. . SPINOVER | DIGITAL MEDIA SERIES . . . . Mobile Video & Caching Opportunity assessment Sujit Mishra
Introduction As video streaming and rich media downloads continue to ﬂood operator networks, with no end in sight, network operators are evaluating and deploying transparent Internet caching inside their networks to address a broader range of Internet content. Telcos, carriers, MSOs and ISPs are hard at work building out CDN and transparent caching services inside their network for the delivery of video.
Changing landscapes • TV is no more ‘the entertainment gatekeeper’ – consumer wants connected experience (seamless between – device, network, content) • Realtime entertainment is big -‐ *25% of US mobile phone owners watch video at least once a week on their phone • Tablet users like long-‐form content -‐ *Thirty-‐two percent of people who watch video on tablets weekly are viewing full-‐length TV episodes or full-‐length movies • Customer experience is critical pillar of diﬀerentiation -‐ *49% of consumer (in a survey) said they are “very willing” to pay an extra 10 percent per month for higher speeds automatically provisioned to them based on usage to improve their QoE • The lines are blurring between the roles of over-‐the-‐top (OTT) providers, network owners and devices manufacturers * Source : Yankee & various online reports
Impact vs. opportunity • Build on-‐deck 3-‐screen entertainment • Increased capital investment to propositions, which becomes more build new bandwidth capacity in appealing as consumers get more ﬁxed and mobile access, comfortable watching video on smartphones and tablets aggregation, backhaul, edge and • Introduce tiered pricing models that core network bring customers back to paying for what • Increased transit costs, especially they use for Tier 2/3 network operator • Build their own CDNs to compete for CDN retail and wholesale spending and • New investments in tiered optimize existing network investments bandwidth pricing and usage caps, for online media delivery content caching or traﬃc shaping • Leverage their own network footprint to cache content closer to users, • Enhanced interest in network increasing perceived QoE by reducing optimization solutions content response times • Investments in organic CDN • Package subscriber intelligence insights capabilities into usable formats for interested third parties such as content owners, aggregators and/or advertising agencies
Focus : Transparent caching Transparent caching scores high in network operational savings and enhancing perceived QoE. It scores high because… • Optimizes bandwidth; store and deliver popular OTT Web content in caches positioned locally within a service network • Brings in better QoE altogether, specially for popular contents • They are “transparent” -‐ they do not manipulate content protocols or ﬁle types, nor do they disrupt business logic for the owners of cached content • Is low on capital intensity, making it particularly attractive to evaluate closely • Brings in new revenue opportunities for OTT content monetization – guaranteed QoE
History Content caching technology utilized for network optimization has been available for many years, and today, there are a couple of diﬀerent types of caching approaches being used. • Originally for basic web caching – Web pages, HTML ﬁles, Web objects. • Objective : application acceleration & scale • Then there are “service speciﬁc caching” like “Google cache” • Business model : content delivery network (CDN) make their money from content publishers who typically pay based on volume
Twist in the tale Content delivery network Network service operators • They are paid by content • Their money comes from their publishers subscribers • Internet bandwidth cost has • Bandwidth cost inside wireless gone much cheaper in last ecosystem is too high decade • Huge investment with hardly any • They tend to gain from return – “non-‐sustainable increasing video traﬃc business model” • Good job distributing content • Handle content travel inside regionally, until traﬃc leaves the network service operators until CDN servers last mile (network edge) • Content stored, based on • Cache the content, based on business agreements intelligent decisions
Internal-‐‑CDN & Transparent caching two technologies complement each other in the context of holistic media delivery architecture • An internal CDN store, distribute and deliver on-‐net, premium content such as IPTV and mobile video. Within a CDN, a transparent cache is not necessary because CDN is used to distribute content it has legal rights to cache • A combination of internal CDN and/or transparent caching help monetize network and IT assets. SPs can monetize their CDN investment by cost-‐ eﬀectively distributing their own content or renting capacity to content owners in a business model similar to that of stand-‐alone CDNs such as Akamai and Limelight • The single biggest driver for SP interest in transparent caches is that they bring popular content closer to users in cases where the SP does not have the legal right to use its internal CDN for caching HTTP content. This type of traﬃc represents up to 80 percent of all Web traﬃc traversing Internet peering links. This is particularly important as more IP traﬃc types move to standard HTTP-‐based delivery models
Solution segmentation • Fast ROI for Tier 2/3 operators with PeerApp, Oversi, expensive IP transit costs Transparent • Better QoE and cost reduction for Bluecoat*, BTI, Dialogic, Juniper, Caching only Tier-‐1 Verivue, Huawei, • Most Tier 1 network operators are Cisco, Juniper, Internal CDN & pursing internal CDN strategies to lower opex costs to deliver their own Edgeware, Verivue, transparent rich media services and position Huawei, ZTE, themselves to oﬀer CDN services to caching enterprise customer AlcatelLucent, Azuki, Skytide Consumers want the freedom of the internet but with the QoS of walled garden services. Telcos can deliver that promise * Bluecoat is bought over by Thoma Bravo
