Service creation is a growing focus among service providers in both wireless and wireline networks. Each group is faced with new challenges and some common dynamics affecting both sides of the industry. Reduced top-line revenue among wireline carriers and a slowing in the rate of the voice growth among wireless carriers requires a restructuring of the revenue and cost models as the industry continues to mature.
Competition has increased steadily for wireless and wireline carriers but now there are new sources of competition from across industry lines. Cable providers offering voice services, telcos offering video services, and mobile carriers offering broadband data and video are examples of a rapidly broadening competitive scene. The impact is that every type of service provider (cable, telco, and mobile) is deriving a new balance to the business model to focus on the following:
New Opportunities for Revenue Generation:
- New innovative services that will drive greater ARPU (Avg. Revenue per User).
- Launch a greater variety of new services that can target specific segments.
- Improve customer retention through personalization and bundling.
- Shorter time to market to launch new features nationwide.
- Opportunity to create services once and offer across multiple networks.
Cost Savings and Reduction of Operating Expense:
- Services based on non-proprietary, open technologies with broad support.
- Service platforms that scale more easily as volume and demand grows.
- Low capital investment to provide a development environment and support.
- Commonality of system interfaces to standardize OSS and BSS links.
- Establish one diverse set of nationwide node elements for efficient distribution of a wide range of services.
IMS systems can dramatically enhance the ability of carriers and application developers to offer improved services and, as a result, there are also improved opportunities in the types of applications and solutions that will be possible. By removing basic functional services from the network nodes and abstracting those functions to higher planes in the hierarchy, application developers have access to feature hooks that were not previously available.
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