GDS International - Mobile Cloud Suite


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There is no question that the ever expanding over-the-top (OTT) voice, video and messaging apps are
starting to put tremendous pressure on mobile operators’ core services. The revenue impact is still
varied across different regions but the trend lines clearly indicate that more and more voice and
messaging traffic would continue to shift to OTT services. Mavenir Systems is offering an innovative
solution - Mobile Cloud Suite (MCS) - for mobile and converged operators to respond to this threat
posed by OTT applications. The solution was conceived and eventually developed with the clear view of
the operator network capabilities and market differentiators in mind. MCS will not only provide a hedge against future revenue leakage, but more importantly allow the operators to market their own branded rich
communication services to increase revenue from other value-added services. A lot of global operators are also evaluating RCS/RCSe. The GSMA initiative is moving slower than expected. The MCS solution includes a set of core network capabilities bundled with a user-centric white label client to allow operators launch RCS/e ompatible services now.

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GDS International - Mobile Cloud Suite

  1. 1. MCS - Mobile Cloud SuiteA core network solution and white label mobile app for operators to launch rich communication services and compete against OTT playersFor more information on Mavenir Systems, visit our Web site: reasonable effort has been made to ensure the information and procedures detailed in this document arecomplete and accurate at the time of printing. However, information contained in this document is subject to changewithout notice.© 2012 Mavenir Systems Inc. ©2012MavenirSystems I
  2. 2. IntroductionThere is no question that the ever expanding over-the-top (OTT) voice, video and messaging apps arestarting to put tremendous pressure on mobile operators’ core services. The revenue impact is stillvaried across different regions but the trend lines clearly indicate that more and more voice andmessaging traffic would continue to shift to OTT services. Mavenir Systems is offering an innovativesolution - Mobile Cloud Suite (MCS) - for mobile and converged operators to respond to this threatposed by OTT applications. The solution was conceived and eventually developed with the clear view ofthe operator network capabilities and market differentiators in mind.MCS will not only provide a hedge against future revenue leakage, butmore importantly allow the operators to market their own branded richcommunication services to increase revenue from other value-addedservices. A lot of global operators are also evaluating RCS/RCSe. TheGSMA initiative is moving slower than expected. The MCS solutionincludes a set of core network capabilities bundled with a user-centricwhite label client to allow operators launch RCS/e compatible servicesnow.In a recent study done by MobileSquared for Mavenir, 80 percent of thecarriers surveyed agree that OTT messaging apps are a threat to SMSmessaging, a market which is expected to see eight trillion messages sent this year . Videocommunications have truly arrived. With Skype reporting that more than 50% of Skype-to-Skype callsinclude video, and Cisco reporting that mobile video traffic exceeded 50% in 2011 and projecting thatvideo will exceed 70% of the world’s mobile traffic by 2016, it is clear that consumption of mobile videois driving huge opportunities in today’s networks. With Mavenir’s MCS solution, mobile and convergedoperators will now be able to offer reliable and rich chat, multimedia sharing, group conversation, videocalling and network storage functionality across smart phones, tablets and web devices. The client isavailable for multiple smart phone ecosystems that can be branded and localized.The MCS solution utilizes the mobile operators’ key network assets and customer relationships byproviding a seamless user experience based on a single phone number and inter-working between theMCS-based service and the global SMS network. MCS has the ability to add value to operator service ©2012MavenirSystems 1
  3. 3. bundles, increase data penetration, target mobile advertisements and up-sell value added services, suchas media sharing, group chat, video calling, video streaming, video conferencing, cloud storage andbusiness packages.The Mobile Cloud Suite (MCS) solution is designed specifically to help innovative operators provideexceptional rich communications experience to today’s demanding mobile users. Gone are the dayswhen mobile subscribers were content with plain old voice and SMS services. The increasing penetrationof Smartphones, and the ever mushrooming choices of OTT voice, video and messaging applications, isstarting to drive users away from traditional operator services.Mavenir has been studying this trend for the past few years, and as a result, has developed the newMCS solution to equip mobile and converged services operators to more effectively compete against thepopular OTT apps such as Whatsapp, BlackBerry Messenger (BBM), and iMessage. The solution alsoprovides voice and video calling capabilities right out of the MCS mobile app and gives the operators anew way to compete or interoperate with popular services such as Skype and Fring.Mobile Cloud Suite is powered by the same Mavenir solution that addresses the need for a smoothmigration to and interworking with RCS/RCS-e when the operators do decide to launch the IMS basedservices on a mass scale in the next few years. Mavenir White label MCS Client for Android Tablets ©2012MavenirSystems 2
