Editor’s Note: RCR Wireless News goes all in for “Throwback Thursdays,” tapping into our archives to resuscitate the top headlines from the past. Fire up the time machine, put on those sepia-tinted shades, set the date for #TBT and enjoy the memories!
Telecom APIs seen as key for network monetization
A new report from ABI Research explores the role that application programming interfaces, or APIs, can play in the monetization of telecom networks. Telecom APIs aren’t a revenue item by themselves, the firm noted, but allowing access to telecom APIs by content companies, developers or other third parties creates more usage of networks and supports different levels of quality of service that those third parties are likely to pay for. APIs allow third parties to draw on data from networks and is common among Internet companies, according to Joe Hoffman, practice director for mobile networks at ABI. Hoffman added that although operators will definitely want to police who has access to that information, telecom APIs are likely to be an attractive option to leverage for monetization. “With telecom APIs, what we’re talking about that is different from the rest of the web industry is the ability to reach down and get information that is very intimate to the operation of the network,” said Hoffman. Increasing traffic and congestion on networks is likely to continue as users consume more data and the Internet of Things connects more and more devices to the wireless network, Hoffman said. While OTT apps generate relatively little revenue per user and tend to be low cost, Hoffman noted that the IoT has the potential to offer new services and connectivity where users, and third parties who are offering connectivity, will expect a high-quality user experience and be willing to work with operators to guarantee it. … Read more
AT&T sees Fixed-Mobile Convergence as the future
AT&T’s marriage of its business solutions and mobility groups reflects the union of its wireline and wireless businesses. The carrier has already merged its wireless and wireline network operations. Through its Project Velocity IP, AT&T is investing $6 billion in wireline initiatives and $8 billion in wireless projects through the end of 2015, and for business customers these investments are creating complementary services. Fixed mobile convergence (FMC) is the term AT&T uses to describe the unified communications that can be offered through wireline and wireless service from the same provider. The carrier says that some business customers may face higher-than-expected costs for mobile service as more employees rely on smartphones and tablets to get work done. AT&T offers business customers solutions that route certain mobile calls through the wireline infrastructure to cut costs. On the flip side, unified communications can mean that calls originated on a fixed line can be moved to a mobile device without interruption. Fiber is a major part of AT&T’s wireline investment. The carrier is expanding its fiber network to reach an additional 1 million business customer locations by the end of 2015. Its goal is to bring fiber to half the business buildings in its wireline service area that have six or more tenants. Fiber supports faster Internet speeds, as well as small cell and distributed antenna system installations in some of these buildings. “With IP-based services and a fully converged network to carry them, customers in the near future will no longer have to associate specific applications with specific devices or network connections,” AT&T wrote in a recent blog post. … Read more
Nokia looks ahead to data-driven AI and automation for networks
Nokia Networks is highlighting the potential of big data-driven artificial intelligence and automation, aiming to show a vision of the future for networks that allows them to more precisely allocate resources and run more efficiently. Ajit Kahaduwe, head of ecosystem innovation for Nokia Networks, said the company believes it can drive up to 30% extra capacity by allowing more application sessions to be run simultaneously and give sessions exactly the resources they need, rather than too much or too little. The technique, which the company calls its Nokia Networks FutureWorks, involves instant optimization by relying on artificial intelligence for networks in the form of an analytics and decision engine that also integrates automation and machine learning over time based on network conditions. “This cannot be achieved by current methods because … an automated, immediate and interactive loop between analytics, decision and optimization has been missing,” the company said. Nokia said that, for instance, a more intelligent network would be able to adapt to a changing subscriber environment, such as being able to provide a consistent video experience along a travel route. Kahaduwe noted that the design of networks rarely keeps pace with the way they are actually used. “The market is rapidly changing,” Kahaduwe said. “The way people use the network is very different from even five years ago. We really need to look at how we give an individual user what they’re looking for.” … Read more
