />
430 million people. The report says that<br />
the success of online and multi-screen<br />
services like Netflix has begun to affect<br />
the pay-TV business, with the threat of<br />
consumers ‘cutting the cord’ resulting in<br />
many pay-TV providers, such as Sky in<br />
the UK, fighting back with multi-platform<br />
strategies of their own.<br />
EMEA 2013 • 31
Over-the-top content<br />
In May 2012, Nielsen’s Global Survey of<br />
Multi-Screen Media Usage reported that<br />
more than 28,000 internet respondents in<br />
56 countries indicated that watching video<br />
content on computers has become just<br />
as popular as watching video content on<br />
television among online consumers. Over<br />
80 per cent reported watching video content<br />
at home on a computer (84 per cent) or on<br />
TV (83 per cent) at least once a month. By<br />
contrast, in 2010, more online consumers<br />
reported watching video content on TV (90<br />
per cent) than on a computer (86 per cent)<br />
in a month-long period. Since the report<br />
was published these figures are likely to<br />
have swung further with the trend for tablet<br />
and mobile applications growing rapidly.<br />
In the Europe the Orange Exposure<br />
2012/2013 annual independent study<br />
by TNS published in November 2012,<br />
examined mobile media habits across<br />
UK, France and Spain for the advertising<br />
industry. It showed mobile as the primary<br />
screen of choice for 11-18 year olds with a<br />
very high penetration of smartphones and<br />
highlighted the power of social networking<br />
and social TV in this demographic. The<br />
study also showed that adults are using<br />
screens more interchangeably than ever<br />
before with less preference for one over<br />
another. The trend doesn’t just apply<br />
to adults and teenagers. Many young<br />
children wake up to find a tablet amongst<br />
their Christmas or birthday presents these<br />
days. These figures are being mirrored<br />
in countries across the world and as such<br />
operators need to be able to provide a<br />
combined service offering that’s simple to<br />
navigate with high quality services.<br />
There are three parties involved in the<br />
delivery of content to consumers: network<br />
owners/operators, service providers and<br />
third-party content aggregators (Hulu/<br />
Netflix etc). The development of Overthe-Top<br />
delivery (OTT) means that service<br />
provision can be separated from network<br />
ownership/operation allowing a much<br />
faster rate of service deployment and<br />
growth helping to satisfy the demands<br />
of the modern consumer. As we can see<br />
from the reports, audiences don’t just<br />
want the freedom to view content anytime,<br />
anywhere; they now expect it - they are<br />
truly network-agnostic.<br />
For ISPs, along with cable, mobile and<br />
hospitality TV service providers to survive<br />
in this highly competitive market they need<br />
a complimentary mechanism to deliver<br />
value-add additional features including:<br />
non-linear TV, VoD, triple- screen, hybrid<br />
boxes and mobile applications. That<br />
mechanism is OTT. OTT delivery - where<br />
the service provided is separated from<br />
the network - allows consumers to access<br />
the same content on their mobile, tablet<br />
and TV provided that they have a good<br />
enough internet connection and a service<br />
provider(s) that understands the pitfalls and<br />
the quality that’s expected. Not all OTT<br />
delivery is created equally as many of us<br />
know: video drop-out and buffering are<br />
common problems. Sometimes a complete<br />
loss of service is the result.<br />
The key to the success of OTT is the<br />
quality of delivery and this is where<br />
the wheat is separated from the chaff.<br />
Adaptive streaming technology is the<br />
driver in this arena. Adaptive streaming<br />
frequently checks the connection type and<br />
strength for both linear and non-linear<br />
content and adapts accordingly for quality<br />
optimisation. Therefore it allows service<br />
providers/content aggregators to deliver all<br />
their services to all devices (multi-screen<br />
delivery) via a single platform reducing<br />
resources and operational costs and<br />
providing a pay-as-you-grow model.<br />
With the integration of apps on mobile,<br />
tablet and smart TVs, watching OTT<br />
content across multi-screen devices has<br />
never been easier. Users simply purchase<br />
the application via the App Store or<br />
Google Play and access content on their<br />
platform using the pin number provided<br />
by their operator. The high level search<br />
functionality technology on smart phones<br />
and tablet devices provided by the delivery<br />
platform allows users to select and view<br />
content quickly and easily. The operator<br />
can also offer universal recommendations,<br />
increasing social TV interaction and<br />
advertising revenues.<br />
Recommendation technology is an<br />
important addition for viewers. There’s so<br />
much content available it can be frustrating<br />
to sift through the content that you’re not<br />
interested in to find content that’s relevant.<br />
Finding the right key words that describe<br />
what the user is looking for so that they get<br />
to the correct information is challenging.<br />
Having to fine tune those words and then<br />
filter through the content takes time and<br />
patience. Television continues to be a leanback<br />
experience and as such the process<br />
of searching for content that will satisfy<br />
should not be a struggle - in fact it should<br />
be the exact opposite if operators and<br />
content owners want to drive loyalty and<br />
therefore revenues. The key for content<br />
owners is how best to present content to the<br />
user in an orderly fashion.<br />
Remote viewing capability is also<br />
important as well having the ability<br />
to use the smartphone or tablet as a<br />
remote control for the television with<br />
significantly increased search capability.<br />
Remote applications enable simple browse<br />
capability whilst pop-up push notifications<br />
on the second screen alert the user that<br />
content is starting and a single click plays<br />
it on the TV via the set-top box. Search<br />
optimisation is highly advanced, enabling<br />
filtering based on chosen criteria. Users can<br />
search, record, bookmark or play content<br />
on the TV then freeing up the second<br />
device.<br />
Unlimited devices can be connected to the<br />
server allowing operators to set their own<br />
parameters. High-level security settings<br />
mean that subscribers can put in place strict<br />
parental control where necessary. Users can<br />
check which devices are connected to the<br />
platform and are able to disable or switch<br />
devices without having to purchase another<br />
application or connection.<br />
The multi-screen revolution is being driven<br />
by the consumer and is developing quickly.<br />
It offers huge potential and a bright future<br />
for operators adopting OTT across multiple<br />
devices. By delivering quality television<br />
services operators are expanding their<br />
market potential and thereby significantly<br />
increasing revenue and meeting the ever<br />
increasing demands of their customer base.<br />
•<br />
32 • EMEA 2013
Native language content<br />
Content speaks for itself - in the viewer’s language<br />
by Philippe Rouxel, CMO, GlobeCast<br />
For immigrant and expatriate viewers, the best experience is one that brings them ‘home’.<br />
There is an important, and lucrative, new market awaiting broadcasters - their own expatriate<br />
communities in other countries. People away from home want familiar content in their own<br />
language. With the right global partners, broadcasters can harness this demand and create<br />
new revenue streams. By producing a meaningful experience for their overseas viewers -<br />
they can bring new levels of closeness and connection to communities everywhere.<br />
Philippe Rouxel is Chief Marketing Officer (CMO) for GlobeCast, a content management and delivery company for broadcasters, and a<br />
member of the Orange Group. Mr Rouxel oversees the company’s global product strategy, including business units in Europe, Africa, the<br />
Middle East, Asia and the Americas. Prior to joining GlobeCast, Mr Rouxel served as the Vice President of International Distribution<br />
for France 24, an international broadcaster serving 165 million households in five continents. Previously, he held business development<br />
positions with channels belonging to Lagardère, Canal+/Multithémathiques, Viacom/MTV Networks International, Première, and Walt<br />
Disney International.<br />
Philippe Rouxel graduated from EDHEC and CELSA Paris-Sorbonne.<br />
Today’s connected world is one that embraces<br />
diversity: diversity of content and technology<br />
of course, but also the diversity of its viewers.<br />
In any given country, most of us belong<br />
to specific communities and cultures, but<br />
we’re also more mobile and more far-flung<br />
than at any time in history - and the days of<br />
cities and regions with a singular cultural<br />
identity are long past. The democratization<br />
of international travel and mass cultural<br />
migrations, enabled by the Schengen Zone in<br />
Europe and other international treaties, have<br />
made it easier than ever for large populations<br />
to pick up stakes and to create diasporas in<br />
new lands.<br />
But wherever we roam, we still have a basic<br />
human need to stay connected with the folks<br />
back home and get a dose of the familiar from<br />
time to time. In the old days, family might<br />
mail a newspaper, movie, or book to someone<br />
living in another country to make that person<br />
feel more connected to his or her roots. That<br />
basic need is still there today, but the means<br />
of keeping that connection have evolved in a<br />
big way.<br />
Perhaps more than any other technology<br />
trend, the availability of a vast array of<br />
content on an ever-growing and equally<br />
dazzling line-up of platforms and mobile<br />
