Transcript Service delivery platform market

Webinar
Enabling new telecoms services
Peter Mottishaw
29 September 2011
2
Contents
Executive summary
Market definition
Market strategy perspective
Market share and forecast
Recommendations
© Analysys Mason Limited 2011
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A strategic perspective on the SDP market

What are the implications of the changing scope of communications services?
w

Who controls the value chain?
w

Social networking, search, advertising, microblogging, video streaming, online gaming, … are all
extensions of the basic communication service provided by network operators, but in many regions
these are delivered by OTT service providers such as Google, Facebook, Twitter, Apple and many,
many others.
The type of communication services provider (CSP) that controls the value chain in many markets is
shifting away from network operators to OTT service providers. This is most pronounced in mature
markets where OTT service providers (OSPs) have high data bandwidth, high penetration of
smartphones and a choice of network operators to work with. Western Europe is furthest along in this
shift in control.
How does this impact service delivery platforms (SDP) and the overall telecoms service layer?
w
In all regions network operators should invest in the service layer to enable new services, reduce time
to market and enable innovation. However, network operators should be realistic about where they
should compete with OSPs and where they should accept that an OSP has established a dominant
position.
w
In regions where the OSPs have already gained a strong position network operators should also open
the service layer to enable the OSPs to enhance their services with network operator owned enablers.
This will provide additional revenue and give some level of control in the value chain.
© Analysys Mason Limited 2011
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The business environment for SDP spending in last 12
months
Lingering economic downturn
Intense competition in all markets

The economic downturn drove a reduction in CSP
spending generally. Its impact on the SDP market was
limited, but it continued to delay projects during 2010.

CSPs invested in SDPs to provide differentiated services
in mature markets in order to counteract the decline in
revenue streams from established services.

Growth in subscriber numbers and increased competition
helped to sustain spending on RTC and TAS, which are
essential to support new subscribers.

CSPs in price-sensitive emerging markets invested in
systems to increase their speed to market and to enable
them to react to competitive changes quickly.

Increasing use of applications and consumption of
content, driven partly by growth in smartphone take-up,
drove investment in MCMD and RTC for data services.

CSPs also invested in new business models by building
ecosystems of third-party developers around application
stores and network APIs.
High growth in subscriber numbers in emerging markets
Growth in mobile data services

CSPs in China and India continued to experience high
growth rates for subscriber numbers, and those in other
emerging markets in the Asia–Pacific region are starting
to experience similar growth. This drove spending on
increasing the scale of established SDP deployments.

CSPs initially rolled out higher-speed mobile data
services with attractive flat-rate tariffs, but have started
to move away from this model. The ability to provide
better yields on the assets deployed is driving the need
for policy-based charging systems and other techniques.

CSPs also chose to replace systems that did not enable
them to achieve the required scale or that did not provide
the flexibility and speed to market required in increasingly
competitive markets. Subscriber growth rates are highest
in emerging markets in the Asia–Pacific region and Africa.

CSPs have continued to invest in RTC and MCMD
systems to enable them to extract revenue from these
services.
© Analysys Mason Limited 2011
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Worldwide service delivery platform forecast, 2010–2015
Service delivery platform revenue, worldwide,
2010–2015 [Source: Analysys Mason, 2011]

The worldwide service delivery platform (SDP)
market is forecast to grow from USD3.6 billion
in 2010 to USD6.3 billion in 2015, at a CAGR
of 11.7%.

In developed markets, the main driver for SDP
spending is the need to launch new services and
create new revenue streams in order to remain
competitive. Communications service providers
(CSPs) will invest in SDP solutions to enable new
business models that can adapt to changes in the
telecoms value chain.

These drivers also apply in emerging markets, but
high growth in subscriber numbers is the main
driver for SDP spending in these markets.

