Explore New Opportunities with NSF MVNO paper

Commercial in Confidence © NSF Telecom AB 2005 1(23) Date: 2005-04-27







The battle of market positions in the MVNO field has
started


Rivalry
MNO/HNO
Rivalry
MNO/HNO
Enhanced
MVNO
True
MVNO
MVNE
Enablers
Rivalry
MNO/HNO
“Brand”
MVNO
0
100
200
500
800
1100
1400
1700
2000
2002 2003 2004 2005 2006 2007
MVNO Customers
MNO Customers
Million Users
in the World




New mobile business model



Explore New Opportunities with NSF MVNO paper

Commercial in Confidence © NSF Telecom AB 2005 2(23) Date: 2005-04-27





Table of Contents



Established GSM markets saturate - Intensified battle of market shares .....................................................3
The establishment of MVNO market in Finland.............................................................................................5
Mobile Network Operators are facing new challenges through MVNOs.......................................................6
Understanding the Value Chain of the MVNO Business is a Major Strategic Issue for a Host Network
Operator.........................................................................................................................................................7
Alternative operator as enhanced Mobile Virtual Network Operator .............................................................8
The HNO/MVNO relationship, partnership or reselling of airtime .................................................................9
Range of shared applications and tools, level of interaction and offered services .....................................10
Prerequisites for the new MVNO mobile business model ...........................................................................11
MVNO story is about to begin - NSF Telecom introduces MVNOGate to meet new technology challenges
in the area of MVNO Service Enablement ..................................................................................................14
MVNOGate – A Revenue and Service Platform for Mobile Network Operators .........................................15
MVNO Gate – Main product areas ..............................................................................................................16
MVNO Process............................................................................................................................................18
MVNO specific Service Activation ...............................................................................................................20
MVNO specific Mediation and Rating..........................................................................................................21
MVNOGate Optional building blocks: Value Added Services .....................................................................22


Preface


This paper outlines a new mobile business model – i.e. the division between Mobile Virtual
Network Operators and Host Network Operators. This business model brings new requirements
for the established Mobile Network Operators as well. The first part of this document focuses on
these new challenges that Operators are facing, the second part describes the MVNOGate that
is provided by NSF Telecom for the Network Operators and Service Operators.

NSF Telecom has successfully served operators such as Ålands Mobiltelefon, Song Networks,
Tele2 and Saunalahti Group in Finland with service enablement, applications built with the
Intelligent Networks components, convergent charging, clearing settlement, and service
activation related solutions.

NSF Telecom has also a significant installed base around the world, in Finland, Russia,
Argentina, India, Liechtenstein and many countries in Africa.

Explore New Opportunities with NSF MVNO paper

Commercial in Confidence © NSF Telecom AB 2005 3(23) Date: 2005-04-27


Established GSM markets saturate - Intensified battle of market
shares


Penetration Penetration
Time Time
Europe Europe
Americas Americas
Asia Asia
Saturation
100% 100%
50% 50%
1
st
Operator
Coverage
2
nd
Operator
Services
3
rd
Operator
Price
4
th
operator
5
th
operator
Consolidation
VNO ASP SP
Few major players
Branding&Segmentation


The saturation of the market will lead to strong market conditions as customer
growth fades out and ARPU (average revenue per user) flattens out and even tends
to decrease. The cost for acquisition of new subscribers is getting higher, while
churn increases and there are less loyal, revenue generating, profitable subscribers.
Existing revenue streams of the Mobile Network Operators (MNO) are not sufficient
to generate a good return on the investments. MNOs have neither had the need nor
the incentives to look beyond current activities, since they have had a healthy
revenue growth, in case they managed to keep their market share, as the total
market has continuously grown during the past decade.
The impact of changes in the regulatory environment have opened the operators
organizational and business structures in such a way that the Service Providers
have equal options to connect to the network operator’s environment as the
traditional operator’s own in-house Service Provider. Another phenomenon
provoked by regulatory issues is Number Portability.
Service Providers form a partnership with an existing Mobile Network operator
piggyback on their network and resell the capacity under their own brand. The
Mobile Network Operator becomes Host Network Operator (HNO) and the Service
Provider becomes Mobile Virtual Network Operator (MVNO).
Network Operators have finally overcome their ambivalence towards the idea of
MVNOs. They have realised that it is always better to wholesale spare network
capacity than to leave it unused, better still they have also noticed that MVNOs can
help them capture customers in segments where their existing brands do not reach.

Explore New Opportunities with NSF MVNO paper

Commercial in Confidence © NSF Telecom AB 2005 4(23) Date: 2005-04-27

The key issue for the Host Network Operators will be the ability to segment and
effectively share their resources among the MVNOs and the HNO’s Internal Service
Operator on equal basis.
This means HNO’s ability to implement direct service activation, allowing self-
service to be implemented and MVNO’s as well as Service Operator’s ability to
define and activate its own set of differentiated services directly to the network
elements including a variety of charging schemes.
The implemented self-service and self-control is the way to cut cost and execute
things more efficiently, this is true in relation to the subscribers as well as to the host
network operator’s customers, i.e. MVNOs and the Internal Service Operator.
Network Operators are now exposed to direct competition in terms of money,
offered services etc. This means that in the long run the most efficient network
operator with the best services offering will win the game.
The Mobile Operator’s business model is evolving and the future benchmarking will
no more take place between the Service Operators and the number of subscriptions
they have, but between the HNOs and their capability to segment their capacity and
capabilities among several service providers and MVNOs.