devices has changed the way people stay<br />
connected and access information. As the<br />
world becomes more and more of a melting<br />
pot, viewers’ demand for international<br />
content on the device of their choice will<br />
present powerful new opportunities, and new<br />
challenges, for broadcasters.<br />
How we got here<br />
In the early years of television, channels<br />
never left their home market. Each country<br />
- and indeed each region - produced its<br />
own programming for a local audience.<br />
Beginning in the 1960s with the launch of<br />
satellite communications, technological<br />
innovations spawned an evolution. Suddenly<br />
the world started to shrink, and for the first<br />
time, events of international significance,<br />
including sports programming, began to<br />
cross international borders.<br />
There was no going back. Major news<br />
networks such as CNN and BBC were the<br />
first to create international versions of<br />
their channels for various regions of the<br />
world, followed by powerhouses such as<br />
EMEA 2013 • 33
Native language content<br />
MTV. Today, major international networks<br />
appear on cable and satellite systems on<br />
five continents.<br />
Initially, such a global operation was<br />
prohibitively expensive for all but the<br />
largest of the world’s broadcasters. Tailoring<br />
international content for overseas markets<br />
was a technically and financially gargantuan<br />
task and remained so through the end of the<br />
20th century. To effectively cater to these<br />
markets, a broadcaster had to establish local<br />
bureaus as well as purchase huge amounts of<br />
satellite capacity. However, once the digital<br />
age had replaced analogue broadcast and<br />
Internet bandwidth became robust enough<br />
to carry streaming video, the floodgates of<br />
information opened wide. All of this set<br />
the stage for an unprecedented explosion in<br />
international content.<br />
An ideal marriage: international content and<br />
multiplatform delivery<br />
We know that today’s connected world is<br />
all about content. But if content is king, the<br />
user experience is King Kong. International<br />
content has a built-in advantage in this<br />
respect; after all, what experience could be<br />
better than feeling “transported home” on any<br />
device, anywhere in the world This former<br />
niche area is finding exciting new ways to<br />
touch audiences far beyond their borders,<br />
sharing their unique world perspective and<br />
reaching expatriate, immigrant, and cultureminded<br />
viewers across the globe.<br />
Consumer demand is driving video delivery<br />
on user devices ranging from gaming<br />
consoles, mobiles, and tablets to PCs and<br />
connected TVs - and international content<br />
is no exception. As a result, today’s viewers<br />
live in an age in which, with a click of the<br />
mouse or a wave of the finger, they have<br />
unprecedented access to their program or<br />
channel of choice. For shrewd broadcasters<br />
who apply the right tools and choose the<br />
right distribution, it’s an opportunity to build<br />
loyalty and revenue by presenting engaging<br />
content to targeted audiences.<br />
The multiplatform, multi-device environment<br />
lends itself well to international content<br />
delivery for a variety of reasons. The<br />
first reason is the scalable nature of these<br />
solutions with the ability to control costs.<br />
This is particularly important to broadcasters<br />
who are launching in a brand new market.<br />
Even premier broadcasters in their home<br />
country may have to start from scratch from<br />
a budgetary standpoint when expanding to a<br />
new country. Conventional solutions such as<br />
satellite - although they have a wide reach -<br />
can be prohibitively expensive in some cases.<br />
Over-the-top (OTT) distribution via IP<br />
networks offers a more cost-effective entry<br />
point for broadcasters looking to establish<br />
themselves in new markets. While many<br />
broadcasters view OTT as a complementary<br />
strategy for their traditional services, others<br />
approach it as a primary launching pad for<br />
entering a new market. In some cases this<br />
choice can be dictated by technology as well<br />
- especially in less-developed regions where<br />
terrestrial networks are not as mature or<br />
reliable as mobile services.<br />
Despite the initial uncertainty of launching<br />
in a new country, if they do their research<br />
right, international broadcasters have a clear<br />
advantage over local and thematic content in<br />
the sense that they have a dedicated, built-in<br />
community of viewers hungering for content<br />
in their own language and culture. In fact,<br />
some viewers are so hungry that they will get<br />
their content through any means necessary<br />
- even illegal downloads off the Internet<br />
or satellite pirating. Therefore, it behoves<br />
broadcasters to proactively approach these<br />
markets and take control of content delivery<br />
through managed service offerings.<br />
From a technology standpoint, the increased<br />
mobility of viewers and the access that comes<br />
with a handy mobile device only enhances the<br />
opportunity to win these viewers over.<br />
Key ingredients for success<br />
In order to build a profitable operation and<br />
unlock every opportunity for monetization,<br />
broadcasters need to offer the widest possible<br />
variety of content at the highest quality, with<br />
relevance to different audiences wherever<br />
they may live. The best OTT offerings make<br />
full use of the broadcaster’s entire content<br />
portfolio by offering live programming that<br />
can be easily converted to VOD for catch-up<br />
viewing, as well as pre-existing VOD titles<br />
and assets from media libraries.<br />
Of course, each offering must be highly<br />
tailored to the target audience and region;<br />
simply time-shifting the content or trying<br />
to stream the same channel to every market<br />
might have worked before, but is no longer<br />
effective in today’s hyper-connected<br />
world. Therefore, robust tools for content<br />
regionalization and localization are a must,<br />
as are tools for graphic insertion, subtitling,<br />
and program substitution. The good news<br />
is that Internet-delivered content makes<br />
it much easier for broadcasters to create<br />
tailored offerings, by providing easy access<br />
to a wealth of statistics and metrics about<br />
their audiences. Better knowledge of viewers<br />
and their habits leads to better targeting of<br />
services and therefore better controls on the<br />
viewer experience with the goal of increasing<br />
audience loyalty. Also, a competent global<br />
service partner can help ensure a smooth<br />
rollout of tailored content offerings by<br />
providing an intimate understanding of<br />
the target markets, and also providing<br />
localization services.<br />
The future is now<br />
Although we might be a few years away<br />
from widespread availability of international<br />
content in any language and from any<br />
country, there’s already a groundswell of<br />
activity from broadcasters around the world.<br />
To date, leading broadcasters from Brazil,<br />
Africa, Romania, and Portugal have signed<br />
onto the service as an easy and cost-effective<br />
means of bringing local news, sports, and<br />
entertainment programming to their expatriate<br />
communities in the U.S.<br />
Other examples abound. beIN Sport a global<br />
network of sports channels jointly owned and<br />
operated by Qatari Sports Investments, now<br />
offers three channels in France and two in<br />
the U.S. The Cambodian Television Network<br />
(CTN) now delivers Cambodian-language<br />
content to viewers in the U.S. and also<br />
offers a mobile app for accessing the content<br />
from phones and tablets. Russia Today, a<br />
24/7 channel covering news, world affairs,<br />
and human interest stories from a Russian<br />
perspective, is now available in a range of<br />
Asian countries.<br />
To summarize, there is a bold and extremely<br />
lucrative new world awaiting broadcasters,<br />
and they need look no further than their<br />
expatriate communities in other countries<br />
- people who yearn for familiar content in<br />
their own language. With the right global<br />
partner, broadcasters can harness this<br />
demand not only to create new revenue<br />
streams, but to create a meaningful<br />
experience for their overseas viewers and<br />
bring new levels of closeness and connection<br />
to communities everywhere. •<br />
34 • EMEA 2013
Virtual working<br />
The essentials of virtuality<br />
by John Berry, Director and Management Consultant, TimelessTime<br />
Today, broadband connections are adequate for virtual working, but without richer<br />
communications, people will struggle to convince participants of the presence of others,<br />
and connections will not replace face-to-face. Most firms wish that at least some of their<br />
workers could work on the move or from home or client sites. Effective virtual teams<br />
need connectivity, computers, Internet connections from wherever they are; appropriate<br />
applications with relevant peripherals; methods that make teams function; and workers with<br />
the right competencies and behaviours.<br />
John Berry is a Director and Management Consultant with TimelessTime, a people-management consulting firm. Prior to founding,<br />
TimelessTime. Mr Berry served with Inter<strong>Connect</strong> Communications, part of Ericsson, as the director responsible for their consulting<br />
in wireless regulation. Previously, Mr Berry started and built ATDI Ltd, a wireless and spectrum management software and consulting,<br />
he also worked for Thales in radio spectrum management and led Maxon’s mobile marketing firm. Mr Berry started his technology<br />
management career with Philips, leading its base station lab, and then led its mobile systems marketing. Mr Berry is a regular presenter<br />
and speaker on technology and management.<br />
John Berry has a BSc in electronics and a BA in sociology, politics and economics. He also has an MBA, specialising in the management<br />
