Gartner Says Multi-Service Mediation Will Provide an 'Unfair Competitive Advantage' for Next Generation Service Providers

date: November 16, 2001

The amount of customer and usage data telecom service providers must process in future years will grow exponentially - particularly for wireless players, where the implementation of 2.5G and 3G networks is expected to increase data volumes by as much as 100 fold.

As data volumes grow, mediation will play a key role in enabling next-generation carriers to better manage their operational support systems (OSS) and thus deliver high-quality communications to customers. That's just one conclusion in an industry white paper released by the leading consulting firm, Gartner, entitled "Multi-Service Mediation."

"As the number of record streams and volumes of records increase...the most strategic decision a Service Provider can make for their business and the OSS is the selection of their mediation system vender," the report states. "The carriers that quickly implement mediation environments that enable Multi-Service Mediation create `an unfair competitive advantage' versus the Service Providers that move slowly."

Intec describes mediation as the process of extracting network usage and content usage measurement information out of networks (IP, wireless and traditional telephony), applying various forms of processing and finally distributing it to various OSS networks (retail billing, wholesale billing, data intelligence, fraud etc.). Today, mediation is becoming more critical as it is used as a "traffic cop" that processes and delivers increasingly complex usage records for use within many OSS systems, including fraud control and customer relationship management networks.

According to Gartner, implementing a multi-service mediation system can provide many benefits, including reduced data errors, reduced churn, increased revenues and simplified network migration. A good mediation system can also lead to improved accuracy within the billing settlement process, which will grow dramatically as the number of trading partners increases. As telecom networks continue to evolve, mediation systems that offer service providers the flexibility to adapt to new forms of billing and the speed to handle large data volumes will play a critical role in a provider's future survival.

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