Worldwide subscribers to MVNOs, 2001-2006 (Millions)
2001 2002 2003 2004 2005 2006
Total MVNO subs
3.22 15.37 32.60 62.72 109.97 195.44
% of total subs
0.4% 1.5% 2.7% 4.4% 6.6% 10.3%
The incidence of MVNOs varies between regions as a propotion of total subscribers in various
regions. MVNOs will be ten times as successful in Western Europe as in Japan by 2006
Source: ARC Group
Subscribers to MVNO services will increase dramatically Subscribers to MVNO services will increase dramatically
over the next five years, accounting for 195 million of the over the next five years, accounting for 195 million of the
worlds 1,895m mobile subscribers by end of 2006 worlds 1,895m mobile subscribers by end of 2006

Explore New Opportunities with NSF MVNO paper

Commercial in Confidence © NSF Telecom AB 2005 5(23) Date: 2005-04-27


The establishment of MVNO market in Finland

The competition in the Finnish telecom market dates back to early 90’s. The birth
date of the commercial services of the first GSM operator, Radiolinja in Finland, is
July 1
st
, 1991. Radiolinja was actually the first operator to start commercial GSM
services in the world.
There are now four licence holders for the operations in the GSM network operator
domain, TeliaSonera, Elisa, Finnet Networks and Ålands Mobiltelefon that operates
only in the archipelago of Åland.
Number Portability was forced by the authorities in July 2003. Surprisingly, in less
than 2 years more than 40% of the mobile subscriber base, i.e. two millions of the
mobile subscribers had changed to another service provider.

Explore New Opportunities with NSF MVNO paper

Commercial in Confidence © NSF Telecom AB 2005 6(23) Date: 2005-04-27

Mobile Network Operators are facing new challenges through MVNOs

MNOs (HNO) capabilities to sell the network capacity and develop new services and
capabilities to steer such an effort will become a critical success factor. MNOs have
neither the tradition to market their capacity or the ability to fulfill the variety of demands
of their customers, i.e. MVNOs. It is very challenging for the MNO to carry and calculate
the risks involved in this new line of business.
MNO is traditionally technology driven and
it is used to live in a “Walled Garden”,
surrounded by proprietary (often in-house)
and ETSI specified walls like #7, INAP,
Camel, IMSI, TAP3, USSD etc. acronyms.
These technical issues are often used as
barriers or excuses in order to prevent
changes in the existing business
environment.
It is a huge change for the MNO
organization and processes to become
market driven and obtain the ability to
serve properly several MVNOs in a value
adding and competitive fashion.

In-house Service Operator has typically been a department within the Network
Operator’s company. Network Operator has seldom tradition or capabilities to serve
multiple Service Operators on equal basis. The in-house Service Operator is usually like
a department store and MVNOs are like specialized shops with their diversified ways to
provide value to their offering.

Explore New Opportunities with NSF MVNO paper

Commercial in Confidence © NSF Telecom AB 2005 7(23) Date: 2005-04-27

Understanding the Value Chain of the MVNO Business is a Major
Strategic Issue for a Host Network Operator

Billing Interface
Provisioning Interface
1
2
3
4
5
Service
Provider
”Inhouse”
Integrated
Billing Provider
Sales Outlet
Services
Integrated
Billing Provider
Sales Outlet
Services
HNO
HNO
Reseller of HNO
to MVNO’s
MVNE
MVNO
Integrated
Billing Provider
Sales Outlet
Services
Integrated
Billing Provider
Sales Outlet
Services
HNO MVNO
Integrated
Billing Provider
Sales Outlet
Services
Integrated
Billing Provider
Sales Outlet
Services
MVNO
Integrated
Billing Provider
Sales Outlet
Services
Integrated
Billing Provider
Sales Outlet
Services
MVNO with Own Switching
MVNO HNO
HNO
Integrated
Billing Provider
Sales Outlet
Services
Integrated
Billing Provider
Sales Outlet
Services
A Complete Revenue Platform MVNO Gate
A Complete Revenue Platform MVNO Gate

1. “In-house” Service Operator that belongs or used to belong to the same
company with Host Network Operator. This is a quite common set-up today.
Service Operator has probably a low or no interest for serving other
competing MVNOs.
2. MVNE – Mobile Virtual Network Enabler, Aggregator, Integrator, ‘Gap Filler’
that wants to share risks and revenues with HNO. MVNE stretches to both
ends (Branded MVNOMVNEHNO) in a value chain and differs from
MVNO by not having relation with end-users / subscribers.
3. Basic MVNO connected with the agreed interfaces to Network Operator, e.g.
with a proprietary protocol for Provisioning and with TAP clearing files for
post-processing. There is a ‘vacuum’ for value addition. Shall HNO fill it, or
leave it for MVNE or “true MVNO”?
4. “True MVNO” with own service & switching capabilities. It is possible for this
kind of MVNOs to change the serving Network Operator – they are typically
looking for cheapest air-time and best coverage from the Network Operators.
5. MVNOGate gives advanced and flexible tools for Host Network Operator to
separate “in-house” and differentiated MVNO operations. Service Operators
are split to 2 channels, one for “in-house” operator and another one for
external MVNOs.

