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TeleChoice Provides Mobile Wireless Operators Roadmap to Migrating to 2.5G and 3G Networks

August 30, 2002

As the debate over the migration to 2.5G and 3G wireless networks continues, TeleChoice, Inc., a leading consultancy which serves as the strategic catalyst for the telecommunications industry, is issuing a "mock" request for proposal (RFP) that will help wireless operators as they look to migrate to 2.5G/3G networks. The document, "A Guide for Mobile Wireless Operators in the Evolution to 2.5G and 3G Networks," is being released today and is now available. (Registered users at Webtorials.Com may access the document directly at: http://www.webtorials.com/eduweb/wireless/ and others may access it after registering (at no charge) at http://www.webtorials.com/register.html)

"Many wireless providers have told us the largest challenge they face in migrating to 2.5 and 3G wireless technology is being able to frame the issues surrounding the overall move to next-generation mobile; in other words, how can they address the network, operational, and revenue-generating issues associated with such a change," says Claudia Bacco, President of TeleChoice. "This RFP helps to address these issues and accelerate the migration process so new services can be launched quickly to generate incremental revenues."

Bacco added that the evolution of wireless networks to 2.5G to 3G and eventually all-IP networks is not easy and is fraught with trade-offs. "We have been told by service providers and vendors that a document such as our 'mock' RFP would be extremely useful in deciding both when and how to execute such a move."

Increasing customer churn, lack of services differentiation, and lower ARPU are hitting wireless service providers at the same time as alternative services are starting to woo customer pocketbooks. This is creating pressure on wireless providers to generate new services in order to achieve customer retention and grow their own market share. Upgrades to 2.5G and 3G technologies will be needed to obtain the necessary spectrum efficiencies and data speeds to offer these new services.

The TeleChoice mock RFP addresses two major areas: the architecture required for the new networks including network components and capabilities, and the drivers beyond the technology and components required to be successful, such as service enablement, security and resilience, revenue and cost management, and future-proofing.

The architecture section discusses what new components need to be placed in the network, where and when they should be placed in the network, and what capabilities these components should possess. "Progressive wireless operators clearly understand the need to develop a purpose-built next-generation network that will enable them to efficiently offer new services for both business and residential users," advises David Mancuso, Director of Marketing for WaterCove Networks. "This new approach to evaluating infrastructure will allow them to maximize the deployment of profitable services and migrate networks from 2.5G to 3G and eventually all-IP networks, minimizing expensive fork-lift upgrades."

The second section includes a list of potential new services, noting when in the provider's evolution the services will likely be introduced, how services are typically tested and launched, and the kind of support needed from the vendor. "This Mock RFP highlights the issues wireless carriers are confronting as they evaluate their 2.5 and 3G migration strategies," says Joel Hughes, SnowShore CEO. "Creating compelling profitable services is essential in today's wireless world, and this mock RFP can serve as a roadmap to help carriers evaluate their service infrastructure needs."

Revenue and cost management is highlighted in the RFP to provide information on how wireless operators can enhance profitability through either increasing revenues or managing costs better. "In many cases, microservices and content delivery will run on slim margins and will be high volume transactions, so the ability to manage profitability on these types of services will be critical. One or two points in revenue or cost will be the difference between success and failure," says Bob Becklund, VP Business Development and Marketing, Vibrant Solutions. "As the services get more complex and services bundles more comprehensive, there is even more pressure to manage costs and control partner relationships."

 


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This book discusses 3G services from the view of what is needed for the service to provide value to the user, what is the value proposition for the user, how will money be made out of delivering the service, and discussions on how revenue sharing propositions might work to benefit content providers and network operators. 3G operators should take note of this highly recommended book.

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