Cisco Blogs


Cisco Blog > SP360: Service Provider

Cisco Continues Market Share Leadership in Mobility – First in Mobile IP Infrastructure, Packet Core, Mobile Backhaul, and Mobile IP Core

Over the summer, we shared with you the results of an ACG Report showing Cisco as the market share leader in Mobility.

Then and today the usage of mobile devices has been on the rise. Unequivocally.

The average smartphone user is accessing 26.8 apps every month for about 30.25 hours, an increase of 65 percent from two years ago. On their first weekend of offering the iPhone 6, Apple sold more than 10 Million units. Global smartphone market is forecasted to rise by around 20% to 1.2 billion units during 2014.

ACG Research came out with a new report recently the highlights of which I want to share with you. In this report Ray Mota notes that the Worldwide Mobile IP Infrastructure Market continues to rebound in Q2, 2014. It actually grew in Q2, increasing to $1.25 billion, a 9.6 percent quarter over quarter. Evolved Packet Core (MME, PGW, SGW, and PCRF) also grew this quarter to $123 million, a 7.2 per cent quarter over quarter.

ACG Research maintains its views that online video continues to fuel mobile data traffic and the industry expects a tenfold increase in five years.  Mobile spending continues and is increasing globally as carriers in developed countries vie for top billing for fastest carrier, fueling LTE spending. 3G remains strong and continues to grow as developing economies upgrade and invest in this technology. Mobile infrastructure will continue to be a highly dynamic market for the next several years as vendors and carriers work through new technologies.

Cisco maintains its position of market share leader. The Read More »

Tags: , , , , , , , , , , , , , , ,

Apple’s Vote of Confidence for Voice and Text over Wi-Fi

I recently had the pleasure to read an excellent article by one of our industry’s leading analysts, Mr. Gabriel Brown of Heavy Reading titled “Analyzing Apple & VoLTE”. In this article, he makes the observation, that Apple – which is well known for keeping a strong focus towards their customer’s enjoying a high quality of experience – has included Voice over LTE (VoLTE) in their newest iPhones.  Mr. Brown goes on to quite rightly note that by including VoLTE, Apple makes the case that mobile operators now need an IP Multimedia Core Network Subsystem (IMS core) and a functioning VoLTE service.

Figure 1: Cisco VNI Global Mobile Data Forecast 2013-2018

cisco-visual-networking-index

While I absolutely agree that Apple has provided a strong endorsement to VoLTE by including support for this feature, I believe that the Apple iPhone6 support for Voice over Wi-Fi (VoWiFi) and Text over Wi-Fi maybe as important (or more so).  Let me explain.  VoLTE is really a fact of life, it is going to happen and as long as a cell phone supports LTE it will be able to make or receive VoLTE calls as long as the carrier implements to network accordingly.  However, Wi-Fi has long been maligned as the poor step-child of mobile broadband.  Mostly because it is unruly (unlicensed) and anyone can deploy it (don’t have to be a carrier).  And while the distance limitations and handoffs (Wi-Fi to 3G or to LTE) play a big role too those issues are being addressed (at least by Cisco).  However, several reports, including Cisco’s own well regarded Visual Networking Index (VNI) for Global Mobile Data Traffic, show that mobile data usage over Wi-Fi is over 40% in 2013.  In fact, it is projected that there will be more traffic offloaded from cellular networks onto Wi-Fi than remain on cellular networks by 2018 (that’s less than four years away).

This news is not Read More »

Tags: , , , , , , , , ,

Freemium Business Models for Mobile

Untitled

In this continuing series of blogs about Mobile Data Monetization*, let’s look at the Service Provider Freemium business model, which involves offering a basic service for free (indefinitely, or for a trial period) to incent some other subscriber behavior that the operator can monetize. Let’s look at the typical reasons that operators have in offering a Freemium service:

1.) Encourage users to upgrade up to a higher-price, higher-quota mobile data service in order to get the Freemium service. We’re seeing more and more of this approach, especially in conjunction with LTE service offers. For example, in the early days of Verizon Wireless’ LTE roll-out, it offered a free 1-year subscription to NFL Mobile Premium to drive subscriber upgrades from 3G to its LTE data plans and smartphones / Mi-Fi devices. Now, with the adoption of LTE services well underway, Verizon Wireless is leveraging its significant investment in NFL content rights by offering NFL Mobile Premium as a Freemium service to users who opt for one of its new “More Everything” pricing plans. In many markets where mobile data usage is low, some operators have taken to offering “zero-rated” usage of popular social media sites such as Facebook and Twitter for a period of time, usually 6 to 12 months, during which the data used does not count towards the subscriber’s monthly quota. The goal of this approach is to get the user accustomed to using these services over mobile so that he or she subscribes to a data plan at the end of the Freemium period.

2.) Entice users to eventually pay a premium for a more Read More »

Tags: , , , , , ,

We Won! LTE Asia Awards Update

So great news! A couple hours ago, the LTE Asia Organizers tweeted:

2

Congrats to our ‪#LTEAsia award winners: Best LTE Core Network Product ‪@Cisco

Our Cisco ASR 5000 Series has been chosen the winner of the LTE Asia Best Core Product in the 1st Annual LTE Asia Event. Our ASR5000 Series is the market’s Read More »

Tags: , , , , , , , , , , , , , , ,

LTE-U By Any Other Name is Licensed-Assisted

I recently read the rather interesting announcement from NTT DoCoMo where they demonstrated LTE running over the unlicensed 5GHz band.  They report a 60% increase in spectral efficiency over IEEE 802.11n Wi-Fi.  The article also noticed that LTE-U is now referred to as Licensed-Assisted Access using LTE or LAA-LTE.  This caused me to pause, and think about several things.

The comparison between LAA-LTE and Wi-Fi is not (and should not be) about spectral efficiency. Rather it is about several other factors:

  • A robust network with a diverse client ecosystem (does anybody reading this blog own an IP device without Wi-Fi? How many of those devices contain LTE? How many are Wi-Fi only, without any SIM card?)
  • The ability to support neutral host deployments (are stadium owners willing to deploy LAA-LTE if it only supports one operator?)
  • The ability to co-exist in a multi-operator environment (how would LAA-LTE operate in dense environments when it has to co-exist with LAA-LTE APs from other operators?)
  • The ability to co-exist in a multi-technology environment (would if it adversely affects the existing and extensive deployments of Wi-Fi infrastructure?)
  • A number of Mobile operators have agreements with Wi-Fi providers for offloading cellular traffic (how does one enable such a scenario with LAA-LTE?)

And if you really want to talk about speeds and feeds, it’s interesting that the test was done against 802.11n, when 802.11ac is now widely available, providing speeds that exceed LTE-Advanced speeds of 1 Gbps (IEEE 802.11 ac Wave 1 provides maximum speed of 1.3 Gbps and Wave 2 provides maximum speed of 3.5 Gbps).  It’s also important to note that LAA-LTE has not been defined yet and so it’s very likely that the LAA-LTE implementation tested here does not have the politeness mechanisms required in certain regulatory domains like Europe. These mechanisms allow fair usage of the unlicensed spectrum by allowing other users an opportunity to transmit and share the spectrum.  These mechanisms already integrated into Wi-Fi will add additional overhead to LAA-LTE that will reduce its spectral efficiency, a factor that needs to be taken into account in any comparison.

 1

Reality Check

Hype is interesting, but Read More »

Tags: , , , , ,