Growth in the take-up and usage of mobile data
services is a major factor in SDP spending
worldwide. New opportunities for CSPs, such as
M2M and cloud computing services, will also drive
investments.
7000
6305
6000
5651
Revenue (USD million)
5023
5000
4471
4000
3987
3629
3000
2000
1000
0
2010
2011
2012
2013
2014
2015
© Analysys Mason Limited 2011
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Contents
Executive summary
Market definition
Market strategy perspective
Market share and forecast
Recommendations
© Analysys Mason Limited 2011
7
Telecoms software market segmentation
Telecoms software market segments [Source: Analysys Mason, 2011]
Service delivery
platforms
Real-time charging
Mobile content
management and
delivery
Telecoms
application servers
Mobile device
management
Billing
Customer care
Service fulfilment
Service assurance
Rating and pricing
Customer
interaction
Order management
Service
management
Partner and
interconnect
Business
optimisation
Mediation
Customer
relationship
management
Subscriber
management
Inventory
management
Activation
Engineering tools
Fault and event
management
Performance
monitoring
Workforce
automation
Probe systems
Network management systems
Mobile
Residential
broadband
Business data
services
PSTN
Middleware
© Analysys Mason Limited 2011
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SDP deployment scenario
SDP deployment scenario [Source: Analysys Mason, 2011]
Third-party ecosystem
Application developer

Provide applications to CSP
application store

Access network API
Content provider

Service provider
Provide content to CSP content
portal

Access network API
Service delivery platform
CSP environment
TAS
MCMD
MDM
RTC
Session-based
services
Content-based
services
Device-based
services
Real-time service
charging
Business
services
Residential
broadband
End users and devices
The SDP converts the CSP
infrastructure into a set of
reusable service enablers that
can be combined to offer new
services and support new
business models
OSS and BSS integration
is a key element of any
SDP project
Control layer (SS7 to SIP/IMS)
Mobile
CSP provides billing, partner
management and marketing
support to enable third parties to
offer services by reusing CSP
service enablers
PSTN
Customer experience
Overall service portfolio should
be compelling and refreshed
frequently
© Analysys Mason Limited 2011
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Contents
Executive summary
Market definition
Market strategy perspective
Market share and forecast
Recommendations
© Analysys Mason Limited 2011
Service Provider Strategies
Five business demands for telecoms software
evolution
The digital
consumer
Cloud
computing
• Keep up with
rapidly evolving
behaviours and
raised
expectations
• Exploiting new
opportunities in
the enterprise
• PaaS, SaaS or
Iaas?
M2M
• Dealing with
high volumes of
low-value traffic
• Reaching new
verticals and
building scale
Evolving value
chains
• Competition
from OTTP
• Partnering to
reach new
markets
Drive to Scale
• Business
transformation
• OPEX reduction
• Speed time to
delivery
www.analysymason.com
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Competitive drivers of service innovation
Competitive drivers of service innovation [Source: Analysys
Mason, 2011]
Media and
entertainment
Internet
innovators

CSPs are looking to develop their traditional
communications services into a rich combination
of entertainment and productivity services in order
to secure new sources of revenue. As a result,
they need to deliver a continuous stream of
service innovations. Increasingly, they are looking
to partner ecosystems to achieve this.

CSPs face competition from:
Established
services
migrating to the
Internet
Rich entertainment and communications
experience ...
... and much more
Mobile
operators
Fixed operators
Cable operators

w
other CSPs that are attempting to expand
into the same market opportunity
w
many innovative large and small companies
from adjunct industries that are addressing a
similar opportunity, but with a different set of
strategic assets and liabilities (such as
Apple, Facebook and Google). CSPs need to
be flexible in how they partner and compete
with these companies.
SDPs provide an essential strategic platform to
support service innovation within the CSP
organisation and with third parties.
© Analysys Mason Limited 2011
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Outline of scenarios
We have developed three scenarios for how the market will
look in 2017
multiple
identities
novelty
start-ups
device
decentralised
choice
change
network
reliability
persistent
identity
tradition
voice
security
Married
to my
operator
trust
privacy
common
standards
“The long-term, trusted
relationship with the operator
remains key. Most customers
continue to use their operator for
the communications services
they value the most.”
fragmentation
experiment
Dating
partnerships
best of breed
“Choice is the key in this
fragmented world. Customers
use a combination of the best
services available.”
cloud
integrated
services
simplicity
unified
interface
stability
Going
steady
with
Google
internet
brands
single
identity
“Customers turn to a single
provider for a suite of advanced
communications services, which
are simple to use.”
© Analysys Mason Limited 2011
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Control points: who will control the value chain?
What are the main factors that enable a service provider to control the value chain?