of technology and is just finishing an MSc in organisational technology at Birkbeck, University of London.<br />
Today, the majority of firms are looking at<br />
the prospect that at least some of its workers<br />
could benefit from working while on the<br />
move or from home or client sites. The<br />
idea that one can participate in an audiovisual<br />
conference call while on the train, for<br />
instance, must be hugely attractive. After<br />
all, time is money and reducing lost time<br />
through travel must be every manager’s<br />
aim. Similarly, the ability to run a workshop<br />
with clients from the comfort of home is an<br />
obvious benefit to a firm. Office space is an<br />
overhead and so any corporate real estate<br />
reduction must be eagerly sought.<br />
It’s 2013 and it feels as though all the pieces<br />
of the jigsaw are in place. Regulators have<br />
allocated spectrum, 3G (if not 4G) networks<br />
have rolled out, fibre is in the ground to<br />
cabinets, and every worker has a computer.<br />
Surely virtuality is with us<br />
Well perhaps… Today, most of us work in<br />
teams and for effective virtual team function,<br />
five things are necessary. From the technology<br />
side, firms need connectivity and computers.<br />
They need workers to be able to connect with<br />
the Internet from wherever they are located;<br />
and they need computers running appropriate<br />
applications with relevant peripherals. From<br />
the people side, they need methods that make<br />
teams function and workers with the right<br />
competencies and behaviours.<br />
How practical is virtuality today. There are<br />
technological advances that allow virtual<br />
operation. Then too, there are the people<br />
and there are companies either trying to<br />
foster the dual development of employees<br />
and technology virtuality requires. Other<br />
companies, though, simply wait expecting<br />
technology alone to drive the change towards<br />
the virtual organisation. Our experiences<br />
with a recent virtual project team, spread<br />
geographically across Europe and the<br />
Middle East, provides some insight into how<br />
technology benefits such operations.<br />
An EMEA case study<br />
As a backdrop to this discussion there’s a<br />
case study: around eight consultants located<br />
in the UK, The Netherlands, Saudi Arabia,<br />
Dubai and Qatar and around six clients<br />
located in Iraq. All worked recently on a<br />
cross-national, cross-company project. All<br />
the consultants worked from home or from<br />
touch-down centres and all clients worked<br />
from offices in the Green Zone in Baghdad.<br />
This case study tells us much about how<br />
advanced the technology and the people<br />
are and hence how well firms across the<br />
region can embrace virtuality. It will be used<br />
throughout to illustrate the various arguments.<br />
Raw connectivity<br />
For virtual operation, the participants must be<br />
afforded the ability to communicate wherever<br />
they are located. But what does that mean Team<br />
members need to communicate by voice. We<br />
have that today - although international mobile<br />
calls are costly and many operators block free<br />
services such as Skype. Luckily subscription<br />
services, such as GoToMeeting, are allowed and,<br />
today, local access points are provided in many<br />
countries. It was quite a shock when one project<br />
team member announced his participation while<br />
mobile across Jordan. So the team can associate<br />
and build trust through regular calls.<br />
It’s somewhat more effective though if voice<br />
is augmented by imagery. Watching the caller<br />
on screen can be a distraction but looking<br />
at and helping construct an organisational<br />
chart or a job description on-screen helps<br />
understanding. The audio and visual cues<br />
work together. So online workshops need<br />
Citrix-style applications which, in turn,<br />
EMEA 2013 • 35
PACIFIC TELECOMMUNICATIONS COUNCIL Facebook/PTC.org @ptcouncil Pacific Telecommunications Council
Virtual working<br />
need broadband connection with modest<br />
latency and near-continuous availability.<br />
Thankfully though the limiting characteristic<br />
is not the broadband speed - online meeting<br />
applications keep going even when only a<br />
few hundred kb/s are available.<br />
Not spots, islands and contention<br />
Now in principle, network operators report<br />
high percentage coverage of populated<br />
areas. But in reality, most countries suffer<br />
extensive not-spots. 3G services are focused<br />
in city centres and regulators have yet to<br />
allocate adequate spectrum. As recently<br />
reported extensively, around 700MHz of<br />
UHF spectrum is needed now by operators<br />
and while much has been identified, only<br />
a fraction has actually been allocated. The<br />
result is that demand exceeds supply and<br />
users suffer extensive contention, degrading<br />
any ability to sustain data connection.<br />
Luckily, hotels, cafes and other providers<br />
of wi-fi have now substantially stopped<br />
charging by the day. The result is that workers<br />
can get free or low-cost access just about<br />
whenever it’s needed, at least somewhere in<br />
town. Trains too are beginning to use mobile<br />
networks for mobile access, providing wi-fi<br />
access inside the carriage to users and while<br />
connection suffers contention, it works. So<br />
between mobile networks and wi-fi ‘islands’,<br />
connection is available.<br />
So it’s a mixed state. Our consultant participating<br />
while mobile across Jordan is good but today,<br />
such ubiquity is pretty much restricted to voice.<br />
Computers and applications<br />
For technology to afford workers function,<br />
they need applications. Workers need<br />
the ‘normal’ office packages but virtual<br />
workers need shared workspaces to replace<br />
the Sharepoints and the CRMs of the<br />
headquarters domain.<br />
Dropbox is possibly the most widely accepted<br />
shared file-space today and yet many<br />
corporate IT ‘police’ forbid such connection<br />
and sharing, citing security worries. Our<br />
EMEA project team suffered just this. Some<br />
team members could only receive working<br />
documents via email and since most of<br />
us receive hundreds of emails a day, it’s<br />
a real challenge to manage team material<br />
production and distribution.<br />
Collaboration is a challenge. But if workers<br />
adopt Web 2.0 technology, it can work. Social<br />
media allows teams to micro-blog, keeping<br />
one another up-to-date and applications such as<br />
GitHub allow issues to be shared and resolved.<br />
Methods<br />
Now, in our EMEA team case, consulting<br />
methods had to be settled on once the job was<br />
won. The clients were based in the Green Zone<br />
in Baghdad and few of the consultants were<br />
prepared to go there - so the conventional<br />
delivery of documents and the richness<br />
of face-to-face workshops were not going<br />
to work. This meant that new approaches<br />
were needed that would accommodate the<br />
infrequent lean connectivity available.<br />
And it happens that the world of software<br />
engineering has a method well suited to just this<br />
environment - Agile. The essence of Agile is the<br />
break-down of the project deliverables into multiple<br />
‘stories’, the production of a deliverable during a<br />
‘sprint’, its review at a ‘stand up’ and its subsequent<br />
revision and acceptance before repeating all again<br />
for the next ‘story’ in the project. Agile breaks the<br />
project into fortnightly periods. In the EMEA case,<br />
we broke the project into weeks.<br />
One of the biggest issues when operating in<br />
virtual teams is the building of trust. When<br />
face-to-face, trust is built through action but<br />
also through the basic liking and understanding<br />
between workers that comes from looking a<br />
colleague in the eye. In virtuality, trust comes<br />
only through action. Team members must do<br />
what they say they’ll do when they say they’ll<br />
do it. And trust won’t be built when conventional<br />
plans are developed with project phases lasting<br />
months before deliverables appear. Our variant<br />
of Agile helps build trust by demanding that team<br />
members produced smaller deliverables sooner.<br />
Action is simply measurable.<br />
So methods must be adjusted to<br />
accommodate virtual working and the<br />
nuances of dispersed teams.<br />
And the people<br />
People are defined by their individual and<br />
substantially unchanging characteristics: their<br />
personality, intelligence, competency, beliefs,<br />
attitudes and motives. The people are used to<br />
working in a particular way. They have beliefs<br />
about the success of the established method.<br />
The job they do motivated them, providing skill<br />
variety, task identity, task significance, autonomy<br />
and the necessary feedback. Now, people have a<br />
new, very different way of doing their jobs.<br />
Change means un-learning what they<br />
knew and re-learning new skills. Suddenly<br />
visual cues are absent - after all you can’t<br />
see your colleague - and shared working<br />
environments, email and micro-blogging<br />
prevail. Impressions are managed differently,<br />
more by performance than anything and all<br />
parties can multi-communicate - the idea that<br />
they can be on an audio-visual conference<br />
with a super-group, while communicating<br />
privately with others.<br />
People have competencies. When methods<br />
and technologies change, these competencies<br />
must be developed. Firms must therefore<br />
not only invest in technology - providing the<br />
connectivity, computers and applications - but<br />
must also invest in the people.<br />
Staff often take time to embrace the audiovisual<br />
workshops and to adjust their own style<br />
to this form of communication. Some may<br />
struggle to adjust to the pressure of the week<br />
bursts of activity and all must feel that the<br />
environment is sufficiently risk free to allow<br />
