Saturday, July 5, 2014

[Ovum] The Need for Intelligent Optimization Tools

A new study by Mahindra Comviva and Ovum Consulting, finds that "With the growth in mobile data, the complexity of managing traffic has also intensified driven by greater use of bandwidth hungry applications and heightened customer expectations for an ever-higher Quality of Experience (QoE). According to Ovum Research’s recent forecasts, global mobile broadband connections will cross 4.5 billion at a CAGR of 19% from 2012 to 2018 as demand for data connectivity from big- and small-screen devices continues. It also predicts that mobile broadband revenues will grow to approximately $278 billion in 2018 at a CAGR of 11%.

  • Current optimization techniques are applied principally as a blunt instrument for Capex containment. The broad application of optimization policies such as compression has negative fallout on revenue, especially for operators who predominantly extend volume based plans to customers. 
  • Data traffic is distributed unevenly on the network. An approximate 20% cell sites are congested at any point of time. The study posits a more intelligent approach to optimization is possible, one that can improve customer experience and service personalization based on real-time invocation of business rules and policies. 
  • Currently 20% operators have invested in intelligent optimization tools. The report indicates 60% operators would deploy intelligent media optimization within the next 12 months, driven by the need to deliver a consistent QoE (Quality of Experience) and grow revenues.

See "Real-Time QoE based service plans would be the new norm by 2015" - here.

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