Transparent caching – QoE/RT* * RT – Response Time The global transparent caching market is poised for robust growth driven by an increased demand for web based video. Still in its infancy, the markets worldwide revenues should equal just over $140M in Yr-‐2011 and is expected to grow at a compound annual growth rate of 39.3% from 2010 to 2014 to reach over $400M dollars in revenues by 2014 * Frost & Sullivan
Transparent caching : Must have feature 1 • Should cache : most-‐viewed/viral, potential-‐viral; in multi-‐codec, multi-‐size, multi-‐device prof • Should keep unique copy of content for diﬀerent URL • Should do “Preﬁx caching” -‐ where initial portions of videos are cached to reduce playback latency. SMART • Should do “Segmented caching” – with the basic minimum implementation of “popularity-‐based segmented caching”, where caching of entire videos is dynamically managed based on popularity predictions. • Should do “caching with network DVR like seek functionality • Must support multiple protocols and content types : HTTP video, HTTP-‐based ﬁle sharing, Adobe, QuickTime, Silverlight, real-‐time messaging protocol (RTMP) and real-‐time streaming protocol (RTSP) 2 • Should not impact any application or service logic, meaning critical functions TRANSPARENT like authorization and click-‐thru impressions are preserved so as not to impact OTT/content business models • Should not serve stale content or content that has been removed from the Internet
Transparent caching : Must have feature 3 • Rules should be controlled within the realm of its network operations. BUSINESS PROCESS Allowing SPs to determine the speed at which content should be accelerated while being mindful of congesting downstream elements in the network. • Should allow SPs to manage – “white-‐listing / black-‐listing” of URL (content source, request source/subscriber) and speciﬁc content or content genre/ category • Should allow SPs to deﬁne : “house-‐keeping rules -‐ o For cache time to expire o Content cache hit vs. content cache level o Clean-‐up/purging rules • Should allow SPs to conﬁgure : content sync rules between master & cache content serving nodes; manage ACCP (access control for content copy) 4 ARCHITECTURE • Should support “distributed & hierarchical –architecture” (for broadband), and “distributed-‐arch” (for wireless/IP-‐Core) • Should support “transparent in-‐band architecture” : where the session between the subscriber and origin would be preserved, but requested objects are cached or served from cache based on analysis performed by the cache system …
Transparent caching : Must have feature … • Traﬃc for “transparent in-‐band cache systems” would be redirected using : o policy-‐based routing (PBR) o deep packet inspection solution ARCHITECTURE o Web Cache Communication Protocol (WCCP) o application load balancing equipment • Should support “transparent in-‐band architecture” : where border gateway protocol (BGP) or static routing, is would direct request traﬃc to a cache manager, where request is analyzed and based on an algorithmic decision, a speciﬁc content request is directed to a cache server that has the object in storage to serve the object. In the event that the requested content is not available, the cache manager would forwards the request to the origin and the content would ﬂow directly from the origin to the requester. And it would tell a cache server to retrieve the content from the Internet for the next user. Cache managers (masters) would be centrally located. 5 • Should have QoE agent, continuously monitoring and measuring following, and accordingly system should optimize itself automatically : QoE o Perceptual quality (as user would see) of content available in cache o Quality measurement of content received from source vs. cached vs. stream downwards o Quality measurement of content served directly from source to end-‐device, passing through cache manager
Transparent caching : Must have feature 6 • System should log every metadata of request, response into database and CDR • System should allow data-‐query interface & API for “Business intelligence and STATS & OAM analytics” • System should provide some real-‐time information on via dynamic UI (browser-‐based) o Cache gain details (The ratio between Cache Output and Cache Input). A higher Cache Gain indicates higher cache eﬃciency o Cache hit ratio • System should allow – Network management & OAM stuﬀ, along with SNMP support.
Disruptions & threats • If major OTT or virtual MSOs, starts encrypting content while streaming downstream – caching then solves only a part of problem • OTT never liked middleman between his customer and himself – as they are scared of missing valuable behavioral & analytical data of their end-‐ users o OTT would continue changing HTTP header parameters, URL and their metadata encoding schemes • Video advertising on mobile videos would make life of cache middleman more diﬃcult • DMCA (Digital Millennium Copyright Act) and related EU copyright act, doesn’t deﬁne very clearly the copyright rules for mobile internet, as was originally done for ISP (open internet)
What’s happening in the ﬁeld? • Alcatel partners with Bluecoat to deliver comprehensive “internal-‐CDN and transparent caching solution” to a tier-‐1 telecom operator. (Note : Alcatel acquired Velocix, which got them media delivery infrastructure capabilities and real-‐world experience in running a CDN business) • EdgeCast and PeerApp Team Up To Combine CDN With Transparent Caching • True Internet selects Oversi OverCache for its superior performance, scalability and Out-‐of-‐Band architecture (reaches 100 Gbps of net cache out capacity) • Oversi Signs Nine New Customers in Latin America • Verivue Joins itaas, RGB Networks and Verimatrix to Ease Deployment of Live Video Streaming to Multiple Screens