Tuesday, November 26, 2013

Bandwidth on Demand - "will not necessary translate to additional, new near-term revenue"

During the years I had a number of posts covering the "Bandwidth on Demand" (BoD) use-case for traffic management - either as a vendor pitch or actual deployments. BoD has several formats - increasing the bit-rate for a limited period of time (known as "Turbo Boost" or "Turbo Button") with or without "special QoS" for a certain application (video) or top-up the quota (related to usage-based billing),

Some examples - "Tekelec's PCRF Used with Verizon's "Turbo Button" API", "Allot: $3M Order for Charging, Bandwidth on Demand and Analytics", "C Spire Wireless [US] Deploys Shared Data Plans and BoD with Openwave Mobility", "tw Telecom: Case Studies for Bandwidth on-Demand", "Maxis [Malaysia] Uses Cisco, Huawei and BroadHop", "Network Norway Tries Every Possible Use-case w/Tango Telecom", "Leap Wireless to Add Bandwidth on Demand Service; Shows LTE Roadmap" and more.

All looks good? maybe not. A recent report (here) by Steve Koppman [pictures],Analyst at Large, Heavy Reading finds that "Dynamic bandwidth service capabilities like bandwidth-on-demand will not necessary translate to additional, new near-term revenue for service providers .. However, the report also finds that other benefits of bandwidth-on-demand, such as the ability to provide guaranteed bandwidth and predictable bills, make it an effective customer loyalty tool. Also, dynamic bandwidth capabilities are likely to become more of a future requirement for service providers in increasingly virtualized environments".

See "Bandwidth-On-Demand May Not Add Revenue" - here

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