Wednesday, November 25, 2009

Unified communications market to approach $4.2 billion in 2014

NEW YORK, USA: Unified Communications, merging IP telephony, conferencing and collaboration, messaging and other forms of integrated information exchange, are on a steeply rising curve of adoption in the enterprise. According to a new ABI Research study, the market’s size was just $302 million in 2008, but will rise quickly to nearly $4.2 billion in 2014.

However this market is far from monolithic. “Companies have been buying only those component technologies that they think will deliver immediate value,” says ABI Research practice director Stan Schatt. “It’s only later that they start tying it all together as true Unified Communications.”

Once that happens, synergies multiply: for example, many companies have messaging by voice and email, but when they are integrated, a user can “see” voicemails and have emails read aloud. Such synergies can deliver increased productivity and efficiency, and greater customer satisfaction.

Big corporations with multiple locations will benefit most immediately from Unified Communications, but many vendors’ systems are not interoperable. There are still gaps where no standards exist.

Even the largest vendors such as Cisco don’t make everything, so there’s a premium on partnerships. A few vendors will try to sell end-to-end solutions, but most others will attempt to integrate their offerings with the legacy components they find. That opens a tremendous opportunity in replacing older equipment.

The largest companies may have the required integration expertise in-house, but, says Schatt, “We foresee a booming market for managed services, simply because Unified Communications is tricky and many companies won’t want to spend the time and effort to do it themselves. That applies to the market as a whole, but particularly to smaller businesses.”

Despite the large potential, Unified Communications vendors won’t find it all plain sailing. They are up against internal corporate “turf wars,” a widespread lack of understanding of the benefits Unified Communications can deliver, and a high initial cost.

3Com, TCS to build Andhra Pradesh’s state WAN (APSWAN)

HYDERABAD, INDIA: 3Com Corp. announced that its new partnership with Tata Consultancy Services (TCS), a leading IT services, business solutions and outsourcing firm, resulted in it being selected for the Andhra Pradesh State Wide Area Network (APSWAN) project.

Under this deal, 3Com will provide high-end enterprise switching, routing and security solutions for the prestigious project that will connect 23 district offices in the state to increase efficiency in government operations.

In September 2009, the Andhra Pradesh government awarded TCS the country’s largest State Wide Area Network (SWAN) project on a five year Build, Own, Operate, and Transfer (BOOT) model. The project will enable the state government to start and run various projects for citizen services to boost G2G and G2C efficiencies that will help transform the e-governance structure.

“3Com’s leadership in secure and high-performance networking at substantially lower cost helped secure this deal, which will bring significant project deployment savings to TCS,” said Manoj Kanodia, CEO, Inspira Enterprise India Pvt. Ltd, 3Com’s exclusive master distributor in India.

“Being credited for having started the networking industry with the invention of Ethernet, 3Com has been on the forefront of innovation. Our mission is to offer world-class products at affordable prices and we have enabled customers to build high-performance and secure networks at a lower total cost. We have a strong foothold in the education and government verticals across the world and this win with TCS will help us carry our mission further in India,” said Rose Chen, Vice President and General Manager, 3Com Asia Pacific.

“We are happy to partner with 3Com for this prestigious project. The network is an important aspect in this ambitious project, which would connect various government offices with common service centers. It is on this network various e-government initiatives would ride and hence is very critical to the overall project,” said Tanmoy Chakrabarty Vice President and Head Government ISU, TCS.

3Com’s network will enable the state government to communicate and conference across all government offices over VoIP, which will reduce communication costs. Applications covering transport, healthcare, education and municipality will also operate on this e-governance network backbone, which is scheduled to be rolled out within 12 months.

STM announces breakthrough SuperPico package for small GSM operators

IRVINE, USA: STM Group has announced a cost-performance breakthrough for GSM operators with its new IP-Based SuperPico Solution Package.

