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Understanding how IMS and NGNs will affect service delivery and billing
© 2005 ORGA Systems | All rights reserved | www.orga-systems.com
Key Success Factors and OutlookKey Success Factors and Outlook
Dirk SchmidtpottORGA SystemsHead of Product Management
IMS and BillingIMS and Billing
Why IMS and why now? Why IMS and why now?
What IMS providesWhat IMS provides
Understanding how IMS and NGNs will affect service delivery and billing
© 2005 ORGA Systems | All rights reserved | www.orga-systems.com
Key Success Factors and OutlookKey Success Factors and Outlook
Dirk SchmidtpottORGA SystemsHead of Product Management
IMS and BillingIMS and Billing
Why IMS and why now? Why IMS and why now?
What IMS providesWhat IMS provides
Understanding how IMS and NGNs will affect service delivery and billing
© 2005 ORGA Systems | All rights reserved | www.orga-systems.com
IMS and Convergence
Combine complementary technologies to create new products + services
Multimedia service for enriched communication experience
Voice/data enterprise services for more efficiency
Broadband/telecoms network services @ home for reduced costs
Flexible personal communications over multiple devices + channels
Charging through hybrid prepaid and postpaid accounts
Generate new revenues that counter declining ARPUfrom increasingly commoditized voice at reduced costs
© 2005 ORGA Systems | All rights reserved | www.orga-systems.com
Why IMS now?
Market demand exists
Broadband access widely available and used
Enriched communication experience
Digitization of media
Key protocols available and usable
Industry commitment to SIP, Diameter, Parlay (de facto standards)
Specifications have reached a stable, usable level
Devices and bandwidth available
GPRS almost everywhere, UMTS increasingly available
Smart phones, Data-card enabled laptops, Multi-network PDA’s
© 2005 ORGA Systems | All rights reserved | www.orga-systems.com
3G/WCDMA Market Growths
Latest survey by GSA (Global Mobile Suppliers Ass.) on 3G/WCDMA...
Networks 82 networks in 37 countries(+ 22 since 2004); further 7 in pre-commercial stage
Terminals 186 models from 26 suppliers(+ 70 in last 6 months)
Subscribers 30.79 mill. (July 05) + 13.9 mill. since end 2004 = 2 million net adds/month
Acc. to GSA + *Informa Telecoms & Media, published 17.08.2005 : www.cellular - news.com
+ 20 mill subs. CDMA2000/1xEV-DO
© 2005 ORGA Systems | All rights reserved | www.orga-systems.com
Mobile Data Subscribers (Users) - Worldwide
20,000,000
40,000,000
60,000,000
80,000,000
100,000,000
120,000,000
140,000,000
160,000,000
Q1 2003 Q2 2003 Q3 2003 Q4 2003 Q1 2004 Q2 2004 Q3 2004 Q4 2004 Q1 2005
Europe : Western
Europe : Eastern
USA/Canada
Asia-Pacific
© 2005 ORGA Systems | All rights reserved | www.orga-systems.com
IMS Benefits
„Access agnostic“ & Improved mobility - Networks become independent of access (Mobile, DSL, WLAN...) - Enables FMC & offers easier migration of internet applications - 3G Roaming for all services and & all types of customers
New applications + better QoS - Such as presence and video-conferencing as „blended“ (combinational) services
Better time-to-market for deployment of services - Standardized architecture - Open Interfaces to 3rd party developers
An „end“ to the vertical application “silos” - Resulting in lower CapEx and OpEx
© 2005 ORGA Systems | All rights reserved | www.orga-systems.com
Key Success Factors and OutlookKey Success Factors and Outlook
Dirk SchmidtpottORGA SystemsHead of Product Management
IMS and BillingIMS and Billing
Why IMS and why now? Why IMS and why now?