The decision on how the HNO is going to position itself in the value chain is called for.

Explore New Opportunities with NSF MVNO paper

Commercial in Confidence © NSF Telecom AB 2005 8(23) Date: 2005-04-27

Alternative operator as enhanced Mobile Virtual Network Operator


”True”
MVNO Integrated
Billing Provider
Sales Outlet
Services
Integrated
Billing Provider
Sales Outlet
Services
MVNO with Own Switching
& IN Capability
HNO
Wireline Exchange & IN Capability


The alternative wireline operators are established to markets that have gone through
the process of deregulation. The alternative operators have typically based their
business on the revenues from premium rate calls, like long distance and
international calling. These operators are heading their activities to the mobile side
in search for extra revenue. Some of these alternative operators are international
players that have their own international interconnection trunks and contracts. Since
these companies are represented in several markets, they often want to have their
own operator code, i.e. roaming contracts. These enhanced MVNOs would probably
like to have their own MSC and HLR in order to have competition between the
HNOs that provide them with the radio network capacity.



”Enhanced”
MVNO
Integrated
Billing Provider
Sales Outlet
Services
Integrated
Billing Provider
Sales Outlet
Services
HNO
Wireline Exchange & IN Capability


Another breed of alternative operators that are extending their activities are the
operators that have the international traffic and long distance calling facility, and
even the premium rate calling services like 0600, 0700 and 0800 numbers, i.e. they
have the country wide dialling scheme, etc that are based on IN-functionality.
These operators might consider that since they have already the customers in the
wireline domain, it might be beneficial to extend the offering also to the mobile, since
some of the functionality that reside in the wireline systems and the existing
organization might provide competitive advantage at least compared to the start-up
companies that start MVNO business from scratch.

The applications that reside in the IN Capability of the wireline domain can also be
utilized by the MVNO subscribers. Some examples of these services are prepaid,
universal access number and premium rate services that can be implemented in
such a way that the pulse debiting will be generated in the wireline exchange and
distributed to the calling parties’ telephone bill.


Explore New Opportunities with NSF MVNO paper

Commercial in Confidence © NSF Telecom AB 2005 9(23) Date: 2005-04-27

The HNO/MVNO relationship, partnership or reselling of airtime

In order to be successful in the HNO/MVNO business in the long run it is essential to
see that HNO and MVNO get together to achieve a common purpose, i.e. they get
together for both of them to prosper in the alliance. The deeper the alliance and
synergies, the greater added value can potentially be generated by the partners,
potential for profitability and new growth opportunities. Partner to deliver the product
together reach new markets and customer segments neither could reach otherwise.

The HNO traditionally has one intimate partner, i.e. the in-house service provider.
Another aspect of collaboration is that the MVNO can also be competitor in some of
the business segments of the HNO. When considering for example the data
communication and the fixed network activities that are traditionally a part of the
total offering of the HNO’s mother company.

There are some questions worth considering when entering the partnership.

How do the business objectives of the participants mesh with each other?
Is there a size/power differential?
Is the relationship a business-to-business or supplier-to-buyer one?
Are the participants sharing a common business goal, or simply links in a supply
chain?
What information do participants need to understand their partners better?
New revenue sharing models, are those attractive for both parties?
Does the contract provide for an exit strategy?
What is the range of shared applications and tools?


Integrated area
Low Degree of collaboration & added value
Less
Integration
Increased
Integration
High
Alliance
structure
One-way Supplier
OEM Relationhip
Joint venture
Acquisition
Vendor
Preferred supplier
Strategic business partner
Equity partner
Subsidiaries
Mergers
Cross-licensing S
t
r
a
t
e
g
i
c

a
l
l
i
a
n
c
e
s
I
n
t
e
r
n
a
l

g
r
o
w
t
h
T
a
c
t
i
c
a
l
Collaborative area
Transaction area
Source: Macecorp
Integrated area
Low Degree of collaboration & added value
Less
Integration
Increased
Integration
High
Alliance
structure
One-way Supplier
OEM Relationhip
Joint venture
Acquisition
Vendor
Preferred supplier
Strategic business partner
Equity partner
Subsidiaries
Mergers
Cross-licensing S
t
r
a
t
e
g
i
c

a
l
l
i
a
n
c
e
s
I
n
t
e
r
n
a
l

g
r
o
w
t
h
T
a
c
t
i
c
a
l
Collaborative area
Transaction area
Source: Macecorp

Explore New Opportunities with NSF MVNO paper

Commercial in Confidence © NSF Telecom AB 2005 10(23) Date: 2005-04-27

Range of shared applications and tools, level of interaction and
offered services

The HNO’s ability to provide MVNOs with capabilities to differentiate will allow the
MVNO to compete with the established in-house Service Providers of MNOs, and
the entrants like other MVNOs. In case HNO does not provide MVNOs with the
capabilities to differentiate the MVNO’s only option is direct price competition and in
the long run this means that the only action taken by the MVNOs is cost cutting,
instead of increasing value per subscription.

