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Digital Lifestyle Services and Oracle’s Strategy
Dan Bantukul
Senior Member of Technical Staff
CTO office
Oracle Communications
April 2014
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Safe Harbor Statement
The following is intended to outline our general product direction. It is intended
for information purposes only, and may not be incorporated into any contract.
It is not a commitment to deliver any material, code, or functionality, and should not be relied
upon in making purchasing decisions. The development, release, and timing of any features
or functionality described for Oracle’s products remains at the sole discretion of Oracle.
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Table of Contents
Market trends
Evolution of mobile data monetization
Evolving to a Digital Lifestyle Provider
ThinkingNetwork
Oracle PCRF System
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What is the next wave N
et R
evenue
Subscriber Penetration
Voice Messaging Data
Access
Based From Chetan Sharma Consulting 2012
Digital Lifestyle
Services
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Access Based Revenue Model
Net R
evenue
Subscriber Penetration
Access
Digital Lifestyle
Services
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Majority of mobile operator
Relatively low number of PCRF use cases
Most operator focus on
- Fair Usage
- Network Protection
- Subscriber tiering
For the Initial LTE roll-outs
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Relative low requirements for PCRF
PCRF
PCEF
- Fair Usage
- Network
Protection
- Subscriber
tiering
Gx
Policies are
fairly static and
does not
change much OCS
Gy
Low TPS
requirements on
Gx
TPS = f(subscriber)
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Early mobile data services
Personalized Service Tiers
Creative Packaging
Shared Data Plans
Subscriber usage controls
Wi-Fi @
Cafe
3G in the Car
LTE, 3G, Wi-Fi @
Airport
Wi-Fi and
Ethernet
@ Work
Multi-access/Roaming Usage
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Enabling Technology
PGW
BSS/OSS Retail
Oracle SPR
Oracle
PCRF
Web
Portal
DPI
Sophisticated Subscriber
Profile and entitlement
DPI in an early attempt to
identify and segregated
media
OCS
Gy Gx
Gx
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• Family sharing 5 GB of data
• Same policy applied for all member
• Devices: any – phone, tablet, PC, TV etc.
Sarah Sam Sandy
Francis
Basic Shared Data Plan
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Drawback of Basic Family Plan
• Can not set quota limit for
individual member
• Usually can not be augmented
with other “add-on” such as
passes.
• All member shared the same
policies – difficult to offer
personalized services such as
parental control.
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Enabling Technology
PGW
Oracle SPR
DPI
OCS
Gy
Gx Gx
Coordinating Gx and Gy
sessions via PGW/DPI
becomes very complicated
with many charging_keys
and rating_groups
Oracle
PCRF
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Early Monetization
Net R
evenue
Subscriber Penetration
Access
Digital Lifestyle
Services
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Increase number of policy use cases
More
complex use
cases
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Higher demands for PCRF
PCRF
PCEF
Gx
OCS
Gy
Sy
DPI/TDF
P-CSCF Rx
SDP/GW Rx
Notification SMTP/SMPP
XML
BBERF
Gxx
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Complex Shared Data Plan
Benefits: • Shared data plan across multiple devices
• Policies based on multiple parameters
• Integration with charging systems and
enforcement points
Applying different service
to different devices
Allocating global quotas
per family or subscriber
Definition: Flexible policy management platform
supporting complex shared data plan where
individual members can have different quota
and policy profiles, services and enforcements.
Value Proposition Leverages family global subscription with capture of new subscribers
Targets customers instead of mobile devices, simplifies billing, improve loyalty
Improve loyalty and reduce churn through global offer
Family plans and Enterprise-wide plans will push families to have higher value service level
Personal choice of applications, guaranteed application performance
Challenges: Generating revenues from
casual users
Deliver low cost offers for
teens, lower income users
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Personalize,
control & share
3 GB
Month 2 GB
Month
Variable
QoS
Fixed
QoS
Set policies &
parental control
Top-up
External Top-up
All
Gifting
No Gifting
Yes
$
MB
Minutes
Etc.
Rewards
Monetizing the Mobile Data Service Policy-driven Data Charging
ANY device, time &
context
Real-time
interactivity & view
Notification:
Quota reached
Usage charge of
$0.10 per MB will
apply.
Work, play &
socialize
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Casual Usage, Loyalty Programs
Provider trends
Roles of Policy
Service providers looking to offer “add-on” to their basic
subscription based service
Service providers would like to attract casual users and travelers
with day passes
Service providers is looking for a way to expose their service to
corporate via sponsorship of data usage
Coordinate charging information between IP-CAN and charging
sessions
Performs gating function for pass type quota
Assists OCS in tracking usages
Source: Tekelec, Signals Research Group (SRG)
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Enabling Technology
PGW
Oracle SPR
Oracle
PCRF
DPI
OCS
BRM ECE
Gy
Gx Gx Tight integration between
QoS enforcement and
Quota Management over
Sy ease implementation
Sy
BSS/OSS Retail Web
Portal
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Optimizing Real-Time Sessions with QoS
Benefits: • Optimize video and voice traffic during peak hours of
congestion using policy rules.
• Implement Quota management to differentiate
premium and limited video and Voice over IP (VoIP)
Optimizing video traffic while
ensuring customer loyalty.