What IMS providesWhat IMS provides
Understanding how IMS and NGNs will affect service delivery and billing
© 2005 ORGA Systems | All rights reserved | www.orga-systems.com
IMS (IP Multimedia Subsystem) - Background
IMS is an open, 3GPP standardized and operatorfriendly NGN multi-media architecture which:
@
Provides centralized „service control & delivery“functionalities, in an additional infrastructure layer
Was originally designed for mobile networks...(3GPP Rel’5, March 2002)
„Evolution Path“ to „ALL-IP“ networks
Seen as „Fixed-Mobile Convergence “ & „Service“ enabler(CS + PS: fills gap between traditional telecomm and internet)
Is an „open“ BUT “operator centric” architecture (operators can „open up“ BUT still „control“ their networks)
© 2005 ORGA Systems | All rights reserved | www.orga-systems.com
MNOs rushed to deploy new IP/data services whichresulted in vertical application platforms (silos) . . .
... which provide dedicated functions to realize only one specific service !
IMS Vision: From Multiple „Vertical“ Silos . . .
Se
rvic
e 1
Se
rvic
e 2
Se
rvic
e N
Application
Subscriber data
Service delivery platform
Media functions
Application
Subscriber data
Service delivery platform
Media functions
Application
Subscriber data
Service delivery platform
Media functions
IN Nodes BillingPS domain
CS domain
OSSBSS
© 2005 ORGA Systems | All rights reserved | www.orga-systems.com
. . . To a Re-usable „Horizontal“ Service Delivery Platform
. . . that provides a better way to deploy and integrate services.
Key to success: standardized functionalities & standardized external interfaces.
Ser
vice
1
Ser
vice
2
Ser
vice
N
Subscriber data
Media functions
IP Multimedia Subsystem
Application Application Application
IN Nodes BillingPS domain
CS domain
OSSBSS
© 2005 ORGA Systems | All rights reserved | www.orga-systems.com
IMS provides 3 Functional Layers
The IMS services domain is a collection of logical functions in three functional layers:
Applications layer
Service Control layer
Transport (media and endpoint) layerGGSN, MSC, PSTN, IP Network
HSS, SLF
Application Servers
CSCFCall Session Control Function
© 2005 ORGA Systems | All rights reserved | www.orga-systems.com
IMS Provides Peer-To-Peer Sessions with Real-Time Capability
IMS enables „direct IP connectivity“ between terminals (fixed & mobile) for services like real-time data, voice and video...
Source: 3G Americas Report Outlook on Convergence 2005: http://www.3gamericas.org/pdfs/convergence_july2005.pdf
© 2005 ORGA Systems | All rights reserved | www.orga-systems.com
IMS Enabled/Enhanced Applications
Real-time Video Sharing (RTVS - see what I see)
Personalized Location andPresences Services (Find-Me...)
Multi-party Messaging
PoC (Push-to-Talk over Cellular) / VoIP
Combinational CS + PS servies (e.g. voice and IM)
Mobile (rich) Multi-Media Conferencing: Group Chat, Audio/Web/Videoconferencing
Multi-party gaming
Personalized Info Channels & Services (calendars, alerts)
Ringback Tones
Click-to-Dial (VoIP)
© 2005 ORGA Systems | All rights reserved | www.orga-systems.com
Most Of The Services Can Be Realized Without IMS...
but IMS „promises“...
to deliver standardized functions and to enable communication services via a number of „re-usable“ key mechanisms including:
Multimedia session negotiation and management (SIP Protocol)
QoS (i.e. during a multimedia / VoIP session)
Charging ! (DIAMETER)
Mobility management & roaming
3rd. party service development interfaces
& integration of 3rd. party content
© 2005 ORGA Systems | All rights reserved | www.orga-systems.com
Key Success Factors and OutlookKey Success Factors and Outlook
Dirk SchmidtpottORGA SystemsHead of Product Management
IMS and BillingIMS and Billing
Why IMS and why now? Why IMS and why now?
What IMS providesWhat IMS provides
Understanding how IMS and NGNs will affect service delivery and billing
© 2005 ORGA Systems | All rights reserved | www.orga-systems.com
IP & Data Billing Today
FREE / BARRED
URL
ON NET
OFFNET
QoSTIME of
DAY
PEAK,OFF
PEAK
TIME (min)
VOLUME (KB)
SUBSCRIPTION
BUNDLES
BEARER
UMTSGPRSWLAN
There is no data price plan scenario that does not exist !