There are two major ways to increase the MNO and MVNO common value
proposition.

The first one is Value Added services that can be provided by means Service Layer
and Intelligent Network solutions combined with the adjunct processing capabilities
that allow more flexible execution of tailor-made services than the traditional
services and applications.

The second one is the degree of interaction between the MNO and MVNO. The
interaction means that the MVNO should have full real-time control of the network
resources that are entitled its subscriptions, allowing self-care, hot-billing, location
based charging, customized reports and statistics. The interaction means also that
the MNO’s attitude and processes are adapted to serve the MVNO on equal basis
with the in-house Service Operator. Actually “equal basis” is not enough since the
introduction of new innovative services in the MVNO environment should take place
much faster than in the traditional monolithic environment.


High ARPU
High Loyalty
Low Low Degree of Added Value
Less Less
Interaction Interaction
Increased Increased
Interaction Interaction
High High
Degree of
HNO/MVNO
Interaction
Low ARPU
High Churn
Cost cutting
Self care
Postpaid/prepaid
Basic data
Advanced Voice
Advanced realtime charging
- Location based
- Bonus
- Limit
Friends & family
Price competition
Flatrate
SMS services
MMS
Advanced data
VPN
Charging functionality by post processing
High ARPU
High Loyalty
Low Low Degree of Added Value
Less Less
Interaction Interaction
Increased Increased
Interaction Interaction
High High
Degree of
HNO/MVNO
Interaction
Low ARPU
High Churn
Cost cutting
Self care
Postpaid/prepaid
Basic data
Advanced Voice
Advanced realtime charging
- Location based
- Bonus
- Limit
Friends & family
Price competition
Flatrate
SMS services
MMS
Advanced data
VPN
Charging functionality by post processing

Explore New Opportunities with NSF MVNO paper

Commercial in Confidence © NSF Telecom AB 2005 11(23) Date: 2005-04-27
Prerequisites for the new MVNO mobile business model
1. Convergent Charging and Business Support Systems
The charging of services becomes an integral part of service delivery to users while
the service environment becomes more complex and competitive. The users will be
free to select payment options, prepaid or postpaid, based on their personal
preferences and credit history.
The convergent charging and industry standard based business support solutions
(such as Customer Relationship Management CRM and Enterprise Resource
Planning ERP) enable end to end revenue management processes for both HNO
and MVNO. This will be the cornerstone of successful business for the MVNO both
in relation to its subscribers and its business partners including the HNO. Both the
user need for spending control and the operator need for credit control will be
satisfied. The convergent charging will take place more in real-time and allows
straight-forward interaction with business support systems bringing additional
advantages such as customer intimacy and the elimination of revenue leakage.
Legacy billing systems will no longer be needed since the modern CRM and ERP
systems capable of handling customer care, invoicing and accounts receivables for
large customer bases will replace them.

Sometimes in the legacy billing process data is lost, discarded or put on hold in so-
called “suspense”. The revenue leakage caused by this lost data can occur at
several points in the revenue management process, as illustrated in the figure.
Market Researches indicate that anywhere between one and fifteen per cent of
revenue is lost this way. Apart from causing a significant impact on the bottom line,
this is also source of incorrect bills, which put a strain on customer care centers and
potentially damage the operator-customer relationship. The convergent charging
approach with real-time charging essentially eliminates the potential revenue
leakage as processing takes immediately place as soon as event occurs.
Invoicing
Rating
Mediation
Service Network
Core Network

£
$
£

$
Service and Core Network
Charging and Order Gateway
Business Support Systems
Revenue Leakage Billing Process Business Process
ERP CRM
Traditional Legacy Systems Open Industry Standard

Explore New Opportunities with NSF MVNO paper

Commercial in Confidence © NSF Telecom AB 2005 12(23) Date: 2005-04-27

2. Paradigm shift from own service production to external service
providers e.g. Application Service Providers



The MVNOs tend to act more cost effectively than the traditional operators. The
MVNOs processes rely on self service schemes and automated processes for the
credit control etc. The service activations and provisioning of the network elements
take place in real time and the results of such activations are displayed directly for
the subscribers.
In order to be competitive in providing services the MVNO is willing to employ
several sources of services. One obvious source for the services is the HNO and its
service layer platforms. Another way for MVNO to provide the services for its
subscribers is that the MVNO invests in its own service platforms. The trend for
MVNOs seems to be that they are cost conscious and not keen on investing in the
platforms and employing personnel for the maintenance of such platforms. Instead
they are interested in how to get the service without investments and in no time.