Delivering high quality Voice
over IP (VoIP) services
Definition: Policy and Subscriber Data Management (SDM)
combined to enable video and Voice over IP (VoIP)
usage quotas based on subscriber entitlements, time
of day, roaming status, and location.
Value Proposition Increase revenues by up-selling and personalizing video and Voice over IP (VoIP) services.
Manage costs by applying video limits to subscribers during congestion and introducing video limited services for
select subscribers.
Charge Over The Top (OTT) video and Voice over IP (VoIP) service providers for guaranteed quality of service.
Challenges: Video is 50% of all
mobile data traffic -
traffic costs
significantly greater
than revenues.
Operator
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Example: Bandwidth on demand – Turbo button
› Push turbo button and
receive high quality video for
2 hour at 1 Euros
› Increases data usage by
lower tier subscribers
› Generate revenues from OTT
video services
› Charge YouTube for
increased video quality of
service
Tier 3 subscriber
Low Level BW Settings
Fair Use Policy Setting-
1Gig
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Enabling Technology
PGW
PCRF
DPI
Gy
Gx Gx
Sy
Rx
P-CSCF
IMS
Web API
Bandwidth
On
Demand
Oracle
Communications
Services Gateway
OCS
BRM ECE
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Over-The-Top (OTT) Services
Benefits: • Policy, subscriber data management and APIs
to securely expose network assets
• Policy analytics to evolve services
• Diameter routing for security
Higher costs/lower
revenues
Maintaining customer
relationship
Definition: Policy management use case allowing service
providers the ability to apply QoS to
applications from content providers
Value • Optimize quality of experience for customers’ preferred applications
Increase Over-The-Top (OTT) revenues by adding incremental value - subscriber data, analytics,
guaranteed QoS, data usage, mobile advertising
Comply with net neutrality regulations and ensure network security
Challenges: Addressing net
neutrality requirements
Adding value to Over-
The-Top (OTT) apps
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Sponsored Data
PCRF Multimedia
Policy Engine (MPE)
OCS
BRM ECE Sy
Gx Gy
Online
Charging
Controller
SPR
PGW / PCEF
Oracle
Communications
Services Gateway
Web API
Rx
Francis initiates a video
streaming session to
watch the game.
OTT provider informs
the operator that the
subscriber has
initiated a sponsored
data session
Ro
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IOT Signaling Flow (Initial setup – Volume base)
PGW MPE SPR OCSG AF
CCR-I– framed-IP, MSISDN
UDR (MSISDN)
UDA (MSISDN) CCA-I– PCC Rule-block
Gx session is up
Enable Subscription
AAR (MSISDN or IP, sponsored-connectivity-data (gsu))
Bind to existing Gx session
using MSISDN?
RAR (PCC-Rule w GSU)
RAA (result = success)
AAA (Success) Enable Subscription
Ack
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IOT Signaling Flow (Usage Report)
PGW MPE SPR OCSG AF
CCR-U– Usage Report (USU)
CCA-U
Usage
RAA
Gx session is up from page
4 – GSU is being consumed
Event_Ack
GSU exhaused
RAR (Specific Action: Usage Report
Sponsored-connectivity-data: usu = accumulated usage
)
This may trigger AF
to terminate
session (next page)
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IOT Signaling Flow (AF Session Termination)
PGW MPE SPR OCSG AF
RAR (install Block rule)
RAA (USU)
Session termination
Gx session is up from page 4
Usage report
STR
STA
Sponsored-connectivity-data: usu = accumulated usage
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IOT Signaling Flow (User terminates session) PGW
Simulator MPE SPR OCSG
AF
Simulator
CCR-T– USU
CCA-T
Event Terminates
ASA
Gx session is up from page 4
ASR (Abort reason)
Event_Ack
User terminate data session
Session termination
STR
STA
Sponsored-connectivity-data: usu = accumulated usage
Event_Ack
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Digital Lifestyle
Net R
evenue
Subscriber Penetration
Access
Digital Lifestyle
Services
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Market Positioning N
et R
evenue
Subscriber Penetration
Voice Messaging Data
Access
Based From Chetan Sharma Consulting 2012
Digital Lifestyle
Services
“To offer best-in-class infrastructure solution framework for a mobile service
provider to evolve from an access provider to a Digital Lifestyle Provider”
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Digital Lifestyle Provider
It is not what is being delivered but rather how it is being delivered
Focuses on content delivery
– Personalized, any time, any place, any where
– Reliable, Secure and excellent usage experience
Subscriber comes to you for all services
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Paradigm Shift
SELLING
Limited choice
Inconvenient to buy
‘Me too’ product
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Paradigm Shift
Maximum choice
Easy to buy
Personalized
Emotionally Connect
BUYING
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How well do you know this person and her personas?
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Are you in your Customer’s Inner Circle?
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Popular Consumer Lifestyle Services
Source: Ovum, 2013
Most frequently used applications – its all about lifestyle
Lifestyle service plan design needs to reflect major demographic differences
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Opportunity: “Freemium” is the Dominant Model
CSPs can make it work: Zero-rating, open APIs, expose policy, Ad-sponsored
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Opportunity: ‘Game-ify’ your Services
Apply game design thinking to your applications – points, credits,
contests, customized rewards for loyalty