the experimentation needed to learn anew.<br />
Firms often assume that by implementing<br />
technology, change will just happen. This is<br />
not the case. Perhaps the youth of today, who<br />
grew up with the Cloud and social media, will<br />
embrace change, but those more established<br />
in their ways may reject, resist or work round<br />
the change or even leave the organisation.<br />
Conclusions<br />
There is a duality here - the social system in which<br />
people work together to achieve objectives and the<br />
technological system that facilitates this working.<br />
The social places pressure on the technological,<br />
modifying what people will use and how they<br />
use it and the technological modifies the social,<br />
affording the users of new approaches to old<br />
problems - if they chose to accept it. Technology<br />
affords connectivity and tools, encouraging<br />
virtuality and social systems mingle with the<br />
technology to afford new methods.<br />
Today, connectivity is adequate for virtual<br />
working but only if team members are fixed or<br />
nomadic, using fixed or nomadic broadband<br />
connection. Until mobile networks offer a richer<br />
communications, they will struggle through<br />
their slower information processing to convince<br />
participants of the presence of others, hence<br />
replacing face-to-face.<br />
Companies can wait and let the technology<br />
and colleagues force change - or they can<br />
plan change and train staff for the sort of<br />
virtuality they want. But just like in our<br />
EMEA team, change is inevitable and the<br />
technology is sufficiently mature to allow<br />
much to be achieved. •<br />
EMEA 2013 • 37
Secure content distribution<br />
Secure mobile distribution of corporate content<br />
by Ian Evans, Managing Director EMEA, AirWatch<br />
When sharing corporate content in the cloud, with everything accessed via mobile devices,<br />
it can be difficult to manage access. Free cloud file sharing services distribute corporate<br />
documents to employee-owned devices, but offer businesses little protection or control.<br />
Enterprise Mobility Management (EMM) solutions provide secure corporate content<br />
management and protection,; they prevent leakage and theft while enabling distribution.<br />
Hybrid approaches using a combination of internal and external storage can provide the<br />
most flexibility and help companies control employee user costs.<br />
Ian Evans is Managing Director for the European, Middle Eastern and African regions (EMEA) region at AirWatch, specialised in<br />
enterprise mobility management, mobile security, mobile device management (MDM) mobile application management (MAM) and<br />
mobile content management (MCM) solutions. Mr Evans has more than 20 years of experience in the software industry. Mr Evans<br />
worked previously as Managing Director, EMEA of Aste, a software solutions company. Before Astea, Mr Evans was director, EMEA for<br />
O4 Corporation, and a vice president at InforGlobal Solutions.<br />
Ian Evans holds a degree in Computer Science.<br />
Revoking all access to corporate content<br />
when an employee left a company used to<br />
be easy a decade ago, when removal of door<br />
entree blocked admission to all corporate<br />
information and data. The year 2013 brings<br />
new ramifications, as employees have come<br />
to expect easy access to corporate resources<br />
from any device, anywhere at any time. With<br />
corporate content often shared across users<br />
and in the cloud, IT departments may find<br />
it hard to keep control. As mobile access is<br />
becoming increasingly business-critical, IT<br />
departments in companies across EMEA<br />
are challenged to securely deploy content to<br />
mobile devices, to enable collaboration and to<br />
prevent data loss and leakage.<br />
Business challenges<br />
During the past few years I have seen the<br />
first generation of mobile natives enter<br />
the workforce. A new set of business<br />
challenges emerged, as mobile workers<br />
increasingly utilise widely available and<br />
free cloud file sharing services to distribute<br />
corporate documents, potentially risking<br />
data loss and leakage. Challenges exist also<br />
in the proliferation of personal accounts<br />
used for business, the rapid adoption of<br />
mobile devices and file sharing apps, and<br />
employee-owned devices with access to<br />
corporate content.<br />
In the cloud-collaboration space, users are<br />
very often ahead of IT. When employees<br />
started to collaborate online, they introduced<br />
basic, consumer-grade cloud storage solutions<br />
that do not normally offer the data protection<br />
or enterprise control capabilities businesses<br />
require into the workplace, as alternatives<br />
were not readily available. Today, Enterprise<br />
Mobility Management (EMM) solutions<br />
provide content management security and<br />
protection alongside wider mobility support<br />
to help businesses prevent leakage and theft<br />
and enable the distribution and sharing of<br />
corporate information while ensuring that it<br />
remains secure.<br />
38 • EMEA 2013
Secure content distribution<br />
The role of mobile content management<br />
across industries<br />
The uptake of mobile devices varies across<br />
countries, industries and job roles. While<br />
sharing content on tablets and mobile phones<br />
may not be suitable for everyone, many have<br />
seen great benefits:<br />
Aviation: This is an example of an<br />
industry where tablets have completely<br />
transformed customer experience and the<br />
work environment. Air France now offers<br />
customers the possibility to download digital<br />
versions of newspapers on their mobile<br />
devices on the day of their trip1, and KLM<br />
and Air France have recently announced the<br />
launch of inflight Wi-Fi2.<br />
Aircraft operators also utilise Electronic<br />
Flight Bags (EFBs) to streamline updates<br />
to their flight manuals. Instead of providing<br />
paper copies of manuals that had to be<br />
reprinted every two weeks, digital content can<br />
be stored on tablets and updated with ease.<br />
With a conventional flight bag containing an<br />
average of 12,000 sheets of paper per pilot,<br />
EFBs offer significant green benefits by<br />
reducing paper use and, through decreased<br />
weight, reducing fuel consumption. Having<br />
switched to EFBs, one airline expects to save<br />
nearly 16 million sheets of paper a year and<br />
326,000 gallons of jet fuel.3 By abolishing<br />
heavy 40-pound flight bags in favour of<br />
EFBs, airlines have also been able to address<br />
back injuries, a health and safety issue not<br />
uncommon among pilots. As EFBs are<br />
subject to stringent compliance and security<br />
measures to ensure passenger safety and<br />
protect sensitive data, a suitable enterprise<br />
mobility management solution is critical.<br />
Education: Tablet devices are changing the<br />
modern classroom, and schools see better<br />
engagement from students and increased<br />
relevancy of the instructional materials from<br />
eLearning, as videos, presentations and<br />
eBooks become readily accessible. Bringyour-own-device<br />
(BYOD) schemes that<br />
allow pupils to access teaching material on<br />
their own mobile devices are becoming more<br />
important to schools and universities, with 67<br />
per cent of UK schools currently considering<br />
BYOD important, up from 52 per cent in<br />
2012.4 To ensure that pupils have access to<br />
required classroom content, remain secure<br />
and not access unsuitable content, schools<br />
and universities utilise device and content<br />
management systems that enable them to<br />
restrict access to inappropriate websites<br />
as well as push relevant study material to<br />
devices in specified classrooms only.<br />
Healthcare: Healthcare providers across<br />
Europe are under increasing pressure to<br />
realise cost savings and improve patient<br />
care, which lead to this industry seeing rapid<br />
uptake of mobile devices. Health workers<br />
can access patient information on-the-go,<br />
eliminating the need to go into the practice<br />
before being able to see patients. Mobile<br />
devices are streamlining work processes,<br />
with doctors and nurses having information<br />
about a patient immediately available on their<br />
tablets, eliminating the need for a computer<br />
or paper chart. A lot of work is now done<br />
exclusively on tablets. Patient information<br />
is accessed through mobile devices that are<br />
shared across shifts and can travel anywhere<br />
and healthcare privacy laws requiring data<br />
security become increasingly important.<br />
Mobile device and content management<br />
solutions that enable shared device ownership<br />
ensure that patient data is only accessible to<br />
the appropriate healthcare individual.<br />
Field Sales: This is an area where tablets<br />
will ultimately take over and laptops will<br />
be phased out as companies update their PC<br />
inventory. Field sales teams will do sales<br />
presentations on mobile devices and access<br />
corporate content such as brochures and<br />
pricing information through these. With<br />
content managed centrally, any additional<br />
information a prospect or client may require<br />
can be pushed to the individual device<br />
immediately, providing the sales executive<br />
will any content required.<br />
Integration with existing infrastructure<br />
ensures simplicity<br />
The influx of mobile devices in enterprises<br />
has, to a large extent, been user driven and<br />
users have determined which solution is<br />
being used, without the enterprise taking cost,<br />
architecture, security, audit-ability or logging<br />
of activities into account. Professional<br />
procurement of content management<br />
solutions, with distinct prerequisites,<br />
regulatory and integration requirements is<br />
only now starting to emerge.<br />
Through integrated, secure content<br />
repositories, businesses are able to control not<br />
only content but also the geographic location<br />
the content is enabled for - only in proximity<br />