The MVNO will strive to a position where it can employ the services of several rivalry
service providers and have the option to transfer to another service provider that has
better quality, cheaper services etc. or to provide the services by itself in case there
is no substitute available in the marketplace.
The convergent charging with the real-time features puts a lot of pressure on the
provisioning and activation service. The Provisioning and activation service must be
able to communicate simultaneously with the data bases and the network elements
and services. The Provisioning and activation service must also contain the
intelligence to act according to the responses it receives from the network elements
etc. and a log must be created in order to perform fault diagnosis. The provisioning
of network elements and the activation of services described above requires a
modern highly flexible and adjustable provisioning solution with open interfaces.
Activation
Provisioning of
Network Elements
M M
X X
H H
Invoices
Call
Centre
Retail
POS
Web
SMS
Customer
Bill
Printer
Credit
Scoring
Bank
Interface
Numpac
Inhouse Service
Operator/
Host Network
Operator
Invoices
Call
Centre
Retail
POS
Web
SMS
Customer
Bill
Printer
Credit
Scoring
Bank
Interface
Numpac
ERP/CRM
MVNO
Transfer
Protocol
ERP/CRM
Traditional Mobile Operator Services
M M
IN IN
MMS MMS
Centre Centre
Voice Voice
Mail Mail
SMS SMS
Centre Centre
WAP WAP
GW GW
GPRS GPRS
GGSN GGSN
HLR HLR
MSC MSC
SMS SMS
Centre Centre
VAS VAS
IN IN
Voice Voice
Mail Mail
MMS MMS
Centre Centre
MVNO
Own / ASP
Services
Activation &
Provisioning

Explore New Opportunities with NSF MVNO paper

Commercial in Confidence © NSF Telecom AB 2005 13(23) Date: 2005-04-27
3. Enabling MVNO segmentation is essential to become
attractive MNO/HNO

The MNO’s way to introduce new services is a cumbersome process - where the
standardization bodies are involved and the solutions are often realized with in-
house resources - is not applicable in MVNO environment.

The MVNOs are considered to be the masters in customer relations and
segmentation i.e. they can position themselves to a specific market niche. MVNO
typically drives for innovations and new services as they are very close to end-
customers and the customers’ constantly changing needs. On the other hand new
MVNOs are typically not telecom experts, and they often want to rely on expertise
provided by the MNO and its partners.

One of the first MVNOs has been Virgin Mobile in England. The subscribers of
Virgin Mobile have given higher score for the network service quality than the
MNO’s own subscribers. The reason for the better score is believed to depend on
the perception of the brand that differs from the MNO’s image as well as the offered
services including the web self-care and well-functioning customer care like call
centre etc.

Since the MVNOs often have a proven track record in customer relations and an
established brand, they very often have also the ability to introduce innovative new
services for their own customers in the targeted customer segments. The role of the
MNO is mostly to act as an enabler providing the means and tools of
telecommunication (typically IN-based services) in order to allow the MVNO to
differentiate and serve the specific customer segments. It is vital for MNO to be able
to offer customised services and features to MVNOs. Often it is matter of packaging
new services in different ways.

Standard
Customized
Customized
Customized
Customized
Customized
Customized
Standard
Customized
Customized
Customized
Customized
Customized
Customized
MVNO Tools
for Differentiation
Product Handling
Service Administration
External Services
Customer Database
Account Handling
SIM-Card Mgmt
Number Portability
Bank, etc. Connections
Prepaid
Call History
Invoice Printing
Limit Call
Statistics/Reports
Virtual Private Network
Call Hunting
Friends and Family
Call Centre
Rerating
Networked Mediation
SMS-Service
GPRS-Service
Roaming-Service (IMSI)
Clearing/Terminating
Clearing/Originating
Settlement/SP
Directory Inquiry Service
Voice Mail
Cons.
MVNO
BUS.
MVNO
youngsters
MVNO
MainGate
MVNO
MC Donalds
MVNO
Community
MVNO
MVNO Portfolio

Explore New Opportunities with NSF MVNO paper

Commercial in Confidence © NSF Telecom AB 2005 14(23) Date: 2005-04-27

MVNO story is about to begin -
NSF Telecom introduces MVNOGate to meet new technology
challenges in the area of MVNO Service Enablement






1
9
9
8
1
9
9
9
2
0
0
0
2
0
0
1
2
0
0
2
2
0
0
3
2
0
0
4
2
0
0
5
2
0
0
6
2
0
0
7
2
0
0
8
2
0
0
9
2
0
1
0
Voice ARPU VAS ARPU
N
o
n
t
h
l
y

A
R
P
U
/
m
o
b
i
l
e

p
e
n
e
t
r
a
t
i
o
n

(
¾
)
Nobile penetration
1
9
9
8
1
9
9
9
2
0
0
0
2
0
0
1
2
0
0
2
2
0
0
3
2
0
0
4
2
0
0
5
2
0
0
6
2
0
0
7
2
0
0
8
2
0
0
9
2
0
1
0
Voice ARPU VAS ARPU
N
o
n
t
h
l
y

A
R
P
U
/
m
o
b
i
l
e

p
e
n
e
t
r
a
t
i
o
n

(
¾
)
Nobile penetration
Market development Market development - - voice/non voice/non- -voice (2G/3G) voice (2G/3G)
Today MVNO business is mostly concentrated on Voice, SMS and
in the future it will be concentrated on Content and Applications.
Organisations require different mindset, skills and attitude.
This transition will be an enormous challenge to organisations which
have always experienced growth, with limited competition
Source: Lehman Brothers Research

Explore New Opportunities with NSF MVNO paper

Commercial in Confidence © NSF Telecom AB 2005 15(23) Date: 2005-04-27

MVNOGate – Revenue & Service Platform for Network Operators

MVNOGate is a platform for Mobile Host Network
Operators (HNO) that are willing to support the
dynamic and “true MVNO” segmented business.
MVNOGate is the “beef”, i.e. the middleware
between the network elements and the business
support system of the service provider the
company that holds the brand, i.e. the MVNO.

