Abstract
How to ensure you do not lose money with convergence
Good billing practices are critical for the success of any business, and
billing is set to gain an even more important role in telecoms, as the onset
of convergence makes services and service provisioning more complex. As
service complexity increases, so transactions have to be simplified and
usage has to be billed appropriately. Future applications involving
multitasking and multi-networks will also require a single bill if
businesses and consumers are to embrace them.
Among the hype associated with FMC, 3G, IMS, UMA, WiMAX, VoWLAN and so on,
these services will only succeed if the necessary billing mechanisms are in
place to support them. With the move towards multimedia and convergence,
having a robust billing platform - as well as a cohesive billing strategy -
in place is absolutely critical if operators want to generate revenues.
While billing vendors have begun to focus on these issues, we believe they
must place greater thought into the unique challenges convergence will
present, articulating their strategies now in order to satisfy operator
demands going forward.
Among others, this report focuses on:
Billing issues related to convergence: both fixed/mobile (FMC) and
multi-network (cellular/WiFi/WiMAX)
Issues associated with the move to HSDPA and beyond
Issues with respect to 3G, m-payments and multimedia content
Issues with current and future business models
Issues with mobile prepaid/postpaid integrated billing
Issues of revenue leakage and revenue assurance
FMC billing forecasts up to 2010
This report answers questions, including:
What billing challenges does the move towards convergence bring and how do
they affect operators and vendors?
What do (FMC) operators look for in a billing platform?
What are the key trends in billing and what is driving the market?
What progress have vendors made towards developing a billing system that
caters for all elements of convergence?
What are the technical and business issues faced by NGN billing?
What are the strengths and weaknesses of todays billing models?
How big is the problem of revenue leakage and how can it be minimised?
Who are the key players in the billing world and what are their products and
strategies?
What role does billing play in ensuring customer satisfaction and how can
good billing practices stimulate data usage?
How is the market likely to develop in the future? What opportunities exist
in this market?
This 100+ page report looks at billing mechanisms and architecture in mobile
networks, with a particular focus on convergence and next-generation
networks (NGN). This is one of the first reports to look specifically at
billing from the perspective of convergence. Stay ahead of the competition
by purchasing it now.
Why you should buy this report:
Operators: This report provides you with a cost-benefit analysis of
deploying a new billing platform and comprehensively details the issues
associated with NGN billing, outlining why it is essential to have a robust
billing system in place. You will also learn about the various NGN billing
solutions out on the market and how you can effectively prepare for upcoming
converged services.
Vendors: This report details what operators look for in a billing solution
and what challenges they will have to face as the market moves forward. You
will get independent analysis of how the market is evolving and what issues
still need to be addressed. In addition, you will gain a comparative
assessment of your competitors products and strategies.
Chapter 1 Introduction
- 1.1 The shift towards convergence requires an appropriate billing infrastructure
- 1.2 The move towards multimedia content brings added complexities
- Figure 1.1: Mobile content value chain
- 1.3 The role of convergent billing
- Figure 1.2: Content delivery in fixed-mobile convergence
- 1.4 Network operator challenges
- 1.5 The opportunity and threat of IMS and FMC
- 1.6 Aims and focus of this report
Chapter 2 Overview
- 2.1 Defining billing
- Figure 2.1: Simplified billing model
- 2.2 Components of billing
- 2.3 Multiple billing scenarios
- 2.3.1 Traditional billing
- 2.3.2 From voice to data
