1 © 2006 Nokia

Fixed Mobile Convergence

The future of communication networks

János Kurtz

11/05/2006

2 © 2005 Nokia

Why Convergence?

• Why are we talking about Convergence?

• New ways of communication

• Operators look for new customers

• Users expect more for less (better services for less money or even for free)

• Prices are going down

• Competition is increasing

• Technology enables it (SIP, IP, fixed/mobile broadband access)

Circuit Circuit switchedswitched

Packet Packet switchedswitched

FixedFixedMobileMobile

3 © 2005 Nokia

Voice calls vs. IP technology• Everything goes IP

• But Mobile CS voice will be there for very long time

• IP is disrupting the traditional telecom business model

• From “high margin low risk” to “low margin high risk”

• New Virtual Network/Service Operators emerging

• Mobile voice ARPU is decreasing

• Next 1B new mobile subscribers mostly in emerging markets

• Voice prices are going down

• Tiered pricing

• Flat rates

• Free

4 © 2005 Nokia

Convergence for the market

Service providers

• Telco Operators• Fixed-line operators need to resist to fixed-

mobile substitution and find new revenue sources

• Mobile operators aim to introduce new services • Competitive new entrants operators want to

establish a stronger customer base

• VoIP Operators and Mobile Virtual VoIP Operators and Mobile Virtual Network Operators (MVNO)Network Operators (MVNO)

• VoIP operators wish to enlarge their service penetration through mobile-enabled offers

• MVNOs look for differentiating partnerships to successfully penetrate new market segments

• Cable OperatorsCable Operators• Cable operators need to offer more than

digital TV to contrast the increasing competition• They are strengthening their triple play

strategy introducing VoIP and launching high speed Internet

Customers

• Business• Reduction of overall communication costs• Extension of PBX functionality to mobile

workers• Enhancement of business applications to boost

productivity and gain competitive advantage• Device and access independence

• ConsumerConsumer• Convenience of a single terminal with single

numbering• Seamless customer experience• Better quality of service, both for voice and

data services• Avoid multiple billing• Lower communication costs (convenient price

plans, discounted subscriptions…)

5 © 2005 Nokia

What is Convergence?

FixedPSTN voice telephony

Mobile Voice

telephony

FixedVoIP

telephony

Mobile Multimedia services

FixedMultimedia services

UnifiedCore

( CONTROL AND SERVICE)

Multi-access

ServiceProviders

PSTN/PLMN

BusinessOperations Support

Systems

For service providers

For users

6 © 2005 Nokia

The convergence of media & content

ImagesMMSs Audio/music

• Entertainment-oriented / information-oriented content• User created (images, video clips, music …) / commercial content• Personal favorites (music, movies, videos, games, applications, …)• Group & community (family, friends, son's soccer team, …)

• Everything goes Mobile• Everything goes Broadband

• Including both fixed and mobile wireless

Key success factor: value and easy to use!

ApplicationsVideo clips,streaming

…producing, owning, consuming, sharing, editing, storing and mixing…

7 © 2005 Nokia

• Real Time Video Sharing• Share the moment instantly in real-

time - ‘See What I See’

• Enables spontaneous behaviour

• Share the camera view or video clip whilst in an ongoing session

• Unidirectional mobile video streaming between peer users

• Enables convergence with PC clients

• Ideal service for EDGE or WCDMA networks

InviteInvite

Video & audioVideo & audio

AA BBOngoing sessionOngoing session

Connect with IMS

Download

… and play!

• Interactive applications• Terminal pre-installed and

downloadable applications

• Utilizes the SIP reachability and IP connectivity provided by IMS

• Interactive applications can be implemented with Nokia IMS in any packet network (e.g. GPRS)

Services examples

8 © 2005 Nokia

Internet

Provisioning

Charging

OSS

GSM, GPRS, EDGE, CDMA, WCDMA, HSPA, …WLAN,

Cable,DSL,…

Business partners

Access from fixed and mobile networks

PSTN

IP TransportIP Transport

SMS

INMMS

IMScore

PoCPresence

List mgmt

VoIP Server

MSS

SIP/ISC

Other AS…(IP Centrex, ...)

Corporate

Nokia Unified Core Network

9 © 2005 Nokia

Your opportunity

• Forum Nokia www.forum.nokia.com/sip • It’s free!

• Learn about SIP/IMS

• Download SIP APIs for servers and for phones

• Develop your own application

• Launch your company and service!

• Join Nokia Cooperative Education program• Open for students

• Gain practical experiences at a telecom company

• Learn from the first line

• Improve your CV

10 © 2005 Nokia

Thank You

11 © 2005 Nokia

Services and Applications Domains

• SIP/IMS based services/applications

• Voice, multimedia, file sharing, messaging

• SIP/IMS provides • Interworking and mobility between CS and PS

• Operator session control (billing/charging, filtering, etc.)

• Event notification and push support

• Possibility to deploy new application servers

• Non-SIP/IMS based services/applications

• HTTP/Web, streaming, TV, emails, SAP, DBS, etc.

• Peer-2-peer applications: Skype, Bitorrent, EDonkey, etc.

• Authentication, authorization, security, mobility, QoS etc need to be addressed using mechanisms other than SIP/IMS