  4. 4. Richer Messaging Features to Beat OTTThere are distinct strategic competitive advantages that the operators would be able to realize with MCSto compete more effectively against OTT players if they choose to do so. Of course not all operators areexpected to compete against OTT players. Some are in fact thinking about developing partnerships withthem. For those that are taking the OTT players head-on or plan to launch their own service in parallel topartnering with OTT, they will have a clear competitive advantage. For example, phone number baseduser registration and authentication, bundling with voice/video, consolidated billing, security/privacywould be some of the key elements to offering enhanced user engagement and differentiatedexperience. Key Differentiators of Mavenir’s MCS SolutionMavenir’s MCS is fully built with the key RCS/RCS-e and One API requirements in mind while addressingthe needs of today’s demanding users. Below we elaborate on the services and features that MCSenables for the operators to quickly launch their own differentiated rich communication services:Phone Number Based Registration/Authentication/Routing - MCS lets the operators to bundle theservice with the existing service plan (with the existing phone number) and removes the hassle ofregistering and memorizing User Name / Password. The service just works as it always has with SMS.That is one of the reasons why a majority of users still use operator provided text – it’s the convenience.1:1, Ad-hoc, and Pre-defined Group Chat - Most users have access to popular services such as Yahoo!Messenger, Windows Messenger, BBM, Whatsapp, iMessage etc. the MCS Solution makes it really ©2012MavenirSystems 3
  5. 5. simple and easy for the operators to offer a richer IM solution that adds the new popular element ofgroup chat. Also, multimedia, location and contact sharing are some of the other “must have” featuresthat make the messaging experience richer for the end users.SMS/MMS Interworking - With MCS, operators will have the unique capability to provide seamlessinterfaces between applications users and the users of the traditional SMS/MMS services. No other OTTmessaging applications can do that elegantly. Most of the main apps like BBM don’t provide thisfunctionality, especially in group chat scenarios. Mavenir’s MCS solution makes it easy for the operatorsto integrate their IP messaging infrastructure with the traditional SMSC to remove any artificialboundaries.Voice & video Calling from MCS Chat sessions – The MCS service will provide seamless access to voiceand video calling capabilities right from the mobile app. The feature will let the MCS users initiate 1:1video sessions with “one click.” In the future, the same video app will provide easy integration withother 3rd party video services such as Skype and RCS/RCSe video enabled clients – removing the artificialboundaries created by the enclosed community based apps and hence enhancing the user perception ofthe operator provided rich communications service.Device OS Agnostic accessibility and experience - MCS provides the openness that users desire andmakes it simple for the subscribers to not only engage in app-to-app interaction on the same operatornetwork, but also connect with legacy SMS users. Given the OTT nature of the solution, the operatorsalso have the option to offer the service to subscribers on their competitor’s networks. Currently, app-to-app service is supported on the Android OS 2.3 and 4.0 devices. iOS support is under development andwill soon be made available to provide cross platform interoperability.Cloud based Conversation History and Group Information Storage - As more and more communicationnow occurs over messaging clients, there is a clear need to ensure that conversation history is availableany time, from any device. Group messaging, which is also a key feature of MCS, requires that groupprofile and management can be accomplished via the cloud storage solutions. Mavenir’s MCS solutionworks across XDMS and User profile operator databases to ensure that seamless experience for 1:1 andgroup messaging is realized in an elegant and reliable manner. ©2012MavenirSystems 4
  6. 6. Mavenir White Label MCS Client Screenshots ©2012MavenirSystems 5
  7. 7. MCS Video Communications – here and nowCompared to voice, video calling is more effective, more rewarding and more real for most people.However, at a personal level with live cameras, it also more invasive. With Skype, users have learnt tovideo call on the back of IM and voice calls - where user permission is established before the cameras goon. This integrated approach, providing video communications withvoice and IM, has obvious advantages for operators. Operator voice andmessaging services provide the perfect universal connectivity andconvenience from which video calling can be presented to the massmarket.MCS offers this seamless approach to mobile video calling:  Mobile Video calling capability auto provisioned – users do not worry about the set-up and complexities of video calling. If two parties are in an IM or voice session, the MCS client will establish whether video calling is currently possible with the other party and provide an <add video> when available  Mobile Video calling in one click – during an IM or voice call the <add video> instantly upgrades the session to video calling. Equally a <end video> button can suspend the video session and fallback to IM or voice.  Mobile Video calling just works well – voice and video are carried over IP, are synchronized and through Dynamic Bit Rate Adaption provide smoother video as good or better than is typically available with peer-to-peer OTT client applications - especially important give significant bandwidth requirements of video and the bandwidth constraints of mobile networks. ©2012MavenirSystems 6