Verizon preps for VoLTE
Verizon Wireless is set to launch its voice over LTE service in the coming weeks, according to multiple reports. The offering will take advantage of the carrier’s IP-based data network to transmit both voice calls and video calls. The carrier showed off the service to reporters, noting that pricing for the offering would be included in a customer’s rate plan. Voice calls using the VoLTE service would come from traditional voice bucket minutes, while video calls placed over the service would come from a customer’s data allotment. To tap into the service, Verizon Wireless customers on both ends of the conversation will need to have VoLTE-enabled devices and both be in an LTE coverage area. Verizon Wireless has noted that its LTE network currently covers more than 305 million potential customers, or nearly the same as its legacy CDMA network. Rivals AT&T Mobility and T-Mobile US have already launched limited VoLTE services, though currently the offerings are not compatible across carriers. The move to VoLTE is expected to allow wireless carriers to transmit voice traffic more efficiently and eventually shutter legacy 2G and 3G networks that are currently burdened with carrying all voice traffic and a good portion of data traffic. Analysts noted in an RCR Wireless News report last year that carriers could achieve up to 40% more spectral efficiency running voice traffic over their LTE networks compared with legacy systems. … Read more
Lower costs of space access seen as key for wireless opportunity
As access to space becomes more commonplace, wireless companies that rely in part or completely upon satellite communications stand to gain. The pinnacle of space technology will be reached, as has been the case in past eras, when it becomes commercially viable. Today, dynamic new space companies like Space X, Orbital Technologies and Blue Origin are working toward making space profitable. Orbcomm, a machine-to-machine telecommunications satellite-messaging provider, is already starting to benefit from this move. Previously, if a company wanted a satellite in orbit, it had to pay a premium and generally hitch a ride with a larger payload. Its options of launch partners were also limited by the availability of launch sites. This forces satellite companies to contract with overseas operators like the Russian Federal Space Agency, which operates Baikonur Cosmodrome in Kazhastan, adding a substantial mark up to the already expensive prospect of launching a satellite into space. Historically, satellite telecommunications firms have struggled somewhat to carve out a market niche. Their initial investment is far higher than traditional telecom companies. Orbcomm’s new satellites cost roughly $11 million each, as opposed to a cell tower which generally runs about $150,000 apiece. Satellite companies’ operating costs diminish once their satellite is in orbit, unless it is destroyed during lift off — not an unusual occurrence when dealing with rockets. Satellites such as Orbcomm’s M2M network provide vital services to clients such as GPS tracking, M2M messaging and satellite phone communication. … Read more
DT seeking buyer for T-Mobile US?
German telecom giant Deutsche Telekom is reportedly still looking to offload its U.S. operations, though reports indicate that the company is looking for a specific price.
Bloomberg reports that DT’s management recently met to discuss the future of T-Mobile US, with discussions coming away with a targeted price of at least $35 per share. That amount is just slightly more than the $33 per share amount offered up by French operator Iliad earlier this month, which was rejected by DT. T-Mobile US (TMUS) has been trading around $30 per share in recent weeks. Iliad has reportedly been in talks with Google and Microsoft about potentially going in on a bid for T-Mobile US. The dismissal of Iliad’s bid was before rumored suitor Sprint — funded by parent company Softbank — replaced long-time CEO Dan Hesse with former Brightstar founder and CEO Marcello Claure and stated that it was not currently interested in making a formal bid for T-Mobile US. Sprint had been rumored to have agreed to a $40 per share bid for T-Mobile US, though no official offer was made. DT managed to shed some of its interest in T-Mobile US following T-Mobile US’ acquisition of MetroPCS, which through the convoluted structure of the deal cut DT’s interest in T-Mobile US to around 75%. DT had originally gained control of its U.S. operations in 2001, in a deal originally valued at nearly $50 billion. DT nearly shed T-Mobile US in 2011 for $39 billion in a deal with AT&T that was eventually scuttled by regulators. Over the past several quarters, T-Mobile US has been one of the fastest growing domestic wireless operators, often out-gaining its larger rivals in customer growth. … Read more
Check out the RCR Wireless News Archives for more stories from the past.
