voice networks – choose cloud, abandon the boxes - canto 2013

Voice Networks –Choose Cloud, Abandon the Boxes

CANTO 2013July 16

Voice Market Dynamics

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GLOBAL CONSUMER VOICE REVENUE

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VoIP Evolution is Daunting

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Financial Constraints & Risks• Front‐loaded CAPEX • Fixed OPEX • ARPU pressure and voice market dynamics

Opportunity Cost• Diversion from strategic

initiatives• Budget constraints

Operational Challenges• Back office integration & automation• Fulfillment, provisioning & support• Vendor management

Architectural complexity• Significant departure from traditional TDM voice and PSTN• Completely new for greenfield service providers• Traditional architectures require numerous vendors• Basic IMS call = 136 Messages/17 Entities/6 protocols

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Next Gen Voice: Investment is Main Barrier

4

Top 3 reasons: $ $ $

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Offering superfast broadband speeds to all customers could reduce

annual churn rates by 3 percentage points

per year

Strategic Initiatives Beckon

5

Source: The Connected Consumer Survey 2013: fixed broadband retention and upsell.

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Superfast Broadband Can Directly Reduce Churn

New Cost Models Required to Make Voice Profitable

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ARPU Costs

Revenue Network

The World Has Turned to the Cloud

7

• Consumer and business applications dominate‐ SaaS‐ IaaS‐ PaaS

• Voice applications limited ‐ Hosted services ‐ Infrastructure evolution (NFV)

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Cloud Voice Platform

• Turnkey voice network• End‐user features • Integrated management• Network operations

Wholesale Carriers

• Off‐net origination & termination

• PSTN connections

• CLEC services

Solution: Cloud Voice Platform

8

Carrier partners

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O

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Telc

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ServiceProviders

• Broadband services

• Product definition

• Subscriber acquisition

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Cloud Voice Platform

Heavy Lifting is Outsourced

Service ProviderProduct definition Subscriber acquisition End‐user invoicing

Marketing Tier 1 and 2 customer support

Tax collection & remittance

Device certification & provisioning

Back office integration Tier 3 production support

Inventory management End‐user feature set

VoIP operations & monitoring Feature upgrades & enhancements

Local facilities (LEC) Long distance facilities Voice switches

Signaling network Routing engine Collocation facilities

Transport network IP backbone

TN management LNP management Regulatory management

CNAM/DL/T.38, etc. CODEC/frame sizing LI & emergency services

QoS management Voice capacity management Long distance LCR/fail‐over

Cloud Voice Platform

Wholesale Carrier

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Cloud Voice Platform Architecture

10

MobileServices Residential SMB

End-UserWeb Access Administrator

Application Programming Interface (API)Logic Layer

Core PlatformCarrier

InterfaceBilling

SupportSystem

DeviceProvisioning

Data FeedsData Integration

Feature Server

Session Management

SessionBorder

Controller

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The Cloud Can Address All Scenarios

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GreenfieldVoice

WISP

Satellite

New revenue

Fast time to market

Initial Migration

MNO

MVNO

LEC/PTT

Cable

Fast time to market

Rapid ROI

VoIP 1.0 Replacement

CLEC

LEC/PTT

Cable

Lower TCO

Improved margins

End‐of‐Life migration

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Key Requirements For Cloudsourcing Voice

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• Standards‐based

• Horizontally integrated

• Back office integration

• Comprehensive end‐userfeature set

• Regulatory compliance

• Flexible carrier services

• Resilient and scalable architecture

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A Clear Business Case for Voice

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• Reduces risk by eliminating CAPEX

• Maximizes gross margins

• Aligns costs with subscribers

• Enables net margin contribution from the first customer

• Provides access to scale without paying for it on day one

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Summary: Look to the Cloud

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• Market dynamics dictate a change in voice delivery

• Cloud voice platforms optimize control and costs

• Outsourcing requires alignment of functionality and operations

Cloud Voice Platform:Thrive with Superior

Economics and Functionality

Alianza is Accelerating Voice Success

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Leading provider of cloud voice delivery solutions

• Turnkey wholesale solution

• SaaS‐based model eliminates CAPEX and lowers OPEX

• Residential, business and mobile services

Proven model

• Founded in 2009; Salt Lake City, UT HQ

• Fast growing: 68% CAGR

• 1 billion minutes in 2012

Market-focused innovation

• Alianza developed code and intellectual property

• Accelerate Voice™ partner program

• Mature API for back‐office integration

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Keep In Touch

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www.alianza.com

www.linkedin.com/company/alianza

www.twitter.com/alianza_inc

Kevin Mitchell

Vice President, Marketing

Office: +1 617.340.2491

kmitchell@alianza.com

@mitchellkp

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