  8. 8. Competing Against FreeWe believe that the mobile operators can offer the basic MCS service as “free”. The idea is to competewith the same value that is being created by the OTT players and bring it back within the operatorecosystem. The results from a recent global study conducted by Ovum suggest that use of popularservices like Whatsapp, Blackberry Messenger and Facebook chat led to a loss of $13.9 Billion inrevenues to the operators in 2011.Operators have multiple avenues to monetize the investments from value-added features such as videocalling, video sharing, cloud storage of multimedia content, in-app advertising and generation ofincremental SMS/MMS traffic as part of groupchatting from non-MCS users.MCS offers plenty of features and capabilitiesthat could be monetized directly or indirectly bythe operators once they decide to deploy thesolution. Some of the broad categories thatoffer the opportunities to impact the bottomline include:  Enhanced Voice & Data Services Bundles – the addition of a sticky service such as rich messaging enhances customer loyalty and positively impacts churn. Also, the addition of MCS to existing messaging packages could result in higher ARPU.  Increased Data Penetration and Usage – tiered plans are a norm, especially in the North American market. MCS offers the opportunity to offer higher value data plans. A low tiered data plan could be conceived just for MCS that would allow the operators to move their subscribers from 2G to 3G in developing countries  Increased SMS and MMS and DATA Traffic – Operators will continue to charge for SMS and MMS messages going to non-MCS users (Skype model). Group chat creating usage on MCS will lead to capturing the pent up demand to share ideas, life experiences and photos with groups all leading to increased data usage and revenue. ©2012MavenirSystems 7
  9. 9.  Cloud Storage – conversation history and hosting/storage of user’s multi-media could offer an opportunity to charge on a monthly or annual recurring basis.  Per Use Charging for Multi-media Sharing – some of the video and image files that user send could be large. The basic limit, for example, could be set at 1M and the operators can offer plans for additional bandwidth usage on a per use or transaction basis.  Upsell Opportunities o Cross Selling and Advertisements – operators can offer the basic service for free with the customer opting-in to receive offers for other operator services and packages. o Business Packages – focus on group collaboration, reliability & securityThose are just some of the ways operators may be able to monetize the investment in MCM.MCS Technology EnablersMCS is a REST-based set of services that requires four key technology elements to realize the fullbenefits of the rich features: 1. A Smartphone client (provided by Mavenir, branded as per operator needs) 2. Messaging Application Server 3. Video Feature Server 4. XDMS for Cloud Store Management 5. Authentication Gateway for non SIM devices such as tabletsIn contrast to RCS/RCS-e services that delivered over IMS core, MCS is enabled by the widely used webstandard, REST APIs. When the operators decide to launch RCS/RCS-e in the future, the sameMessaging Infrastructure that supports MCS would be capable of handling both services. Someadditional elements such as interoperability between MCS and RCS/RCS-e devices will be made availablefor common services such as 1:1 and adhoc group messaging. Mavenir’s approach allows the operatorsto invest in Rich Messaging today and positions them as innovative, customer driven messaging playersin the fast moving OTT market. ©2012MavenirSystems 8
  10. 10. In SummaryThe MCS solution provides operators with an opportunity to rapidly monetize an emergingcommunications trend and allows them to provide a differentiated experience leveraging their networkassets. The Video & Messaging market is moving fast with OTT players grabbing more and more usermindshare. It is imperative that the operators keep the subscribers loyal to their services and not waitfor RCS/RCS-e to meet the user needs. MCS provides a practical and elegant solution to introduce anoperator branded OTT service that can later be integrated with RCS/RCS-e services at the networkinfrastructure level. The MCS service can be deployed and delivered from the mobile operator’s ownnetwork infrastructure (in-network) or cloud implementation in partnership with Mavenir and itshosting partners.About MavenirMavenir Systems is a leading innovator of voice, video and messaging infrastructure solutions for serviceproviders to offer value added solutions on mobile broadband. The company provides IMS and cloudvalue added solutions for mobile service providers to transform their networks and offer a richcommunication experience. Customers have benefited from a number of technology firsts, including:the first network with voice and SMS over LTE services; the first network with IMS-based voice over Wi-Fi calling and messaging; and, the first Converged IP Messaging deployment. ©2012MavenirSystems 9