MVNOGate includes components for service
provisioning, mediation, real-time rating, clearing. Additionally, MVNOGate provides
value added services such as private user groups (VPN), advanced charging
(freephone, premium rate, split charging), routing and barring features (black &
white lists). The set of services can easily be tailor-made for each MVNO.

The MVNOGate provides the HNO with optimal tools for both the needed
ingredients, interaction between HNO/MVNO and allows HNO to provide easily
customized Added Value services for the MVNO.

The value proposition of MVNOGate is that the Host Network Operator can by
means of MVNOGate introduce a complete revenue platform in order to serve the
MVNOs and in the same time keep the existing in-house service operator’s
processes undisturbed. The existing operator environment will be divided into two
independent environments that both have a set of services that are independent
from each other. NSF Telecom has previous experience from switching systems like
Ericsson AXE, Siemens EWSD and Nokia DX 200.

The existing systems and processes are often monolithic, i.e. they are not able to
serve several service operators (MVNO) and their processes. Another perspective is
the legislative and security issues such as access rights, need for intimacy and
logging functionality required by the authorities.

MVNO Gate, a complete revenue platform
BRAND (MVNO)
Differentiated Breed of Services
Network Elements: exchanges, servers (HNO)
MVNO Gate, a complete revenue platform
BRAND (MVNO)
Differentiated Breed of Services
Network Elements: exchanges, servers (HNO)

Explore New Opportunities with NSF MVNO paper

Commercial in Confidence © NSF Telecom AB 2005 16(23) Date: 2005-04-27

MVNO Gate – Main product areas

The main product areas are illustrated as Melody, Tempo and Composer in the
MVNOGate platform.









Composer Order Engine handles command interface towards switches and other
network elements. The Provision Gateway can easily be extended to support other
command sets and new network elements.


Run-time
Scripts
Result
Request
Request
Result
Result
Result
Result
Request
Request
Request
Data
Bases
Services
PHP
Interface
XML
Interface
MVNO
Interface
Client-Server
Interface
Legacy
Systems
WEB
Clients
PC
Clients
WEB
Server
Execution History Log Request Result Request Result
Management Configuration
.
.
.
XML
HTTP
Tasks
Results
Telnet
SQL
XXX
Single
Multi
Control
Logics
Composer Composer Composer
Network
Element
MSC
Network
Element
MMS
Network
Element
VMS
Run-time
Scripts
Result
Request
Request
Result
Result
Result
Result
Request
Request
Request
Data
Bases
Services
PHP
Interface
XML
Interface
MVNO
Interface
Client-Server
Interface
Legacy
Systems
WEB
Clients
PC
Clients
WEB
Server
Execution History Log Request Result Request Result
Management Configuration
.
.
.
XML
HTTP
Tasks
Results
Telnet
SQL
XXX
Single
Multi
Control
Logics
Composer Composer Composer
Network
Element
MSC
Network
Element
MMS
Network
Element
VMS
Customer Relation
Management
”Siebel”
Credit Scoring
Claims
Bank
Invoices
Retail
POS
Web
SMS
Subscriber
Bill
Printer
Enterprise Resource
Planning
”SAP”
MVNO MVNO
” ”The Total Picture” The Total Picture”
Call
Centre
IN
SSP
MSC HLR VLR GPRS
GGSN
SGSN
SMS
Centre
WAP
GW
MMS
Centre
IVR
UM
Host Network Operator Host Network Operator
Melody Melody
Mediation/Rating
Roaming
Clearing/Settlement
Composer Composer
SIM Card Mgmt
Number Portability
Service Admin
A Complete Revenue Platform MVNOGate
Existing Legacy System Existing Legacy System
or ”Standard” or ”Standard”
Population Registration
Centre
Clearing /
settlement
Number
Portability
”BizTalk”
Tempo Tempo
common
channel
signalling
S
e
r
v
i
c
e
s
S
e
r
v
i
c
e
s
A
S
P

e
t
c
.
A
S
P

e
t
c
.
2 2
n
d
n
d
H
N
O
H
N
O
Customer Relation
Management
”Siebel”
Credit Scoring
Claims
Bank
Invoices
Retail
POS
Web
SMS
Subscriber
Bill
Printer
Enterprise Resource
Planning
”SAP”
MVNO MVNO
” ”The Total Picture” The Total Picture”
Call
Centre
IN
SSP
MSC HLR VLR GPRS
GGSN
SGSN
SMS
Centre
WAP
GW
MMS
Centre
IVR
UM
Host Network Operator Host Network Operator
Melody Melody
Mediation/Rating
Roaming
Clearing/Settlement
Composer Composer
SIM Card Mgmt
Number Portability
Service Admin
A Complete Revenue Platform MVNOGate
Existing Legacy System Existing Legacy System
or ”Standard” or ”Standard”
Population Registration
Centre
Clearing /
settlement
Number
Portability
”BizTalk”
Tempo Tempo
common
channel
signalling
S
e
r
v
i
c
e
s
S
e
r
v
i
c
e
s
A
S
P

e
t
c
.
A
S
P

e
t
c
.
2 2
n
d
n
d
H
N
O
H
N
O

Explore New Opportunities with NSF MVNO paper

Commercial in Confidence © NSF Telecom AB 2005 17(23) Date: 2005-04-27

Melody Event Engine collects and forwards files (such as toll ticketing information,
alarms, statistics and IN report files) from network elements.