For a fraction of what it would cost to launch a circuit switched system, operators can deploy a complete, IP-based GSM network infrastructure, including the Mobile Switching Center (MSC), Media Gateway, Pre-Paid Billing System, and Network Management System (NMS).

For new or existing operators interested in deploying an IP-based solution, STM is offering a “starter-package” which serves up to 10,000 prepaid subscribers, and can be upgraded smoothly to serve more than 4 Million subscribers across hundreds of BTS sites.

This package is targeted to new or small GSM operators serving specialty markets, as well as larger operators looking to free themselves from the high recurring costs of their traditional GSM infrastructure as they expand or replace older sites. Annual supplier maintenance fees on these older infrastructures exceed the purchase price of the SuperPico solution; therefore investment payback occurs very rapidly.

“We expect strong interest in this package for network expansion in developing countries,” said Richard Forberg, Vice President of Marketing & Business Development for STM Group.

“Many operators serving markets characterized by low ARPU are unsure how to reduce their CAPEX and OPEX per new subscriber relative to the rapidly falling ARPU in low income areas. Rather than expanding in the traditional way, it is much better to serve these areas with a new IP-based picocell system.”

The ability to operate the SuperPico basestations completely on inexpensive solar power systems is another important advantage in markets deprived of power infrastructure. For these markets, STM also offers a complete private satellite backhaul network as an option.

Global off-deck LBS application activations to exceed 260 million in 2010

LONDON, UK: The surging popularity enjoyed by affordable off-deck LBS applications is creating new momentum, a more open environment, and increased competition in a location industry that has long been dominated by carriers offering expensive subscription-based on-deck services.

ABI Research expects off-deck LBS application downloads to increase to more than 260 million in 2010 and to reach almost two billion by 2014.

“The main drivers of this off-deck LBS revolution are the sudden rise in popularity of a new generation of touch-screen GPS-enabled smartphones, combined with a wide range of application stores launched by handset and mobile operating system vendors,” says ABI Research practice director Dominique Bonte.

“While Apple has set the stage with the iPhone/iTunes platform, it is now being copied by Google (Android), RIM, Nokia (Symbian), and Microsoft (Windows Mobile), allowing smaller LBS developers to compete with traditional off-deck LBS players such as Telenav, Networks in Motion, and Loopt. This competition results from a lower cost structure based on crowd-sourced location content, advertising-funded business models, alternative positioning technologies, and viral marketing techniques.”

However, the nascent off-deck LBS environment is already threatened by looming fragmentation both within and between platforms, and by increasing uncertainty surrounding viable business models, with the ubiquitous freemium and ad-funded approaches illustrating end users’ limited willingness to pay.

Google’s recent announcement offering free turn-by-turn navigation on Android phones has cast further doubt on the prospects for monetizing off-deck LBS, while at the same time undermining the valuation of established hardware players such as Garmin and TomTom, despite both companies recently having launched handset-based products.

While stand-alone off-deck LBS applications will continue to flourish in the coming years, in the longer term they will be gradually replaced by embedded location services such as geo-enabled browsers, location-aware messaging, micro-blogging and other mobile services: these integrated solutions will offer a superior user experience to the average consumer, compared with downloading and managing a portfolio of separate applications.

Tuesday, November 24, 2009

Comverse, IBM unveil CoE to help telcos speed product rollout, reduce costs

WAKEFIELD, USA: Comverse and IBM have launched a joint Center of Excellence (CoE) in France to help global telecom operators speed time to market for new services, boost subscriber acquisition, and reduce both churn and overall network operating costs.

Established within the IBM Telecom Solutions Lab in France, the CoE uses software components from IBM and Comverse to create a Business Support System/Operational Support System (BSS/OSS) and Service-Delivery environment that provides a dynamic setting.

“To sustain growth in today’s economy, Communication Service Providers are seeking ways to offer subscribers a more positive and differentiated experience while taking complexity and cost out of their businesses,” said Chris Pearson, global telco industry leader for IBM Global Business Services, which also announced three additional telecom development centers today.