to the office for example, the tools that can<br />
be used to open and read content, and the<br />
rights and permissions around the content,<br />
limiting which content can be printed, edited<br />
or forwarded. To prevent leakage of corporate<br />
data and ensure that devices read contents<br />
securely, organisations can use network<br />
directory credentials for subscription access<br />
control lists to enable EMM integration<br />
with corporate repository services such as<br />
SharePoint or encrypted file share drives such<br />
as Amazon drives.<br />
The importance of user experience<br />
Enterprise-grade content management<br />
solutions need to be user-friendly and<br />
non-invasive if they are to successfully<br />
replace consumer-grade solutions in the<br />
enterprise. A hybrid approach where storage<br />
is a combination of internal and external<br />
storage can, for example, allow for the most<br />
flexibility. It enables companies to share<br />
content with their own employees through<br />
secure mobile access to SharePoint or File<br />
servers and allow employees to utilise<br />
personal storage areas, utilising third party<br />
repositories in cases where companies don’t<br />
have sufficient internal storage capacity.<br />
Cost ramifications of unmanaged content<br />
management solutions<br />
Collaboration is one of the two main factors<br />
in the content management space, the second<br />
one, which many businesses are not taking<br />
into account, is cost management. The cost<br />
ramifications of synchronising gigabytes of<br />
files are often overlooked. While data plans<br />
may be fairly generous in some countries,<br />
they can become a major cost factor when<br />
employees are using mobile devices while<br />
travelling across EMEA, or are using BYOD<br />
devices. Companies that sign employees up<br />
to automatically receive digital content but<br />
don’t limit content from downloading while<br />
roaming may face major cost implications.<br />
Cost control is a main control factor<br />
companies need to take into account and<br />
chosen enterprise mobility management<br />
solutions need to be able to facilitate this<br />
granular level of control. •<br />
EMEA 2013 • 39
Mobile security<br />
Cutting mobile content risks<br />
by Kees Van Veenendaal, VP and General Manager of EMEA, MobileIron<br />
The old model for content security - heavy containerization - protected data by separating it<br />
from other data and blocking unauthorized apps or users, but users did not like the experience.<br />
People that buy an iPhone or Android device do not want to flip between enterprise and<br />
personal screens and use third-party apps instead of the native experience they love. This<br />
compromises productivity and creates security risks as employees develop workarounds.<br />
Targeted containerization secures enterprise content within the native experience.<br />
Kees van Veenendaal is the VP and General Manager of EMEA at MobileIron; hebrings more than 25 years of experience throughout<br />
EMEA, the Americas and APAC to his role.<br />
Prior joining MobileIron, Mr van Veenendaal was Vice President <strong>World</strong>wide Sales for Trapeze Networks; Vice President of EMEA sales<br />
at Extreme Networks; and Managing Director of US Robotics Benelux. Mr van Veenendaal also held senior European management roles<br />
at Gandalf, Digital Communications Associates.<br />
Kees van Veenendaal has an MBA from Universiteit Nyenrode, the Netherlands.<br />
Mobile technology is driving a massive<br />
shift in the ability of IT departments to truly<br />
support the way people want to work. Across<br />
Europe, we see companies becoming Mobile<br />
First organizations, embracing mobility as<br />
a primary computing platform in order to<br />
transform their businesses and increase their<br />
competitiveness. A mobile deployment used<br />
to mean the company issued 200 BlackBerrys<br />
to executives. Now, it means that every<br />
employee in an organization is using mobile<br />
apps and accessing corporate content via a<br />
mobile device that may or may not be owned<br />
by the company.<br />
The result is that people expect to be able<br />
to access the corporate content they need on<br />
any device at any time. However, as soon as<br />
you put email on a mobile device you risk<br />
losing enterprise content. Email attachments<br />
can be forwarded or uploaded to a consumer<br />
cloud storage service. Content can be cut and<br />
pasted from one email account to another.<br />
Apps introduce additional security risks. Data<br />
moving between an app and the corporate<br />
network is vulnerable to man-in-the-middle<br />
attacks via rogue Wi-Fi hotspots. App data<br />
stored on the mobile device could be accessed<br />
by a malicious app a user inadvertently<br />
installed. Securing mobile content presents<br />
several distinct challenges.<br />
Mobile Content Security Challenges<br />
Mobile devices are consumer devices not<br />
corporate devices<br />
In the days of old mobile, everyone<br />
was issued BlackBerrys because the IT<br />
department could lock them down. That’s<br />
not possible with the new mobile operating<br />
systems. Now, mobile devices are no longer<br />
issued by IT. People who love using their<br />
smartphones and tablets in their personal<br />
lives bring them to work. Then the Mobile<br />
IT team needs to figure out how to secure<br />
corporate content without compromising the<br />
employee’s privacy in terms of their personal<br />
content. Regardless of whether the mobile<br />
device is owned by the employee or the<br />
company, most devices will be used for both<br />
personal and professional use.<br />
Mobile devices store large amounts of data in<br />
small, easy to lose packages<br />
Storage capacity is growing, and, in addition,<br />
most Android devices have removable SD<br />
cards. Content is stored in email attachments<br />
and in mobile apps. And all of it is in a small<br />
device that is easily lost or stolen. Enterprises<br />
need to be able to ensure the security of dataat-rest<br />
on the device.<br />
Mobile devices are hyper-connected<br />
Apple devices have iCloud and any device<br />
can connect to file-sharing services, such<br />
as Dropbox. This makes it very easy for an<br />
40 • EMEA 2013
25 – 26 March 2014<br />
Bangkok, Thailand<br />
2014<br />
www.terrapinn.com/carriersasiaops<br />
Asia’s leading conference for carriers<br />
"A great opportunity to discuss<br />
and share experience with<br />
professionals from across the<br />
region.”<br />
Dr. Wongkot Vijacksungsithi | VP |<br />
Corporate Strategy Department | CAT<br />
Telecom<br />
"Carriers <strong>World</strong> Asia 2013 was<br />
an excellent opportunity to meet<br />
senior representatives from the<br />
industry, and discuss the issues<br />
and challenges we are all facing.”<br />
Sergio Salvador | Head of Strategic<br />
Partnerships | Southeast Asia | Google<br />
“It was a world class event<br />
linking Asia to the world. I have<br />
enjoyed sharing ideas with<br />
the peers at the same time<br />
meeting business partners.”<br />
Anoloth Phanvongsa | CIO | Beeline Laos<br />
Carriers <strong>World</strong> Asia is the region’s leading telco event for the past 15 years, where mobile operators,<br />
carriers, government authorities, international leading consultants and solutions providers discuss growth<br />
opportunities, new investment strategies, and service innovation. If you would like to meet over 200 decision<br />
makers from Asia’s carriers community, join us at the 16th annual Carriers <strong>World</strong> Asia 2014.<br />
Here are just some lead-generation opportunities for you to heighten your profile:<br />
KEYNOTE DELIVERY<br />
INTERACTIVE ROUNDTABLE<br />
DISCUSSIONS<br />
NETWORKING OPPORTUNITIES<br />
CLOSING PLENARY<br />
1-2-1<br />
partnering<br />
Cocktail<br />
Party<br />
Speed<br />
networking<br />
You can be part of various lead generation activities. Contact Ms. Sophia Ku at +65 6322 2720 or<br />
sophia.ku@terrapinn.com for the latest participation options.
Mobile security<br />
employee to move data to clouds outside<br />
enterprise control. Mobile devices are also<br />
constantly connecting to any available<br />
network, private or public whether or not it<br />
is trusted. As a result, data moving between<br />
a device and the corporate network is<br />
vulnerable to man-in-the-middle attacks via<br />
rogue Wi-Fi hotspots. Mobile IT needs to be<br />
able to secure data-in-motion as it travels to<br />
and from the device.<br />
Lockdown will fail<br />
Mobile devices should never be locked down<br />
like laptops because lockdown fundamentally<br />
damages the user experience impeding<br />
productivity and impairing adoption. The<br />
core tenet of successful mobile deployments<br />
is the preservation of user experience. A<br />
mobile program will not be sustainable<br />
if user experience is compromised when<br />
employees start using their personal devices<br />
for corporate email and apps.<br />
Every computing deployment, whether<br />
mobile or not, carries some risk of content<br />
loss. With mobile, there are several best<br />
practices which organizations follow to<br />
mitigate this risk to the point that it is<br />
acceptable given the positive business value<br />
of mobile.<br />
Best Practices for Securing Mobile Content<br />
Email attachments are the primary source<br />
of enterprise documents on mobile devices.<br />
Mobile IT’s challenge is to give users access<br />
to business email on their mobile devices<br />
while ensuring those users cannot save<br />
business email attachments to apps or clouds<br />
outside IT security controls. The security<br />
challenge of mobility for the enterprise is<br />
that this one-click sharing of information<br />
from the device to external services is<br />
simple and frequent. A business email<br />
attachment can quickly end up in Dropbox<br />
without any malicious intent or even effort<br />
on the part of the user.<br />
Ensure every device is under management<br />
Every device needs to be connected to<br />
a Mobile IT platform that can secure<br />