NSF-Melody contains function modules for mediation, rating and clearing.

Mediation can handle different formats, e.g. CDR, IPDR, IN-tickets.
It can flexibly be adapted to different tasks and formats.

Rating refers to real-time tariff calculation of services according to valid Rating rules.

Clearing handles charging rules between MVNO and HNO.


MVNOGate with TEMPO opens real-time signaling channel (SS7) to the public
telecom networks. TEMPO based Value Added Services can be complemented with
MELODY and COMPOSER capabilities - for example provisioning of Mobile IN
categories to MSC, and mediation, rating, clearing of IN tickets in SSP.

Some Potential Value
Added Services
(acronyms such as
VPN – virtual private
networks) are shown
on top of TEMPO
platform.
MVNOGate fits
perfectly to multi-
vendor environments.
MVNOGate is used by
Customers having core
network element such
as MSC from major
telecom infrastructure
suppliers.
Event Data Record
Account sub account sub account sub account
Account sub account sub account sub account
Account sub account sub account sub account
Account sub account sub account sub account
result
result
result
result
result
Event Data Record
Event Data Record
Event Data Record
Event Data Record
Data
SQL
Data
Base
Data Data
Data Data
Data Data
Execution History Log result result result
Rules
Management Configuration
Collect
Rule
Logics
Format
Counting
Logics
.CSV
SQL
FTP
XML
Reports Rules
WEB
Network
Element
MSC
Network
Element
SMS-C
Network
Element
GPRS
Network
Element
VMS
Network
Element
MMS
Melody Melody Melody
Event Data Record
Account sub account sub account sub account
Account sub account sub account sub account
Account sub account sub account sub account
Account sub account sub account sub account
result
result
result
result
result
Event Data Record
Event Data Record
Event Data Record
Event Data Record
Data
SQL
Data
Base
Data Data
Data Data
Data Data
Execution History Log result result result
Rules
Management Configuration
Collect
Rule
Logics
Format
Counting
Logics
.CSV
SQL
FTP
XML
Reports Rules
WEB
Network
Element
MSC
Network
Element
SMS-C
Network
Element
GPRS
Network
Element
GPRS
Network
Element
VMS
Network
Element
VMS
Network
Element
MMS
Melody Melody Melody
Credit Scoring
Claims
Bank
Invoices
Retail
POS
Web
SMS
Subscriber
Bill
Printer
MVNO MVNO
Call
Centre
IN
SSP
MSC HLR VLR GPRS
GGSN
SGSN
SMS
Centre
WAP
GW
MMS
Centre
IVR
UM
Host Network Operator Host Network Operator
Melody Melody Composer Composer
A Complete Revenue Platform MVNOGate
Population Registration
Centre
Clearing /
settlement
Number
Portability
Tempo Tempo
VPN UAN PSC NP FPH PRM xyz PAY ASC TVT
Credit Scoring
Claims
Bank
Invoices
Retail
POS
Web
SMS
Subscriber
Bill
Printer
MVNO MVNO
Call
Centre
IN
SSP
MSC HLR VLR GPRS
GGSN
SGSN
SMS
Centre
WAP
GW
MMS
Centre
IVR
UM
Host Network Operator Host Network Operator
Melody Melody Composer Composer
A Complete Revenue Platform MVNOGate
Population Registration
Centre
Clearing /
settlement
Number
Portability
Tempo Tempo
VPN UAN PSC NP FPH PRM xyz PAY ASC TVT

Explore New Opportunities with NSF MVNO paper

Commercial in Confidence © NSF Telecom AB 2005 18(23) Date: 2005-04-27

MVNO Process

Contract management
Following issues are to be covered in the contract management phase:
Numbers, own number space or part of MNO space
SIM card production / logistics, how to be arranged
Network Infrastructure, Systems, location and interfaces
Billing, Invoicing, Reporting issues
Software programs and their administration
MVNO service package (basic / options)
MVNO activation / set-up project
All relevant items in the contract to be executed, e.g. deployment, site set-up,
both MVNO and HNO side.
Sales and technical support

Sales Outlets, SIM card logistics
Support, Customer Care / CRM
MVNO life-cycle management

Changes and modifications in MVNO portfolio
Agreement updates / extensions / phase-out
MVNO deregistration / transfer of customer base


Administrator
MVNO 1
Outline Customer database
Outline IMSI & MSISDN
Specify Products &
Pricing/ Rating settings
MVNO Gate
Outline IMSI scope
Outline MSISDN
Outline Security &
Access levels
Outline Rating
Outline set of services
MVNO
Contract
MGMT
Client Applications
Number Portability
WEB-API
DB DB
Rated MVNO
specific CDR:s
MVNO Specific
Provisioning of NE:s
MSC HLR VLR
IN
GPRS
GGSN
SMS
Centre
WAP
GW
MMS
Centre
IVR
UM

Explore New Opportunities with NSF MVNO paper

Commercial in Confidence © NSF Telecom AB 2005 19(23) Date: 2005-04-27


Each MVNO has its own environment behind firewalls.
MVNO Client is a workstation with a web server in order to provide own home pages
and optionally self-care web access for their subscribers. Each MVNO is isolated
from other MVNOs – only accessing services given to their own domain.