Control Point 1: Customer relationship – identity, payment, preferences, behaviour

Control Point 2: Service experience – communication, voice, video, social network, content.

Control Point 3: Network connection – coverage, bandwidth, quality of service

Control Point 4: Device – applications, experience, brand image

Control Point 5: Developer and service ecosystem – breadth of applications, rate of innovation
Other candidates and factors

Integrate across multiple control points to strengthen position e.g.

combine cloud service with a device offering

Targeted advertising based on device, service use and customer relationship

Brand image of service provider

Developer ecosystem includes service providers e.g. dropbox, evernote, kindle app, …
© Analysys Mason Limited 2011
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Scenario 1: “Married to my operator”
Network operator
IT infrastructure
Customer relationship
Customer care
Billing
Customer
OSS
Operator
Service
Platform
Device
End user service
Operator network
© Analysys Mason Limited 2011
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Scenario 1: Control Points
Network operator
IT infrastructure
Control
Customer
relationship
Point
1
Customer care
Billing
Customer
OSS
Device
End user service
Control
Point 4
Operator
Service
Platform
Control
Point 2
Operator network
Control
Point 3
© Analysys Mason Limited 2011
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Scenario 2: “Going steady with Google” (or another OSP)
Ecosystem of
developers and
service providers
OTT service provider
Customer relationship
OTT Service Platform
Network operator
IT infrastructure
Customer relationship
API
Customer identity
Partner
relationship
Customer care
Billing
Payment
Customer
OSS
Management
Device
End user service
Operator network
© Analysys Mason Limited 2011
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Scenario 2: Control points
Control
Ecosystem
of
Pointand
5
developers
service providers
Control
Point 1
OTT service provider
OTT Service Platform
Network operator
Control
Point 1
IT infrastructure
Customer care
Billing
API
Customer identity
Control
Point
2
Payment
Customer
OSS
Management
Device
End user service
Control
Point 4
Control
Operator
network
Point 3
© Analysys Mason Limited 2011
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Scenario 2 control points: who will control the value chain?
Network operator 2/5 (e.g. mobile OpCo in Western Europe)

Control Point 1: Customer relationship – strong

Control Point 2: Service experience – weak

Control Point 3: Network connection – strong

Control Point 4: Device – weak

Control Point 5: Developer and service ecosystem – weak
OTT Service Provider (OSP) 4/5 e.g. (Apple, Google).

Control Point 1: Customer relationship – strong

Control Point 2: Service experience – strong

Control Point 3: Network connection – weak

Control Point 4: Device – strong

Control Point 5: Developer and service ecosystem – strong
© Analysys Mason Limited 2011
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Scenario 3: “Dating” a hybrid model
Ecosystem of
developers and
service providers
Customer relationship
OTT service provider
OTT Service
Platform
Network operator 2.0
IT infrastructure
Customer relationship
Customer care
API
Operator
Service
Platform
Customer
identity
API
Payment
Billing
Customer
OSS
Device
Management
End user service
Operator network
© Analysys Mason Limited 2011
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Scenario 3: Hybrid model – more control points for the
network operator
Ecosystem of
developers and
service providers
Control
Point 5
Customer relationship
OTT service provider
OTT Service
Platform
Network operator 2.0
Control
Pointrelationship
1
Customer
API
IT infrastructure
Customer care
Billing
Customer
OSS
Device
Operator
Service
Platform
Customer
identity
API
Payment
Control
Point 2
Management
End user service
Control
Operator
network
Point 3
© Analysys Mason Limited 2011
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Where the SDP and the service layer can help