This joint approach allows telecom clients to test proofs of concept with new capabilities in simulated environments, enhance innovation, and reduce implementation time and risk. The Service Provider Delivery Environment (SPDE) framework, which is based on a service oriented architecture (SOA) approach, combines with IBM server and storage hardware, such as Power Systems and BladeCenter, to provide the dynamic infrastructure for the CoE.

“Comverse and IBM understand how critical it is to offer systems and processes that support the new business models that operators must deliver to stay competitive,” said Dror Bin, President of Global Sales at Comverse. “We believe that the Comverse-IBM relationship backed by the Center of Excellence will allow our joint customers to have more efficient operations and generate new revenues.”

The emergence of new business models –- and the potential for even more new models with the view to next-generation networks -– requires a converged approach to BSS that is demonstrated at the center.

Comverse ONE Billing and Active Customer Management is a single BSS system that allows operators to manage all subscribers consistently, regardless of payment or service type, resulting in increased loyalty and new service adoption.

The telecom industry has benefited from IBM’s globally-integrated network of capabilities, partnerships and assets that have supported telecom deployments in major and emerging markets since 2000.

Augmented reality on mobile to generate $732 million by 2014, driven by mobile apps and mobile advertising

HAMPSHIRE, UK: A new report from Juniper Research has found that the market for mobile augmented reality (AR) services is expected to reach $732 million by 2014, with revenues derived from a combination of paid-for app downloads, subscription based services and advertising.

The Mobile Augmented Reality report found that annual revenues from AR are unlikely to exceed even $2 million during 2010, due to the fact that only a small minority of smartphones will be AR-enabled. However, this proportion will rise dramatically in the medium term, the result of increasing adoption of Android handsets and iPhones, along with greater deployment of AR enablers such as digital compasses and accelerometers by other leading vendors.

Although initial service adoption will be driven by AR location-based search, Juniper Research expects the first substantial revenues to be derived from AR-enabled games, bolstered by revenues from mobile enterprise solutions from 2012-3 onwards.

Meanwhile, AR advertising is expected to be increasingly attractive to brands and retailers as the potential user base increases, with AR ad networks able to charge higher CPC and CPM rates because of location relevance.

However, the report cautioned that while AR geotagging presents a wealth of opportunities, providers and enablers must carefully consider the potential legal implications of enabling such services.

According to report author Dr Windsor Holden: “The problem is that the embryonic nature of the technology means that we have no legal or regulatory framework in place which specifically covers augmented reality. For example, can a house-owner legitimately demand that a geotag of his or her property be removed? Would that third party require prior permission before creating a tag?”

Other findings include:
• Incremental revenues from subscriptions, upsold content and licences will together comprise the largest AR revenue stream by 2014, overhauling point of sale revenues.
• 350 million handsets expected to be AR enabled by 2014.

Tejas wins Deloitte Technology Fast 50 India award for fifth time in a row!

BANGALORE, INDIA: Tejas Networks, a leader in next-generation optical networking products, was named as a winner in the Deloitte Technology Fast 50 India for the fifth year in a row.

This award recognizes the 50 fastest growing technology companies in India. The award was received by CEO and MD Sanjay Nayak at a glittering ceremcony in Bangalore on Friday, November 20th 2009.

Nayak said: "We are delighted to be selected amongst the winners of Deloitte Technology Fast 50 India for the fifth year in succession, with a revenue growth of over 206 percent in the last three years. This is a great recognition for Tejas Networks, which is one of the first technology product companies from India in the fast-growing telecom sector.

"Our consistent growth over the past many years is a result of our execution strategy of aggressively investing in R&D to build world-class products. In addition to our growth in the highly competitive Indian market, we have seen significant international success and our products are deployed in over 50 countries around the world."

Deloitte's Technology Fast 50 India winners are selected from technology companies that are headquartered in India and devote a significant proportion of their operating costs to R&D.