- 2.4 IP billing
- 2.4.1 IP networks require new business models
- Figure 2.2: Packet network with IP billing
- 2.4.2 IP-based services bring considerable billing challenges
- 2.4.3 Considerations and recommendations for an efficient IP metering mechanism
- Figure 2.3: IP billing architecture
Chapter 3 Billing Market Drivers and Barriers
- 3.1 Wireless multimedia content
- Figure 3.1: Data ARPU as % of total ARPU is selected markets
- 3.1.1 Multimedia is making significant demands on communications subsystems
- 3.1.2 Service differentiation between consumer and enterprise markets
- 3.1.3 Challenges associated with multimedia content
- 3.1.4 Geography
- 3.1.5 Creating a successful business model
- 3.2 The Wireless Internet
- Figure 3.2: he first step towards convergence
- 3.2.1 Challenges for wireless Internet
- Figure 3.3: The multi-network wireless domain
- 3.3 Convergence
- Figure 3.4: Convergence between fixed and mobile services
- 3.3.1 Access convergence
- Figure 3.5: Various access technologies
- 3.3.2 ISDN
- 3.3.3 Cable
- 3.3.4 Digital Subscriber Line (DSL)
- 3.3.5 FTTC/FTTH
- 3.3.6 Hybrid Fibre Coax (HFC)
- 3.3.7 Satellite
- Figure 3.6: Fixed-mobile convergence
- 3.4 Network convergence
- 3.4.1 IP Multimedia Subsystem (IMS)
- 3.4.1.1 IMS service enablers and layers
- Figure 3.7: IMS for SIP-based communications
- 3.4.1.2 IMS brings the advantage of billing convergence
- 3.4.1.3 Customer care is an important component of convergent billing
- 3.4.1.4 Billing difficulties with FMC
- 3.4.2 Payment convergence
- 3.4.2.1 The aims of payment convergence
- 3.4.2.2 The advantages of payment convergence
- 3.5 QoS in IP
- 3.5.1 End-to-end QoS with NGN
- Table 3.1: Typical QoS values
- 3.5.2 Billing for IP services requires different levels of QoS
- 3.6 Partnering
- 3.6.1 Partnership management in convergent billing
Chapter 4 Todays Billing Model and its Weaknesses
- 4.1 A mixture of legacy and NGN
- 4.2 Mobile Operator Revenue Models
- Table 4.1: Billing models and their characteristics
- 4.3 Weaknesses with legacy billing systems
- 4.3.1 Heterogeneous BSSs
- 4.3.1 Current billing systems require greater flexibility for future services
- 4.3.2 Purchasing data services through multiple accounts
- Table 4.2: Summary of billing systems weaknesses
Chapter 5 Key Billing Trends
- 5.1 Content and network convergence present a complex problem for billing
- 5.2 Integrated prepay/postpay systems
- 5.2.1 Technical and political barriers are beginning to erode
- 5.3 The real-time charging platform
- 5.3.1 Fraud control
- 5.4 Charging/packaging
- 5.4 More innovative charging policies are around the corner
- 5.5 FMC is a reality
- 5.5.1 FMC implies a significant new role of core billing
- 5.5.2 Rapid service launch and termination
- 5.5.3 True FMC systems require that billing takes a new dimension
- 5.6 Revenue sharing
- 5.7 Alternate payment options
- Table 5.1: 12 key billing trends
Chapter 6 What FMC and Other Operators Look for in a Billing Platform
- 6.1 Billing platforms need to focus on building profitable value chains
- 6.2 Consolidated billing
- 6.3 Bill Accuracy
- 6.4 Churn reduction
- 6.5 Customer retention and Revenue augmentation
- 6.6 Bill Consolidation with Individual Flavor
- 6.7 Intelligence and Pattern Identification
- 6.8 Tools for Enterprise users
- 6.9 Flexible Accounting Mechanism
- 6.10 Rapid Service Deployment and Adjustment
- 6.11 Real-time Billing
- 6.12 Satisfactory Customer Experience
- 6.13 Encompassing Critical Business Dynamics
- 6.14 Usage Specific Information Gathering
- 6.15 Handling Multiple, Concurrent Transactions
- 6.16 Transaction Granularity
- 6.17 Unified Billing
- 6.18 Appropriate Revenue Sharing
- 6.19 Multiple Payment Options
Chapter 7 Technical and Business Issues for Next-Generation Billing Solutions
- 7.1 FMC billing is characterised by multifaceted demands
- 7.2 FMC billing from an operators perspective
- 7.2.1 Billing for prototype services
- 7.2.2 How to meet operators convergence aspirations
- 7.3 A component-based architecture approach
- 7.4 Real-time Control over Services and Billing
- 7.5 Peer-to-peer threat
- 7.5.1 Flow -Based Charging
- 7.6 Billing with CRM and Service Provisioning