Control Point 1: Customer relationship – identity, payment, preferences, behaviour
w
w


Deliver innovative services, content and customer experience
Control Point 3: Network connection – coverage, bandwidth, quality of service
w
Subscriber specific policy management enables greater control of the customer experience
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Enabling the ecosystem to deliver video, voice, gaming and other real-time services with policy
control is a unique differentiator for the network operator.
Control Point 4: Device – applications, experience, brand image
w

Improve customer intelligence and expand customer preferences
Control Point 2: Service experience – communication, voice, video, social network, content.
w

Expose these assets to partners and the ecosystem – especially payment. E.g. enabling prepaid
subscribers to purchase ecosystem applications, services and content using their prepaid balance.
Difficult to rest back any control in the smartphone market, but applications that make use of the
network API are interesting.
Control Point 5: Developer and service ecosystem – breadth of applications, rate of innovation
w
Network API makes this viable but operators face a major challenge in building a credible developer
ecosystem.
© Analysys Mason Limited 2011
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Forces controlling the evolution of service layer
infrastructure
Telecoms software evolution [Source: Analysys Mason, 2010]
Future software strategy:
minimise pain of future legacy

Reduce number of platforms and
suppliers

Select industry standards and
technologies

Police a group-wide architecture
Group strategy?

Customer intimacy

Operational excellence

Product leadership

Innovation
New services and business
models: agility and flexibility
are everything

Double-sided business models

Mobile data and Internet services

Social networking

Location and personalisation
Telecoms software
infrastructure
Control or constrain change
Billing
Customer
care
Legacy software and services:
minimise cost and change
SDP
OSS


10–20-year lifetime – aging
hardware and software platforms
Essential to legacy services used by
established customer base: supports
current revenue

Tied to legacy network infrastructure

Regulatory constraints
Embrace and drive change
New technologies and
processes: agility and
flexibility are everything

Time to market

Customer insight

Cost reduction

Agility and flexibility
© Analysys Mason Limited 2011
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Evolution from legacy to next-generation service layer
Evolution of the service layer [Source: Analysys Mason, 2010]

Challenges:
w
how to manage the transition
from legacy to next-generation
service layer platforms
w
how to extend the life of current
IN prepaid platforms.
Third-party application
SDK
Application
layer
IN prepaid VAS
Web service
API
VAS
MRF
IN service control points
AS
Presence
Application servers

Service
broker
Control
layer
CSCF
HSS
MGCF
MGW
IWF
In and SS7
Some solutions:
w
CSCF
HSS
MGCF
MGW
IWF
SIP, diameter and IMS
Network
layer
PSTN and GSM
Access
layer
2G/2.5G/3G
xDSL
Client
Legacy
w
Multi-service IP network
PSTN
3G/4G
WLAN/
WiMAX
Client
Fibre
next-generation intelligent
network – a common
application platform to provide
services in next-generation and
legacy networks
service broker – a platform to
mediate session control and
signalling between legacy and
next-generation environments.
Next-generation
© Analysys Mason Limited 2011
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Growth will be particularly rapid in emerging Asia–Pacific
markets
Indonesia: 61 million
w
Philippines: 31 million
w
Pakistan: 28 million.
250
10%
0
0%
Active MCA users
1
2015
w
2014
India: 236 million
20%
2013
w
500
2012
China: 454 million
30%
2011
w
750
Share of mobile subscribers
The countries with the highest number of active
MCA users in EMAP in 2015 will be:
40%
2010

Over this period, the number of active MCA users
in emerging Asia–Pacific (EMAP) will grow by
587 million from a base of 317 million in 2010,
a CAGR of 23.3%
1000
2009

Active MCA users and MCA penetration, EMAP, 2009–20151
[Source: Analysys Mason, 2010]
The penetration rate for active mobile content and
applications (MCA) usage will grow from 20% to
37% of mobile subscribers during 2010–2015.
Active users (million)

MCA penetration
For further details, see Analysys Mason’s Mobile content and applications:
worldwide forecast 2010–2015.
© Analysys Mason Limited 2011
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The combination of dramatic traffic growth and slow revenue
growth is putting pressure on operators’ profit margins
Comparison of the network economics of mobile networks
[Source: Analysys Mason, 2010]

Traffic will grow at a 48% CAGR from 2010 to
2015, from 225PB per month to 1603PB per
month.

