Tuesday, September 12, 2006

KPN's IMS plans gather pace

Royal KPN NV will start IP Multimedia Subsystem-based (IMS) voice services over broadband from early 2007. The development is part of KPN’s €1bn-1.5bn spend on its all-IP network, to be completed by 2010.

“Our NGN network will consist of a broadband VDSL/FTTH-based network and IP-based platforms on top of it,” Paul Hendriks, general manager broadband services and of the all-IP programme at KPN, told Next Generation Networks. “In this way we are able to bring new IP high bandwidth broadband services to the customer and switch off legacy networks.”

IMS is central to KPN’s plans. “Once the IMS core platform is in place we will start deploying other types of IP-based communication services, both fixed and mobile,” says Hendriks. Using IMS, KPN will shut down central offices and offer all sorts of new communication services. It will start with simple voice services and move to VoIP-based ones such as IP Centrex, wireless virtual PBX and messaging services.

Ovum research director, Dan Bieler, believes KPN has to embrace IMS. “If you are thinking about a NGN, there is no alternative.” Meanwhile, the latest announcement surrounding KPN’s NGN is no more than an indicator that progress is being made, he says (see Ovum's take). KPN first announced its NGN plans two years ago.

The NGN was save KPN hundreds of millions of Euros a year in reduced network maintenance costs. “It will require between a quarter and a third of the staff needed for [maintaining] current networks,” says Bieler.

The ability to introduce new services rapidly, coupled with significant OPEX savings sounds a winning combination. Yet Bieler has reservations.

First, there is regulatory confusion as to how a VoIP call is classified and charged for. “There is a great deal of confusion here: is it voice, is it data?” While not a big part of the revenue stream now, in five years’ time the issue could impact profits significantly, he warns

Second, a key obstacle facing NGNs remains the issue of net neutrality and IP interconnect. Bieler admits that the issue of who gets paid for what when an incumbent shares its network with third party service providers has not stopped NGN investments such as KPN’s. But he warns that if not resolved, net neutrality could slow down the overall pace of NGN adoption.

Do you believe net neutrality is a threat to NGN roll-outs?

See Total Telecom’s NGN poll

1 comment:

devonseaglass said...

Fixed and mobile service providers need an efficient way to originate, launch and manage value-added services on their networks. These can be web-based services or be made available using applications servers in conjunction with IMS enabled networks.

Service Delivery Platform (SDP) is an architecture that enables the quick development, deployment and integration (convergence) of broadband, video, wireless and wireline services.
SDP can cater to many technologies including VoIP, IPTV, IM, internet access, mobile telephony, and online gaming to name a few. Regulators need to come to terms with this change. The voice silo is about to end!