and manage the device, the apps, and<br />
the content. If the user deactivates or<br />
removes the management client from the<br />
device, that will trigger a policy violation<br />
in the system. The system should be<br />
configured to immediate block the device<br />
and the apps on it from accessing the<br />
corporate network.<br />
Monitor the operating system<br />
When a device’s operating system is<br />
jailbroken or rooted the established data<br />
security measures are no longer reliable.<br />
Therefore, automated rules should<br />
immediately quarantine the device, remove<br />
corporate data, and notify the administrator.<br />
Companies should also determine what<br />
versions of an operating system they are<br />
willing to support. Devices running on<br />
the latest version will be up-to-date with<br />
all available security patches while older<br />
versions will not.<br />
Set and enforce passcode policy and<br />
encryption: Passcode enforcement prevents<br />
unauthorized access to the device. Companies<br />
should also implement an auto-wipe policy<br />
that wipes the device completely after<br />
a predefined number of failed password<br />
attempts. This minimizes the risk of brute<br />
force attacks on lost or stolen devices.<br />
Protect email and attachments<br />
Restricting email forwarding prevents<br />
corporate email from being forwarded<br />
through the user’s personal email account on<br />
the device. It also prevents emails from being<br />
moved by the user from a corporate inbox to<br />
a personal inbox. Companies also need to be<br />
able to restrict the ability to use third-party<br />
file readers or document management apps to<br />
open email attachments. When an attachment<br />
is opened in one of these apps, it can be<br />
saved or distributed completely without<br />
the knowledge of IT. As a result, email<br />
attachments are the biggest risk of mobile<br />
data loss.<br />
Establish identity<br />
Especially in BYOD initiatives, user and<br />
device identity must be strongly established.<br />
Securing email, Wi-Fi, and VPN access<br />
using certificates protects identity and<br />
also improves the user experience since<br />
certificates provide complex credentials<br />
automatically.<br />
Define the role of iCloud<br />
In a well-designed corporate deployment,<br />
iCloud will not increase the risk of data loss.<br />
iCloud does not back up any email or PIM<br />
content that comes from corporate sources<br />
such as Exchange or Notes. iCloud also does<br />
not back up encrypted data, which means data<br />
from apps that use iOS Data Protection will<br />
not be stored in iCloud.<br />
Blacklist known threats<br />
The mobile app landscape moves quickly<br />
but most organizations have identified a set<br />
of file readers or other apps that they do not<br />
trust. These apps should be blacklisted so that<br />
if an employee downloads a blacklisted app,<br />
a remediation action will be automatically<br />
triggered. This action could range from a<br />
simple non-compliance SMS notification to a<br />
full device quarantine which strips the device<br />
of all enterprise email, apps, connectivity, and<br />
settings until the threat is removed.<br />
Conclusion<br />
The old model for content security was<br />
‘heavy containerization’. A container is set of<br />
protected data. This data is separated from all<br />
other data on the device and is protected from<br />
unauthorized apps or users.<br />
In the first generation of enterprise mobility,<br />
all business data and associated apps were<br />
segregated into monolithic, email-based<br />
containers. While this protected business<br />
data, it forced users into an experience they<br />
did not like.<br />
People buy an iPhone, iPad or Android<br />
device because they love the user<br />
experience that was developed specifically<br />
for that device. When they use that<br />
device at work they want to be able to<br />
have that same experience. The heavy<br />
containerization approach forces people<br />
to flip between enterprise and personal<br />
screens on their device or requires they<br />
use a third-party email app instead of the<br />
native experience they love. Not only do<br />
these approaches compromise productivity<br />
but they create security risks as employees<br />
figure out workarounds.<br />
In the new generation of enterprise<br />
mobility, user experience is core and the<br />
new answer is ‘targeted containerization,’<br />
securing the enterprise content within the<br />
native experience and leaving the personal<br />
content untouched. Mobile First companies<br />
know that mobile access to corporate<br />
content is critical and their vision is that<br />
employees can work the way they want to,<br />
on the device of their choice, with the apps<br />
that they love, and access to the content<br />
they need, all in a secure environment. •<br />
42 • EMEA 2013
Ultra HD TV<br />
Ultra HD TV - real quality<br />
by Ian Trow, Senior Director of Emerging Technology and Strategy, Harmonic<br />
Ultra HD is an important opportunity for the broadcast television industry. There are significant<br />
hurdles concerning interfacing, format standardization, and bandwidth requirements, but<br />
solutions exist. Cost-effective deployment of services at lower resolutions is needed for<br />
services such as OTT HD, since costs are a major problem for broadcasters in a multi-screen<br />
world. Repurposing HD and cinema derived content is crucial to providing an exciting Ultra<br />
HD experience in the home environment and offer applications like movie download at<br />
resolutions beyond HD.<br />
Ian Trow is the Senior Director for Emerging Technology & Strategy at Harmonic; he has over 20 years of systems and design experience<br />
in High Definition and MPEG video products. Prior to Harmonic, Mr Tow’s worked at Thomson as Director of Compression Technology<br />
and at Envivio (VP of Technology & Marketing). Mr Trow also served at Tandberg Television as Engineering Group Manager and, later,<br />
as its Segment and Product Manager for satellite, terrestrial and IP delivery of compressed material. Before Tandberg, he was a design<br />
engineer at Snell & Wilcox and Sony Broadcast.<br />
Ian Trow obtained a B.Sc in Electronic Engineering from the University of Sussex and is Cisco CCNP & CCDA qualified.<br />
Since the introduction of television in<br />
1925, the user experience has dramatically<br />
changed. Aside from the resolution<br />
increasing, television has evolved in such<br />
a way that consumers can now watch highquality<br />
video content on a wide range of<br />
devices, including TVs, PCs, tablets, and<br />
smartphones. Some second-screen devices,<br />
like tablets, feature Retina® displays with<br />
a high enough pixel density that the human<br />
eye is unable to discern pixelation at a<br />
typical viewing distance.<br />
As consumer demand for a superior video<br />
quality increases, a new resolution format<br />
called Ultra High Definition Television<br />
(Ultra HD) promises to further optimize<br />
the television viewing experience, bringing<br />
cinema like clarity to the home television<br />
viewer. This article provides a detailed<br />
overview of the Ultra HD format, including<br />
the broadcast workflow, compression<br />
techniques, and other necessary steps that<br />
need to be accomplished in order to achieve<br />
widespread consumer adoption.<br />
What is Ultra HD<br />
Ultra HD is a new digital video format<br />
proposed by NHK Science & Technology<br />
Research Laboratories and defined<br />
and approved by the International<br />
Telecommunication Union (ITU). The Ultra<br />
HD format presents native video at two<br />
resolutions (See Figure 1.). In this article we<br />
shall limit discussion to the lower resolution<br />
of 3840 x 2160 pixels. This is a massive<br />
improvement in quality over the current HD<br />
format (1920 x 1080) and just a step below<br />
what is currently being offered by digital<br />
cinema 4K (4096 x 2160).<br />
The Ultra HD Workflow<br />
The Ultra HD workflow is extremely<br />
complex. This is due to three main factors.<br />
Broadcast involves high-bandwidth realtime<br />
transfer throughout the chain. Content<br />
EMEA 2013 • 43
Ultra HD TV<br />
is derived from a variety of ingest sources<br />
as well as consisting of both national and<br />
regional feeds. Lastly, even though the<br />
highlighted workflow relates to Ultra HD,<br />
television provision has to increasingly<br />
cater for an ever expanding number of<br />
multiscreen options.<br />
It is likely that in the interest of time<br />
broadcasters will provision their production<br />
environment for Ultra HD in the same way<br />
that most production facilities currently<br />
do for HD. To cater for resolutions lower<br />
than Ultra HD, transcoding the original<br />
broadcast content in a cost-effective manner<br />
is critical for broadcasters to maintain a<br />
healthy margin. While this article discusses<br />
the impact of Ultra HD and advocates<br />
the use of HEVC, such a compression<br />
scheme is equally applicable to the need for<br />
compression efficiency in multiscreen all the<br />
way up to OTT delivery. Many of<br />
the challenges a broadcaster faces<br />
when trying to establish an Ultra<br />
HD channel are easier to solve in<br />
a multiscreen environment. This<br />
is because there is often little<br />
legacy STB or PVR provision<br />
associated with multiscreen.<br />
Multiscreen playback relies on<br />
software running on standard<br />
platforms that can be quickly<br />
repurposed for new compression<br />
strategies like HEVC.<br />
HEVC: Enabling Broadcasters to<br />
Support Ultra HD<br />
A major concern for broadcasters and<br />
content providers is how to deliver<br />
high-bandwidth services like Ultra HD,<br />
specifically for catch-up TV. A new video<br />
compression standard called High Efficiency<br />
Video Coding (HEVC) provides the answer.<br />
HEVC significantly improves upon the<br />
current compression standard H.264 also<br />
known as MPEG-4 AVC (Advanced Video<br />
Coding) by reducing the data rate needed for<br />