In developed regions, revenue per gigabyte will fall
from USD23.21 in 2010 to USD4.27 in 2015.

The implications of not changing the current
business model (flat-rate tariffs) puts in jeopardy
the sustainability of the business.

Policy management integrated with charging and
content platforms is critical to a healthy business
model:
Traffic volume
Network cost
Network costs
outstrip revenue
Revenue
Time
Dominated by voice
Dominated by data
w
tiered services: data caps, bandwidth limits,
QoS guarantees
w
content bundled with QoS and data
allowance: for example, streaming video,
where the price includes the data cost and a
QoS guarantee.
© Analysys Mason Limited 2011
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Policy management can strengthen the network control
point
Network API
Real-time
charging
End
user
Radio
Access
Network
Core
Network
Policy
management
Policy
enforcement
Internet

Policy management plays an integral role in the future of billing and charging for mobile data services in
real-time

Policy enforcement can be deployed stand alone on a DPI platform or integrated as part of the network
element (e.g. GGSN)
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Contents
Executive summary
Market definition
Market strategy perspective
Market share and forecast
Recommendations
© Analysys Mason Limited 2011
28
Executive summary
Worldwide service delivery platform forecast, 2010–2015
Service delivery platform revenue, worldwide,
2010–2015 [Source: Analysys Mason, 2011]

The worldwide service delivery platform (SDP)
market is forecast to grow from USD3.6 billion
in 2010 to USD6.3 billion in 2015, at a CAGR
of 11.7%.

In developed markets, the main driver for SDP
spending is the need to launch new services and
create new revenue streams in order to remain
competitive. Communications service providers
(CSPs) will invest in SDP solutions to enable new
business models that can adapt to changes in the
telecoms value chain.

These drivers also apply in emerging markets, but
high growth in subscriber numbers is the main
driver for SDP spending in these markets.

Growth in the take-up and usage of mobile data
services is a major factor in SDP spending
worldwide. New opportunities for CSPs, such as
M2M and cloud computing services, will also drive
investments.
7000
6305
6000
5651
Revenue (USD million)
5023
5000
4471
4000
3987
3629
3000
2000
1000
0
2010
2011
2012
2013
2014
2015
© Analysys Mason Limited 2011
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Executive summary
Overall service delivery platform (SDP) market summary
SDP market shares by revenue, worldwide, 20101 [Source:
Analysys Mason, 2011]

The SDP market generated USD3.63 billion in
revenue in 2010, up from USD3.38 billion in 2009.
Year-on-year, revenue grew by 7%. This was
lower than the 12% we forecast because of slower
than expected growth in the real-time charging
(RTC) and mobile device management (MDM)
sub-segments.

RTC projects were delayed in some emerging
markets, while MDM achieved lower growth
because of the slow growth in related services for
communications service providers (CSPs).

All SDP sub-segments registered year-on-year
revenue growth, but the telecoms application
servers (TAS) sub-segment had the highest
growth rate, at 11%. Increasing competition drove
CSPs in developed markets to invest in TAS in
order to provide new revenue-generating services.