- 7.7 Consumer-Driven Payment Options
Chapter 8 Billing for 3G Data Services and Beyond
- 8.1 Mobile transactions are taking an increasingly financial dimension
- 8.2 The need for a flexible platform
- 8.3 B2B revenue assurance
- 8.4 Issues to address with integrated prepay/postpay billing
- 8.5 Finding the charging parameters to cater for the multiplicity of sub-segments
- 8.6 Providing greater advanced services support to the prapay segment
- 8.7 Tackling fraud control
- 8.7.1 Operator are taking a proactive role
- 8.8 Capturing market share through an effective QoS offering
- 8.9 Improving service time-to-market with new billing mechanisms
- 8.10 Unified Billing platform for m-commerce eco-systems
- 8.11 Billing issues with the move to HSDPA and 4G data
- 8.11.1 Roaming across 802.XX and multiple cellular technologies
- 8.11.2 The search for network agnostic billing systems
- 8.11.3 IMS adoption will overtake early attempts at proprietary solutions
- 8.11.4 Billing in UMA and mobile IP
- 8.11.5 Billing from a WiMAX perspective
Chapter 9 Revenue Leakage and Revenue Assurance
- 9.1 Revenue leakage
- 9.1.1 Revenue leakage is not a new phenomenon
- 9.1.1 Leakage costs the industry billions
- 9.1.2 The problem has become more complex
- 9.1.3 Leakage affects all players in the value web
- 9.1.3.1 Risk factors with offline charging
- Table 9.1: Quantifying risk factors in various network environments
- 9.1.4 Why Revenue Leakage Occurs
- Table 9.2: Reasons for revenue leakage
- 9.1.4.1 Leakage permeates the entire chain
- 9.1.4.1.2 Revenue leakage occurs even with successful downloads
- 9.1.4.1.3 Premium SMS
- 9.2 Revenue Assurance
- 9.2.1 Successful revenue assurance calls for new partnerships
- 9.2.2 RA measures
- Table 9.3: Revenue Assurance approaches from a billing perspective
- 9.2.3 Three steps to guaranteeing revenue
- 9.2.4 Real-time delivery validation
- 9.2.5 A single view of the mediation process
- 9.2.6 Rules-driven RA
- 9.2.7 Varying the levels of billing "trust"
- 9.2.8 Real-time billing
- 9.2.9 Centralised systems
- Figure 9.1: Revenue assurance strategies
Chapter 10 Costs and Revenues
- 10.1 Billing platform costs
- 10.1.1 Upfront costs - smaller is not necessarily less
- 10.1.2 Functional scope of delivery impacts the cost per subscriber
- 10.1.3 Migrating from legacy to NGN platforms
- Table 10.1: Associated costs based on multiple billing system implementation
- scenarios
- 10.2 Revenue Sharing
- 10.2.1 High commission rates can lead to radical alternatives
- 10.2.2 Revenue share models in the billing world
- Figure 10.1: Revenue sharing in the billing value chain
- 10.2.2.1 Fitting off-line content providers into the equation
- Figure 10.2: FMC billing forecast, 2005-2010
Chapter 11 Competitive Landscape
- 11.1 VoluBill
- 11.1.1 Billing Suite
- Figure 11.1: Mastering charging paradigms with Charge it
- 11.1.2 Salient Features
- 11.2 Convergys
- 11.2.1 Billing suite
- 11.2.2 Salient features
- 11.3 Portal Software
- 11.3.1 Billing Suite
- 11.3.2 Salient Features
- 11.4 LogicaCMG
- 11.4.1 Billing Suite
- 11.4.2 Salient Features
- 11.5 Intec Telecom Systems
- 11.5.1 Billing Suite
- 11.5.2 Salient Feature
- 11.6 Accipia
- 11.6.1 Billing suite
- 11.6.2 Salient Features
- 11.7 Telcordia
- 11.7.1 Billing Suite
- 11.7.2 Salient Features
- 11.8 Upaid
- 11.8.1 Solution and salient feature
- 11.9 Celona Technologies
- 11.9.1 Solution and Salient Features
- 11.10 Bango
- 11.10.1 Billing suite
- 11.10.2 Salient Features
- 11.11 Amdocs
- 11.11.1 Billing Suite
- 11.11.2 Salient Features
- 11.12 CGI
- 11.12.1 Billing Solution
- 11.12.2 Salient Features
- 11.13 CSG Systems
- 11.13.1 Strategy
- 11.13.2 Major product/solution
- 11.14 Comverse
- 11.14.1 Billing suite
- 11.15 LHS Communications
- 11.15.1 Strategy
- 11.15.2 Billing suite
- 11.16 Ushacomm
- 11.16.1 Billing suite
- 11.16.2 Salient features
- 11.17 MindCTI
- 11.17.1 Billing suite
- 11.18 Qpass
- 11.18.1 Billing suite
- 11.18.2 Salient features
- Table 11.1: Billing vendors and their customers and geographic penetration
Appendix A Lead Authors Profile
Appendix B About visiongain
Appendix C Report evaluation form
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