European Communications
13 October, 2006 14:40 print this article email this article to a friend

IMS - Taking the long term approach

While its potential benefits have been well documented, a long term view is the only sensible one if a move to IMS is to realise the right outcome, says Frank Papso

IP Multimedia Subsystem (IMS) will enable customers to share video clips or images during a voice call. It will allow simultaneous video telephony across fixed and mobile networks. IMS will deliver the ability to provide a seamless switch over from VoIP to a mobile voice call and IMS will help service providers and network operators to create more and more revenue-generating services that build customer loyalty in a cost-effective manner. All in all, this centralisation that the IMS architecture is bringing will reduce the OpEx and create network efficiency.

IMS is the big opportunity for operators over the next few years, presenting a chance to develop new service offerings and creating a real potential for differentiation. The big challenges are twofold. The first of these is understanding the real business case behind the investment. Close behind is the second: actual implementation. Most implementation issues are largely related to technology, others are centred on users' expectations – how do we charge for such a wide range of           potentially competing services while giving the consumer a comprehensible tariff? And when are users ready to use more than one application at a time? How many people do you know who use SMS and voice at the same time?
One thing is certain: IP was never designed with carrier-grade environments in mind. It was intended to deliver packages reliably, but not in real time as with traditional telephony services. The performance problems we encountered when offering Internet portals through WAP are not dissimilar to those presented by IMS. Yet all of this can be solved with the right strategies.
Of more pressing concern is the business case. In particular, how long will it take before IMS starts to pay back?

Achieving return on investment
'Some time yet' is the answer if we look at IMS from a purely technical, commodity-based viewpoint. It's when we take a customer-centric view that the answer begins to change. Offering new services to existing customers (or to attract new customers) can be made to work even though it means developing a new network in parallel with legacy networks. Indeed, this may be the only answer for operators who want to stay ahead.
Integrating different IMS modules is relatively straightforward technically. The high level of standardisation offered by 3GPS describes not only the role of each module, but also the interfaces between them. Yet for integration with existing CRM, OSS and other systems there is a further challenge that might be more difficult. Close co-operation with marketing is needed to make sure that developments are driven by product/service requirements and not by technology. Customers are used to paying for time connected, so pricing is critical if new services are to realise revenue increase. A billing model is needed for all events, whether that means charging by time, by Mb or at a flat rate. That model has to be tested all the way to the device, for both first and subsequent uses.
Of course none of this is realistic if costs are not kept under control. Any operator embarking on a piecemeal, non-reproducible programme will find costs spiralling. The objective has to be a replicable solution with fully aligned local and global management. That means establishing a consistent architecture that balances bespoke elements with commercial off-the-shelf products. The ideal outcome is a single customer experience across different geographies, which is one of the promises of IMS.
True end-to-end integration is a very complex task. A dedicated team needs to focus early on end-to-end and stress tests to assure performance. The control layer of IMS is designed to work as a layer that is independent of the application's network. Except that different handsets can be identified by IMSI, by IP or by Bluetooth IP. One handset can be seen as two different devices if things go wrong. IPv6 may solve all of this in time, but integrating all the way out to the device means relying on specific clients for handsets. Depending on the operator's strategy, there is not necessarily close control over all of these and so it can be a challenge to guarantee that a specific application client has been correctly installed. If handsets are preconfigured and updated by a brand then the control issue is resolved but other people on your network may not be able to use the same functionality.
A clear, stable architecture under the authority of a multi country Program Management Office is the key to managing overlap between products and bespoke components. A Service Oriented Architecture, implemented centrally, simplifies the lifecycle of both bespoke and third party elements. It improves time to market, reduces the total cost of ownership and gives the flexibility and scalability needed to cope with high transaction volumes.
The imminent launch of Skype by 3 shows where the market is already headed. It also shows that mobile broadband suppliers are opening the doors to IP applications, where IMS will offer an even broader range of services. Operators everywhere are going to have to get IMS right and they may have less time than they think.
Whether we believe in IMS or not, it is going to happen. Currently only a few operators have launched any services, most are trialling IMS, or have started to look at the potential benefits. Of course there are some operators who insist they are not willing to invest in IMS but are looking for a common customer database, a common control platform, or just migration of platforms to reduce costs. IMS architecture is just a way of making things happen faster. Of course these are questions that must be properly addressed in a formal business case analysis.
We believe that with the right partners and patience, long-term savings will be substantial, increased revenue will be achievable, value-added services will be possible and the whole industry will benefit. The key word to remember is 'will'.                                           

Making it happen
As operators rationalise their network infrastructures for efficient implementation of new applications, an old silo-based implementation style is being replaced. Instead, a horizontally integrated application implementation is offering key benefits: it loosens control of telecom equipment vendors over new service deployment and opens the field to a range of 3rd party developers who can use open standards and interfaces; it re-uses various application components leading to fast deployment and quick time to market; finally, it creates an independent layer between the applications and the network which will provide many benefits, such as run the same application across multiple access networks.
The benefits are many and significant, giving operators a degree of independence and a range of content options that have not been available before. The challenges posed by IMS, however, are not insignificant.
Realising return on investment is not straightforward without a compelling application that can kick off deployment or a true cost-saving plan that can be used for the replacement of outdated existing service platforms. We believe that IMS is justified only if it can generate true cost savings by commoditising most of the network elements. It should allow integrated features that enhance the time to market for new and in-house services – with presence management, location and voice/video control through IP domain as the basis of these services.
We also recognise that a seamless evolutionary path from current network architecture to an optimised IMS environment depends on matching IMS strategy to the evolution of the various access networks, where the key in the mobile area is the development of the radio network to support the speeds required for IP quality of service.

Technical challenges
Return on investment and a smooth transition are not the only evolutionary drivers; there are other important issues that must be addressed:
Operators must find an appropriate method of charging the IMS events. This could be through implementing an online charging architecture that bridges the current gap between prepaid and postpaid, proposing alternatives to flat rates; by using an intelligent rate for the valued service when several applications are used in combination; or by renewing silo solutions hosting the current voice prepaid services.
A central data repository should also be created to allow sharing of information between applications, both static and dynamic. Many or even most of today's applications have their own data storage and a separate data repository for new applications is often set up, creating challenges in migrating or pointing to data from existing applications.
A further challenge is the customer self-care experience which must be developed in order to allow fully automated provisioning of new services on the devices. These devices must be able to run new applications without inappropriate amounts of complication. The execution of the service to the device will, at least the first time, also imply a delivery of the client to the device. This must be efficient and work the first time to assure the customer experience of the service.
The final challenge is in connecting with partners: a hosted service logic (ASP) must be established; outsourced service logic, building on existing SDP initiatives must also be created, along with a highly secured access gateway.
If a move to IMS is to realise the right outcome, the long view is the only sensible one – this transition could last as long as ten years. The focus should be on the core services that can easily be enhanced by IMS. Operators should ensure they partner with a company that is able to open up new markets. Service continuity will be a critical factor and it is essential the customer experience is not adversely affected by this technology.•                                                 

Frank Papso is Business Development Principal for Telecom, Media & Entertainment Global   www.capgemini.com

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