Of the top-six vendors, Amdocs achieved the
highest year-on-year growth rate for SDP revenue
– largely as a result of its acquisition of jNetX.
Huawei also achieved a high growth rate.
Ericsson
14%
Nokia
Siemens
Networks
11%
Other
44%
Huawei
9%
Amdocs
5%
Oracle
8%
AlcatelLucent
9%
Total revenue: USD3.63 billion
1
Significant vendors in the ‘other’ category include: Acision, BroadSoft,
Comptel, Comverse, Convergys, Hewlett-Packard (HP), IBM, Motoricity,
Openet and Telcordia Technologies.
© Analysys Mason Limited 2011
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Executive summary
Overall SDP market summary, with 2009 comparison
SDP market shares by revenue, worldwide, 2009 and 2010
[Source: Analysys Mason, 2011]

Ericsson and Nokia Siemens Networks (NSN)
retained the top-two positions in the SDP market,
but Huawei’s revenue growth enabled it to take
third place, ahead of Alcatel-Lucent.

Huawei gained a percentage point in market
share, thanks to rapid growth in the number of
subscribers in its target markets and continuing
geographical expansion.

Oracle maintained its position in 2010. The
supplier gained against the network equipment
manufacturers (NEMs) in terms of market share,
mainly as a result of growth in its product revenue
in comparison with 2009.

Amdocs gained a position among the top-six SDP
suppliers, partly as a result of its acquisition of
jNetX in the second half of 2009.
100%
15%
14%
80%
11%
11%
70%
8%
9%
Nokia Siemens Networks
60%
9%
9%
Huawei
8%
8%
Alcatel-Lucent
5%
5%
Oracle
Market share of revenue
90%
Ericsson
50%
40%
Amdocs
Other
30%
20%
45%
44%
10%
0%
2009
2010

Total revenue 2009: USD3.382 billion
Total revenue 2010: USD3.629 billion
Among the other significant vendors, Comverse’s
revenue declined, BroadSoft achieved significant
revenue growth (at 28%) following its IPO, and
Openet showed 26% revenue growth in 2010.
© Analysys Mason Limited 2011
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Contents
Executive summary
Market definition
Market strategy perspective
Market share and forecast
Recommendations
© Analysys Mason Limited 2011
32
Recommendations
Recommendations for CSPs

Overall strategy for SDP should be driven for each market by whether the objective is to compete or
cooperate with OTT service providers – scenarios should be tracked carefully to see how strategy should
change.

The deployment of mobile data services based on LTE and other 4G technologies is driving the need for
more-advanced services and charging options. CSPs need to determine whether their established systems
are adequate or if they will need a data-only adjunct solution to take advantage of the growing opportunity.

CSPs need to consider how they can provide an API that could be used to deliver differentiated services for
applications, allowing application vendors to develop solutions that can utilise network policy capabilities.

Operator groups with multiple operating companies should look to standardise systems across national
boundaries and consider hosting group-wide platforms to gain economies of scale. Each operating company
can use this initiative as part of a strategy to migrate from its unique legacy SDP infrastructure.

SDP deployments in emerging markets face the challenge of keeping up with growth in the number of
subscribers. In selecting a supplier and a solution, CSPs should focus on proven scalability and be willing to
replace systems that do not meet scalability requirements.

CSPs in emerging markets, where subscribers are highly price-sensitive, need to ensure that they are able to
create new tariffs quickly in order to react to competition. They may want to ensure this can be done in-house.
© Analysys Mason Limited 2011
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Recommendations
Recommendations for vendors

Vendors must position themselves in the overall strategy scenarios – be clear how they can support the CSPs
in each of the scenarios.

Product vendors and systems integrators need to consider deploying resources to address the growing
markets in APAC and other emerging markets as growth continues and the worldwide market continues
to shift.

Specialist ISVs should determine whether they could act as a total solution provider in order to address the
needs of Tier 2 and Tier 3 CPSs in emerging markets, because smaller-scale service providers do not get
same attention from larger NEMs and major ISVs.



