Industry
News & Trends
Carriers Losing Billions
A recently published report by
research firm Analysys revealed that global telecoms operators are
losing an estimated 11.6 per cent of turnover ($170 billion) through
fraud and other types of revenue leakage in 2005, compared to 10.7 per
cent in 2004.
The Operator Attitudes to Revenue
Assurance 2005 report surveyed over 100 operators from different
regions of the world to investigate levels of revenue loss. The major
sources of revenue loss continue to be fraud, credit management,
least-cost-routing errors, interconnect/partner-payment errors, and
poor processes and systems. The report reveals that fraudulent
activity, in particular, has risen since last year and is now the
single largest area of revenue leakage (2.7 per cent).
Other findings reveal that fixed-line
operators continue to lose less than their mobile counterparts and once
again there were strong regional differences. Operators in North
America, Central and Latin America, the Middle East and Africa, in
particular, suffered from more revenue leakage than the global average.
However, the report did reveal the importance of revenue assurance is
continuing to grow, with over 60 per cent of respondents believing
revenue assurance to be more important than in previous years.
Danny Dicks, principal analyst at
Analysys, said: "This is the fourth year we have carried out the
research and it is clear that operators are becoming more realistic
about loss levels. Consequently, many operators now have dedicated
revenue-assurance teams and are investing in external help, in order to
reduce losses."
OSS Complexity May Delay Triple Play
Deployment at Large U.S.Carriers
Bethesda, September 6, 2005 -
According to a newly released Dittberner Associates research study, OSS
Systems for Triple Play Services, operational support system (OSS)
problems may delay the deployment of triple play services by large
U.S.carriers such as BellSouth and SBC.
Dittberner’s report cites
certain service activation, trouble management, and service assurance
issues that need to be ironed out before carriers can profitably deploy
triple play to mass markets.
“Triple play is set to
deploy in a matter of months, but the OSS systems that need to support
them are still in R&D mode,” says Dan Baker, research
director of Dittberner’s OSS/BSS KnowledgeBase™.
“It’s a divide and conquer strategy. No OSS vendor
can deliver a complete solution, so the carriers are divvying out
portions of the problem to their trusted OSS suppliers. However,
considerable synchronization and testing will be needed to glue all
those pieces into a system that’s sufficiently
bulletproof,” Baker adds.
Among the tough triple play OSS issues
Dittberner’s report cites are:
Quality
of Service and Trouble Management: Traditional
fault and performance management systems monitor network devices via
alarms and thresholds. As it happens, IP services layered on
top of many network elements and third party supplied components,
complicate the correlations required to understand QoS or quickly
respond to trouble.
Service
Activation: Deploying sophisticated IP and triple play
services requires highly flexible and accurate service activation
systems that understand the dependencies and subtle nuances of hundreds
of versions of network devices.
Build
vs. Buy: Carriers are still torn over whether to
“build” or “buy” their
OSS capabilities. On this score, Dittberner’s report sees the
market divided into two camps today: carriers such as Verizon who favor
building triple play OSS capabilities in-house and carriers like SBC,
who are committed to buying from COTS vendors.
Interconnect
Assurance: Carriers need to be far more aware of
network capacity and quality issues as they expose their infrastructure
to other operators as in the case of a third party service provider
hosting a game server that requires the incumbent LEC to deliver a high
QoS connection to the end user.
Video
Set Top Monitoring: Carriers must not only monitor network
quality, but also service quality at the customer’s home,
hence the OSS must be smart enough to retrieve and analyze QoS reports
from millions of residential set-top boxes.
Network
Inventory: In recent years, large carriers have toyed with
the idea of centralizing provisioning information in an inventory
system. However, the IP network is so dynamic that it’s hard
to maintain accuracy. Consequently, carriers are now exploring ways to
marry provisioning and inventory systems with telecom discovery tools.
Details on how large carriers
are deploying OSS for triple play services are contained in
Dittberner’s recently published report: OSS Systems for Triple
Play Services. For more information: www.Dittberner.com.
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