high-quality video coding by approximately<br />
50 percent. This enables broadcasters to<br />
deliver higher-quality services like Ultra HD<br />
using the same amount of bandwidth. (See<br />
Figures 2, 3, and 4.)<br />
HEVC uses larger block sizes, enabling<br />
more efficient coding of large images,<br />
especially of regions with few changes<br />
in the picture content. This is extremely<br />
beneficial for applications like Ultra HD.<br />
Improved Intra-frame prediction allows<br />
better prediction of pixels by exploiting<br />
redundancy within the current frame.<br />
By offering more prediction directions<br />
than AVC, HEVC allows for a more<br />
sophisticated way of predicting and coding<br />
the intra mode selected.<br />
HEVC also addresses other issues, such as<br />
banding, which won’t be discussed in great<br />
detail in this article. However, it is important<br />
to note that HEVC may include support<br />
for multi-view video coding or stereo 3D<br />
video in the future. This, combined with<br />
scalable video coding, allows a video<br />
stream, sequence, or image to be represented<br />
in multiple ways and formats. In other<br />
words, content can be prepared in different<br />
resolutions, screen characteristics, frame<br />
or bit rates, for viewing on multiscreen<br />
devices, all while retaining a high level of<br />
coding efficiency. With consumer demand<br />
for multiscreen services rapidly increasing,<br />
this will be important feature of HEVC.<br />
Ultra HD and Multiscreen<br />
While Ultra HD brings prestige to the<br />
television screen, the real challenge is cost<br />
effective delivery in multiple playout and<br />
delivery scenarios, enabling increased<br />
opportunities for targeted advertising.<br />
The MPEG DASH standard will allow<br />
content delivery operators to deliver<br />
Internet services, including Ultra HD,<br />
while containing the CAPEX and OPEX<br />
associated with multiscreen delivery.<br />
DASH provides operators with a universal<br />
HTTP delivery format to cost-effectively<br />
scale adaptive streams to any connected<br />
device using a common encryption<br />
technology with one master key. Utilizing<br />
a single encryption standard, content is<br />
encrypted once and streamed to clients<br />
that support various digital rights<br />
management (DRM) systems. Each client<br />
receives a set of decryption keys and<br />
other necessary information using its<br />
specific DRM system, which is signaled<br />
in the DASH protocol, and then has<br />
the capability to stream the commonly<br />
encrypted content from the same server.<br />
DASH can be implemented across all<br />
content delivery vehicles – broadcast,<br />
mobile, interactive television, and the<br />
Internet – while providing interoperability<br />
between all DASH profiles and connected<br />
devices. As Ultra HD content makes its way<br />
onto multiple consumer devices, DASH will<br />
be a critical enabling technology.<br />
Applications and Consumer Adoption<br />
HD took nearly a decade to mature;<br />
therefore, Ultra HD will likely be a gradual<br />
process before becoming a worldwide<br />
broadcast format. When HD was first<br />
introduced, there was relatively little<br />
content. A lot of content was upconverted<br />
from SD. A move to Ultra HD requires an<br />
even greater stretch to allow HD<br />
content to be repurposed.<br />
It’s expected that Ultra HD will<br />
first take off in the production<br />
environment for applications<br />
like sports, where there’s a huge<br />
drive to achieve higher quality<br />
for major events like the <strong>World</strong><br />
Cup. Ultra HD allows the use of<br />
advanced slow-motion and pan<br />
and scan techniques to capture<br />
high-quality live and replay<br />
content, which will greatly<br />
enhance sporting event coverage.<br />
Ultra HD also has massive appeal in the<br />
download market, where industry giants like<br />
Netflix and YouTube are already encoding<br />
their files using HEVC to support Ultra HD<br />
for cinematic 4K releases.<br />
Before Ultra HD achieves mass adoption,<br />
work needs to be done on the consumer<br />
front. Current HDMI interfaces only support<br />
resolutions up to 1080p at 50Hz and 60Hz.<br />
Without a further iteration of the HDMI<br />
standard any move toward Ultra HD will<br />
be temporally hindered, unless the user is<br />
prepared to use dual synchronized HDMI<br />
connection into televisions. This approach is<br />
unlikely to appear on consumer equipment,<br />
although it is interesting to note that this<br />
approach has been adopted on 4K cameras<br />
where four HDMI synchronized connections<br />
are used to sustain the bandwidth required<br />
for baseband 4K video.<br />
HDMI does have competition, namely<br />
HDBaseT, an Ethernet-based standard using<br />
Cat 5e connectors with major manufacturer<br />
backing from the likes of Sony, Samsung,<br />
44 • EMEA 2013
Ultra HD TV<br />
and LG as well as Thunderbolt, commonly<br />
available on Apple devices. For Ultra HD<br />
to be a genuine successor to HD, consumer<br />
interface standards will need to evolve<br />
to support the data rates needed for Ultra<br />
HD at a minimum of 50 Hz and 60 Hz<br />
for broadcast and 100 Hz and 120 Hz for<br />
premium download applications.<br />
SES ASTRA: An Ultra HD Real-<strong>World</strong><br />
Case Study<br />
While work remains to be done on the<br />
consumer front, the satellite industry has<br />
already been successful at transmitting<br />
Ultra HD content. SES recently partnered<br />
with Harmonic and Broadcom Corporation<br />
to pioneer the first Ultra HD transmission<br />
in the new HEVC standard live from an<br />
ASTRA satellite at 19.2 degrees East.<br />
The end-to-end demonstration was<br />
powered by advanced HEVC transcoding<br />
(ProMedia Express) from Harmonic<br />
and an HEVC decoder from Broadcom<br />
for receiving HEVC encoded Ultra-HD<br />
television transmissions. The signal was<br />
broadcast in DVB-S2 using a data rate of<br />
20 Mbit/s, proving that the HEVC format<br />
is able to support Ultra HD content at<br />
manageable bitrates.<br />
This demonstration marked the first time<br />
that a full 3840 x 2160 pixel Ultra HD<br />
picture was broadcast live using HEVC<br />
compression. Previous demonstrations<br />
were broadcast in H.264 often using<br />
four HD encoders in parallel which<br />
introduces motion estimation and<br />
synchronization issues in the final decoded<br />
and reassembled picture. While Ultra HD<br />
delivery to consumer homes may still<br />
be a bit in the future, the demonstration<br />
iilustrates to broadcasters the potential for<br />
Ultra HD services.<br />
Conclusion<br />
Ultra HD is an exciting opportunity for<br />
the broadcast television industry. While<br />
there exist significant hurdles concerning<br />
interfacing, format standardization, and<br />
bandwidth requirements, solutions exist that<br />
will allow such services to launch within the<br />
next few years.<br />
Understanding the likely workflow<br />
associated with Ultra HD will aid the costeffective<br />
deployment of services at lower<br />
resolutions, for example OTT HD delivery.<br />
This is vital for broadcasters to improve<br />
their margins. CAPEX and OPEX have been<br />
an increasing problem for broadcasters in a<br />
multiscreen world.<br />
Native Ultra HD content is the ideal for a<br />
broadcast service, but this expectation will<br />
be seldom met with initial service launches.<br />
Understanding how to repurpose HD and<br />
cinema derived content will be crucial if<br />
Ultra HD sets are to deliver the wow factor<br />
in the home environment and open up<br />
parallel applications like movie download at<br />
resolutions beyond HD.<br />
The prospect of Ultra HD will further<br />
narrow the perception of a scene portrayed<br />
by television being indistinguishable<br />
from the live event, further immersing the<br />
viewer and enhancing the perception of<br />
broadcast television. •<br />
<strong>Connect</strong>-<strong>World</strong> now on<br />
Facebook & Twitter<br />
<strong>Connect</strong>-<strong>World</strong>, the world’s<br />
foremost discussion forum for<br />
leaders in the ICT industry, is now<br />
available on Facebook and Twitter.<br />
The world’s top ICT decision<br />
makers express their opinions in<br />
<strong>Connect</strong>-<strong>World</strong>. They use clear,<br />
non-technical, English to discuss<br />
how ICT helps shape regional<br />
and global development. The<br />
articles essentially examine the<br />
influence that ICT products and<br />
services have on the way people<br />
live and do business. With<br />
separate editions for each of<br />
the world’s regions, the reports<br />
highlight the most important ICT<br />
trends and issues influencing<br />
socio-economic growth.<br />
<strong>Connect</strong>-<strong>World</strong> is now available<br />
to follow on Twitter (http://twitter.<br />
com/#!/<strong>Connect</strong><strong>World</strong>ICT) and<br />
Facebook http://www.facebook.<br />
com/connectworld.ict<br />
Also, it is still possible, for FREE,<br />
to directly access all past and<br />
present <strong>Connect</strong>-<strong>World</strong> articles,<br />
ICT Industry press releases,<br />
eLetters, ICT News and more at<br />
www.connect-world.com.<br />
EMEA 2013 • 45
Bandwidth<br />
Conquering through copper - delivering content<br />
wherever needed<br />
by Lee Palmer, Commercial Director, The Kenton Group<br />
With the growing demand for bandwidth to deliver the content today’s users require, especially<br />
given the growth in mobile device ownership and bandwidth-hungry applications. So there<br />
is a growing concern of a crunch in the future. Dealing with a crunch means choosing the<br />
most effective medium will be the key to operator success. Fibre will always be the number<br />
one choice, but copper is everywhere, inexpensive and inherently reliable, but for the last<br />
mile copper is here and available now.<br />
Lee Palmer is the Commercial Director of The Kenton Group. He has more than 20 years of sales experience in senior roles: at Jtec, he<br />