All „parameters & combinations“ are in actual use.
© 2005 ORGA Systems | All rights reserved | www.orga-systems.com
CONTENT (DOWNLOADS)games, music, ringtones, screensavers...
P2P MESSAGING (e.g. MMS)usually with flat fees (80% regardless of kB size)
M2P/P2M (BROWSING, FILE & DATA TANSFER)
Today`s Pricing Strategies for Data Services
PREMIUM SMS + Reverse Charging
Pay-per-event or bundled
Pay-per-use (sessions: min. or kB)
© 2005 ORGA Systems | All rights reserved | www.orga-systems.com
COMMERCIAL Implications
Opportunity to charge for new/enhanced services& for certain IMS functions (e.g. presence)
„KISS principle“ (Keep It Smart & Simple) ( perceived value-based pricing favoured )
Bearer prices > more „flat & bundled“ Content pricing > „supermarket“ model
Context/Content sensitive: Barred / Allowed / Free (Black & White Lists) Revenue Sharing / 3rd party content
More „prepaid options“ for „postpaid customers“
(cost control, optional payment mechanisms)
© 2005 ORGA Systems | All rights reserved | www.orga-systems.com
TECHNICAL Implications / New Dimensions
DIAMETER protocol will dominateDIAMETER Accounting Requests & Answer (ACR & ACA) via Rf for Offline Charging Credit-Control-Request & and -Answer (CCR / CCA) via Ro for Online Charging
Billing on the basis of QoS / SLAs(QoS changes: precedence/priority, reliability, delay)
Correlation of IMS Services IMS Charging Identifier (ICID) Access network charging identifier Inter Operator Identifier (IOI) Application Charging Identifier (ACID)
Enhanced real-time interactionand more AoC (Advice of Charge)
Credit Pooling - Diameter Credit Control Appl. - see 3GPP TS 32.240
© 2005 ORGA Systems | All rights reserved | www.orga-systems.com
3GPPs` Architecture for NextGen Billing (TS 32.240)
Billing Domain
ONLINE CHARGINGOFFLINE CHARGING
WLAN
BGCF
MGCF
MRFC
SIP AS
CRF
AF
CDF
TPF
CS -NE
SGSN
GGSN
CGF
OCSIMS
GWF
P -CSCF
I-CSCF
S -CSCF
Service -NE
IMS
Offline charging based on DIAMETER via the Rf "Reference Point”
© 2005 ORGA Systems | All rights reserved | www.orga-systems.com
Key Success Factors and OutlookKey Success Factors and Outlook
Dirk SchmidtpottORGA SystemsHead of Product Management
IMS and BillingIMS and Billing
Why IMS and why now? Why IMS and why now?
What IMS providesWhat IMS provides
Understanding how IMS and NGNs will affect service delivery and billing
© 2005 ORGA Systems | All rights reserved | www.orga-systems.com
Key Success Factors
Blended services
Simple, transparent, value-based pricing
Attractive bonus schemes
Real-time features
Advice of Charge
Bonus notifications
Correlation for multi-channel/service sessions
Broad acceptance of de facto standards
Parlay / X Web services for applications
Diameter for charging
SIP for session control
© 2005 ORGA Systems | All rights reserved | www.orga-systems.com
IMS Outlook
Time line
2005: First trials
2006/2007: First commercial deployments
2007 ff.: Mass market deployment
OCS as key charging element
IMS will increase the need for PRM and CRM
Business process automation
Revenue sharing
Revenue assurance
Dispute management
© 2005 ORGA Systems | All rights reserved | www.orga-systems.com
Thank You!
ORGA Systems enabling services GmbHAm Hoppenhof 3333104 Paderborn
Tel: +49 (0) 52 51 889-3855Fax: +49 (0) 52 51 889-3707