The ‘big-four’ NEMs (Alcatel-Lucent, Ericsson, Huawei, Nokia Siemens Networks) combine growing systems
integration teams with product platforms ranging from legacy to next-generation solutions. They should avoid
the temptation to squeeze too much revenue out of legacy platforms because this will create resentment
among CSPs and build up the need for system change. Where possible, NEMs should own the telecomsspecific platforms, but should work with IT specialists and telecoms ISVs to deliver the full solution.
The large IT vendors should focus more on the needs of the CSP IT departments and partner with the NEMs
where possible to fill in the gaps in addressing the needs of the CSP networks department. They can address
additional specialist requirements through partnerships with ISVs, or acquisitions if necessary.
Smaller ISV specialists need to identify and focus on the gaps and weaknesses in the larger players’
offerings, such a providing a specialist data adjunct for RTC installations. This provides good partnering
opportunities in the short term and a potential exit strategy in the long term. ISVs should retain sufficient
services capability to ensure close customer relationships.
© Analysys Mason Limited 2011
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Peter Mottishaw
[email protected]
Analysys Mason Limited
Bush House, North West Wing
Aldwych, London WC2B 4PJ, UK
Tel: +44 (0)845 600 5244
Fax: +44 (0)20 7395 9001
www.analysysmason.com
© Analysys Mason Limited 2011
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SDP sub-segment definitions
Table 1: SDP sub-segment definitions [Source: Analysys Mason, 2011]
Sub-segment
Definition
Telecoms
application
servers (TAS)
TAS support telecoms service creation, execution and exposure, and network interfaces for call control,
messaging, location, presence and other telecoms services. They can be deployed in an IMS, SIP, VoIP,
legacy or hybrid environment. The TAS is at the core of creating and executing real-time session-based
services. Approaches include: SIP Servlets, JAIN SLEE, evolved IN, network and service gateways, nextgeneration feature servers and proprietary solutions. Our market definition excludes legacy IN platforms.
Mobile content
management and
delivery (MCMD)
MCMD supports the lifecycle of digital media from the collection of content from the content provider to its
delivery to the end customer. Typical media types include: mobile applications, music, ringtones, games,
video clips and real-time sports information. MCMD includes the content provider portal, the customer portal,
the transcoding and adaptation of content for different device types and digital rights management.
Mobile device
management
(MDM)
MDM is essential in a mobile environment where there are hundreds of different types of device with
different client software, display capabilities and operating systems. The purpose of MDM is to ensure that
the configuration and settings on a device are optimal for the subscribed services. It also supports remote
troubleshooting. The Open Mobile Alliance (OMA) has developed standards for device management that are
garnering increasing support among handset manufacturers.
Real-time
charging (RTC)
RTC enables a service provider to manage the account balance for a subscriber’s service in real-time and
deny service if the account balance is negative. Increasingly, it also supports hierarchical accounts and
complex policy enforcement. In this segment, we include active mediation and complex real-time rating.
Active mediation interfaces to network and service platforms in real time to track usage and control access
to a service. Complex real-time rating tracks the usage and account data to determine account balance and
account policies. We do not include IN legacy platforms in this segment. We also exclude offline customer
care and billing systems.
© Analysys Mason Limited 2011
36
SDP service segment and revenue type definitions
Table 2: SDP service segment definitions [Source: Analysys Mason, 2011]
Service segment
Definition
Mobile
All mobile services, also referred to as wireless or cellular services in some markets. Includes voice and data
services. Mobile backhaul is included in business services when it is provided by another CSP
Business data
services
Includes all CSP services other than PSTN phone services provided directly to businesses or other CSPs,
and includes frame relay, Internet access, hosting services, IP VPN, Ethernet, managed IT services and
wholesale carrier services
Residential
broadband
High-speed data networking (primarily xDSL, FTTx, HFC and cable) and all the services based on this
network access, including Internet access, IPTV and VoIP services
PSTN
Residential and commercial switched voice services, including local and long-distance services
Table 3: SDP revenue type definitions [Source: Analysys Mason, 2011]
Revenue type
Definition
Software product
Includes licence software and maintenance, as well as a proportion of SaaS revenue that reflects the value
of the software product used to provide the SaaS service
Product-related
services
Installation and configuration of supplied software products, either by the ISV or a third party
Professional
services
Non-product related services (such as data loading, customised software extensions, product integration
with legacy systems) – these are not included in this report
© Analysys Mason Limited 2011