served as EMEA Sales Director; at 3Com as Business Development Manager for the CommWorks division; ad at RAD /Axerra where he<br />
held the position of Carrier Business Development Manager and Sales Director.<br />
The perpetual demand for ever increasing<br />
bandwidth and capacity on the world’s<br />
telecom networks continues year after year.<br />
This growth is driven by the increasing use<br />
of mobile-connected devices such as tablets,<br />
Smartphones, laptops and smart TVs, to name<br />
a few. High-definition video and streamed<br />
content on consumer devices is on the rise,<br />
and there is no sign of this growth slowing<br />
anytime soon.<br />
There is a growing concern surrounding a<br />
future ‘capacity crunch’, where the ability<br />
to deliver capacity will be outstripped by<br />
demand. Each year new devices, increased<br />
capabilities and intelligence are being<br />
introduced in the market, with the number<br />
of mobile-connected devices set to exceed<br />
the number of people on earth by the end<br />
of 2013, reaching ten billion by 2016i.<br />
Regionally, Western Europe is going to have<br />
one of the fastest growth rates in mobile<br />
devices and connections with a 13 per cent<br />
and ten per cent compound annual growth<br />
rate from 2012 to 2017 respectively. By<br />
2017, the Middle East and Africa will have<br />
the strongest mobile data traffic growth of<br />
any region at 77 per cent compound annual<br />
growth rateii. These stats alone highlight the<br />
need for higher bandwidth – if we ignore the<br />
signals we will put increasing pressure on the<br />
networks, which may already be at risk of<br />
crashing in the next 20 years.<br />
As content increases, bandwidth needs to<br />
expand<br />
In order to stream high value content - TV,<br />
video, games or otherwise – uninterrupted,<br />
with zero buffering, more bandwidth is<br />
needed. Most cities and new commercial or<br />
residential developments are well connected<br />
as fibre infrastructure is now the de facto<br />
standard for connectivity, this means people<br />
can effectively use the myriad of IP services<br />
and more importantly, have the content they<br />
require delivered over a high speed medium.<br />
Fibre delivers unbeatable speeds and is as<br />
future proof as a technology can be. Fibre<br />
delivery reduces cost for deployment in areas<br />
where the population is higher. In fact fibre<br />
is now moving into the LAN environment<br />
with many corporates using Fibre to the Desk<br />
(FTTD) in buildings, by utilising GPON in<br />
the architecture, as it can reduce capital and<br />
operational costs by up to 70 per cent. This<br />
up and coming technology is called FiberLan<br />
46 • EMEA 2013
Bandwidth<br />
and will have the ability to deliver high speed<br />
content to the desk.<br />
While areas across EMEA, such as the<br />
big cities and urban areas of Scandinavia,<br />
England and France, are well served by<br />
carriers and already have superfast coverage<br />
(well above average at 65 per cent or more)<br />
iii, the suburbs and rural areas suffer.<br />
In rural areas it is significantly more<br />
expensive to deploy fibre as the civil works<br />
are such a big part of the deployment.<br />
Rural areas are suffering from well below<br />
average superfast coverage (under 35 per<br />
cent) in three of the biggest countries in<br />
Europe – Italy, France and the UKiv. This<br />
is unsurprising due to cost implications<br />
and means both business and residential<br />
customers in these areas are disadvantaged.<br />
They require higher levels of speed and<br />
service, but the service providers cannot<br />
support this without having to deploy new<br />
infrastructure. The costs associated with<br />
fibre installations are high and need to be<br />
divided over the number of customers served<br />
by the network and as such, costs become<br />
increasingly expensive as the number of<br />
customers served decreases.<br />
Other superfast technologies have been<br />
created and merged with the three main<br />
technologies to cover 70 per cent of<br />
Europe - Docsis 3 cable (Data over Cable<br />
Service Interface Specification Version 3),<br />
VDSL (Very-high-speed Digital Subscriber<br />
Line) and FTTP (Fibre to the Premises).<br />
However, because of overlaps of these<br />
technologies, they reach barely 50 per cent<br />
of householdsv. Mapping by broadband<br />
analyst Point Topic, reveals how much<br />
larger the digital divide is in rural areas,<br />
particularly where superfast broadband is<br />
concerned. 78 per cent of rural EU homes<br />
have access to standard broadband but only<br />
12 per cent - five million - have superfast<br />
broadband available. Therefore, 35 million<br />
of the 40 million rural homes in Europe are<br />
waiting for superfast broadband to arrive.<br />
Today’s technologies are very much built<br />
into everyday life and so digital deprivation<br />
can rightly be considered alongside more<br />
traditional social deprivations, such as low<br />
income, unemployment or poor education.<br />
Access to broadband brings great benefits<br />
to rural areas, improving quality of life<br />
through increased access to things like<br />
government services, e-learning, commerce<br />
and social interaction. Many of these<br />
services are delivered through video or<br />
VoIP and should be delivered effectively<br />
without interruption or buffering, and so<br />
bandwidth needs to increase.<br />
Delivering the solution<br />
It’s important to have the ability to deliver<br />
content wherever it is needed, regardless<br />
of location. Despite all the recent attention<br />
given to FTTH where cities and developing<br />
towns are benefitting from new superfast<br />
networks, it has reached only 12 per cent of<br />
Europe’s homesvi and the average take rate<br />
across MENA is only 33 per centvii. This<br />
shows that users only ‘pay’ for the bandwidth<br />
they require to receive the content they<br />
demand. The solution for rural areas is much<br />
more complex but this should be an area for<br />
carriers to focus on, improving the amount<br />
of bandwidth they can squeeze out of copper<br />
through new technological advancements to<br />
deliver what the customer needs not what he<br />
perceives he needs. For the carrier and service<br />
providers it’s about maximising existing<br />
assets to enable content delivery.<br />
For example, using innovative technologies<br />
to enhance the performance of existing<br />
copper-based networks, providers can<br />
extend the reach of broadband access<br />
lines and maximise usage on the existing<br />
infrastructure. By utilising technologies<br />
such as FTTX, VDSL, EFM bonding and<br />
even ADSL bonding, broadband reach can<br />
be extended and speeds can be increased.<br />
Utilisation of these new technologies makes<br />
it possible to achieve speeds of 10Mb,<br />
20Mb and higher. One such technology<br />
BET (Broadband Enabling Technology),<br />
extends broadband service to 12Km from the<br />
exchange and allows an improved service<br />
level to be provided to so-called ‘notspots’<br />
beyond a local telephone exchange’s<br />
normal limit of around 5km. Although not<br />
considered Superfast Broadband it enables<br />
uninterrupted gaming or video streaming<br />
content to the user.<br />
BET has been successfully deployed in the<br />
UK and, by using one or two pair copper<br />
cables, enables users to receive the same<br />
level of service as other broadband users<br />
positioned closer to an exchange. Broadband<br />
Regenerator (BBR) technology has also<br />
just been released to effectively boost the<br />
broadband speeds at the edge of the network,<br />
where users have ‘broadband’ but at relatively<br />
low speeds, say ½ Mb. BBR can boost this to<br />
up to seven times the current speed.<br />
Both solutions require a head end cabinet<br />
to be deployed in the serving exchange,<br />
but simple connectivity to the copper<br />
infrastructure with a mid-line length<br />
regenerator to the customers’ NTE (Network<br />
Terminating Equipment) provides a cost<br />
effective clean solution to the “Not Spots”<br />
and low speed edge users. These users can<br />
then have the content they require delivered<br />
over what has rapidly become the fourth<br />
utility, broadband access.<br />
Summary<br />
User habits have undoubtedly evolved and<br />
will continue to do so, placing increasing<br />
demand on bandwidth to deliver the content<br />
the users require, particularly with the growth<br />
of mobile devices and bandwidth-hungry<br />
applications. Looking at the average family<br />
today, they could be sat at home streaming<br />
content on a SmartTV and iPlayer, as well<br />
as downloading data on their tablet and<br />
Smartphone. With this in mind, demand for<br />
higher bandwidth is only going to continue to<br />
increase and should be seen as an opportunity<br />
for vendors and operators across EMEA to<br />
make a difference to broadband accessibility.<br />
Choosing the correct and most effective<br />
medium is the key. Fibre will always be the<br />
number one choice, but don’t forget copper;<br />
it’s everywhere, inexpensive and inherently<br />
reliable. Copper in the last mile is here and it<br />
is available now, so don’t overlook what can<br />
be achieved on this network. •<br />
EMEA 2013 • 47
48 • EMEA 2013
DELIVER THE BEST<br />
EXPERIENCE ON EVERY<br />
PHONE, TABLET AND GADGET<br />
(EVEN ONES THAT HAVEN’T<br />
BEEN INVENTED YET).<br />
Mobile customers get savvier—and more demanding—every day. So the<br />
network has never mattered more. With device numbers set to nearly double<br />
in four years, Cisco is helping carriers offer better plans, more services and,<br />
always, a top-tier experience. The Cisco® Intelligent Network masters any<br />
device, anywhere, anytime. Regardless of operating system, communications<br />
standard, apps or hardware. Now, offering customers more is an easy call.<br />
Use the device of your choice to learn more at cisco.com/go/yourway<br />
© 2012 Cisco Systems, Inc. All rights reserved.