cable mso's vs telco-who's winning and why
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Brian Cappellani, Sigma System's presents at the TMForum Americas event in 2007TRANSCRIPT
1© 1996 - 2007 Sigma Systems. Private & Confidential.
“Cable MSOs vs Telco – Who’s Winning and Why”
Brian Cappellani, Sigma Systems
Who is winning ?
• Depends who you talk to …..• Successes on both sides
Telco Successes
• Continued growth in HSD in North America– U.S. phone companies signed up at least 100,000 more high-speed data
subscribers than cable operators during the fourth quarter of 2006 1
– For the ninth time in the last 11 quarters, telcos beat their cable counterparts 1
– Now have close to 45% of market• Continue to dominate HSD outside of North America
– 65.7% global market share for DSL 2
• Getting video rolling– Statewide franchises in many states– Verizon FiosTV hits 25% penetration in markets where it is
introduced– IPTV successes in Asia PAC
1 Cable Digital News2 DSL Forum
Cable Successes
• VOIP continues to be a success– Customers in US accessing VoIP via their cable provider jumped 167% in 2006
from 3.9M subs to 6.3 M subs 1
– By end of 2007 Comcast will be fourth largest residential telco in U.S.• Now moving into business services
– Not just SMB VOIP– Cox is #4 in U.S. retail business Ethernet providers3
• Continue to lead on HSD in North America– Cable continues to lead the U.S. broadband access market by commanding 54
percent of total subscriptions 2
• Major operators now rolling out wireless with “Pivot” Brand• “SpectrumCo” now owns US spectrum
1 Yankee Group2 Strategy Analytics
3 Vertical Systems Group
Same Fears
• Fear being relegated to “pipe providers”– Access margins eroding
• Pressure from new and “Web 2.0” entrants
• Both recognize need to “evolve”
New Services Demand New Level of Agility
Increase Velocity of Service Introduction
Telecom IT Enabler Building Blocks New Services
Months/Years Days/Weeks
Define & re-use service & application building blocks & enablers
Provide appropriate simple, abstracted APIs
Make these enablers available both internally and externally to partners
Provide the capability to rapidly “on-board” new partners
7© 1996 - 2007 Sigma Systems. Private & Confidential.
Cable Operator Perspective
Brian Cappellani, Sigma Systems
Key Initiatives
“Keep pushing the bundle”• Continue with residential VoIP rollouts
– In 2007, Comcast added 2.4 M VoIP subs – now 4th largest residential phone company in US
– 80% of voice customers take all 3 products
• Expand On-Demand capabilities– Comcast had 1.9 Billion VOD views in 2006
• Roll out OCAP– Enable STB and application standardization, converged
delivery to STB
Commercial Services– SMB commercial VoIP– Data services
Wireless Integration
Key Challenges
• Is there a Bandwidth Gap ?– SDV, Micro Nodes, 1GHz overlays, DOCSIS 3.0
• Wireless Integration– Pivot rollouts slower than expected
• Need to transition existing OSS, systems and technology to support:– Converged services – Partner Integration– Rapid introduction of new products & services
10© 1996 - 2007 Sigma Systems. Private & Confidential.
Thank You
Brian Cappellani, CTOSigma Systems
Telecom Carrier Strategy
Date: November 8, 2007
Arthur J Musgrove
Director, Network Operations Systems
TELUS
About TELUS (2006 Year End)
Revenue: $8.7Bn
Customers: 10.7M (4.5M wireline/5.1M wireless/1.1M Internet)
Incumbent in British Columbia, Alberta, and Quebec
About OSS @ TELUS
Integrated national capabilities
220 applications
340 employees and contractors
36 active implementation projects
Challenges & Opportunities
Erosion of traditional Local and Long-Distance business
Growth of High-Speed Data, Internet, Wireless, and IP-TV
Regulatory disparity
End of engineered and extended lifespans of TDM switches
High value in content services, but significant risk of entry (ie, Amp’d Mobile)
Ability to offer differentiated services, but with regulatory and market risks (ie, Net Neutrality)
Ever increasing connectedness, but point of value is always moving
Leveraging Natural Advantages
Brand confidence – quality, reliability
Experience in running services that do not tolerate outages – TV outages and 911 outages are different things
Tradition of innovation and technology leadership
Expertise in connecting people – two-way communication - its what we’ve always done
A part of our community
OSS Impact
Plug-and-play: providing and consuming services should be instantaneous and seamless
Changing the model: OSS models and manages the network, and so is the centre of the transformation from network-centric to service-centric
Assurance: guarantee quality and differentiate customers
Cost: make the best business decisions and optimize operational efficiency and effectiveness
Transparency: show the customer their service, let them change it
Questions