MVNOGate consists of secure user access interfaces, network element interfaces,
APIs for external systems, service enablers (service layer capabilities) and platform
(system functions).
Platform is scalable and the capabilities can be shared among multiple MVNOs.

MVNOGate can share capabilities and secure own space among several MVNOs.
Each MVNO is connected to MVNOGate according to the Contract in Business
Management process. Contract specifies all the services that MVNO subscribes
from HNO. Also the clearing settlement for inter-carrier traffic and business reports
will be specified in this process.

MVNOGate can be regarded as a parallel channel to classic set-up for MVNO-MNO
Service enablement where in-house service operator has access to the network and
service capabilities offered by in-house network operator whilst an MVNO may
invest to their own equipment (e.g. MSC/HLR, SMS-C, MMS-C), buy some services
with ASP model and network capacity and service offerings from an MNO.

Explore New Opportunities with NSF MVNO paper

Commercial in Confidence © NSF Telecom AB 2005 20(23) Date: 2005-04-27
MVNO specific Service Activation


Complexity of Service Provision is hidden behind MVNOGate/Composer. Below is
an example of a simple Provision task. Simple Subscription form on Customer
Service level and activity such as “add services” results number of specific
commands towards number of Network Elements. XML specification (DTD) defines
allowed XML elements, attributes and their values.


<?xml version="1.0" encoding="UTF-8"?>
<!DOCTYPE task SYSTEM "service-provisioning.dtd">
<task type="add service">
<subscriber number="xyz">
<service name="voicemail" status="active">
<service name="gprs" status="active">
<service name="mms" status="passive"/>
</subscriber>
</task>

Service Administration
Stand-alone solutions are based on client-server and Web (PHP) technology that
gives operators easy-to-use tools to administer them selves their services.
Ultimately subscribers administer all their services via self-care web client. In an
example above MVNOGate acts as a slave to MVNO’s own customer care system
over machine-to-machine interface (XML).

Number Portability gives MVNO possibility to offer new subscriptions for users
belonging to another service operator and keep their existing mobile number
(MSISDN).

In self-registration phase MVNO may automatically check database of people
registration center in order to find out address and other subscriber information.
MVNOGate
Call
Centre
Web
SMS
Subscribers
Numpac
V V
H H
M M
X X
IN IN
MMS MMS
Centre Centre
Voice Voice
Mail Mail
SMS SMS
Centre Centre
WAP WAP
GW GW
GPRS GPRS
GGSN GGSN
I I
A A m m
W W
G G
S S
........ ........
........ ........
Service Operator/
Virtual Operator
API
e.g.
XML
based
ERP/CRM
MSC MSC
HLR HLR
ssh ssh
FTP FTP
telnet telnet
People
register

Explore New Opportunities with NSF MVNO paper

Commercial in Confidence © NSF Telecom AB 2005 21(23) Date: 2005-04-27
MVNO specific Mediation and Rating

NSF-MELODY is a telecom grade Mediator Platform for convergent mediation tasks.
MELODY consolidates the mediation and rating tasks and distributes the selected
results to a variety of predefined targets like, Databases, Service Providers and
MVNOs simultaneously over the TCP/IP network.

The real-time functionality of MELODY enables service providers to offer prepaid or
postpaid mode for the service types and credit limit services for data, content and
voice.
MELODY collects usage data from telephone switches, as well as IP network
elements, using a variety of industry standard and proprietary protocols. Once
collected the data is parsed, standardized, aggregated, or correlated by service
type. The number of data transferred to business support systems is significantly
reduced through aggregation and correlation processes.

The MELODY Web-based Graphical User Interface allows users to set business
rules without any additional programming since it supports user scriptable
languages. Users can introduce new services to marketplace without any delay as
well as define business rules and data formats for parsing, standardization,
aggregation, correlation, and distribution.














Melody has been designed with low-maintenance and high-availability in mind.
Therefore the rarely needed maintenance is done remotely without interrupting the
operation of the system. The rating or mediation rules can easily be changed and
updated. All data processing is performed in real-time memory (RAM), and the tasks
can be distributed among multiple CPUs or over TCP/IP among multiple servers.

DB
report
files
NSF reponsibility
Application Server FTP Server
Melody site
source site
BACKUP
CDR files
INPUT
CDR files
Filtering
INSTRUCTION
lists
FTP
collector
Environment
SETUP
CDR format
LOGICS
Filtering
LOGICS
Melody Engine
Operator
responsibility
Operator
responsibility
TCP/IP
DB
report
files
report
files
NSF reponsibility
Application Server FTP Server
Melody site
source site
BACKUP
CDR files
INPUT
CDR files
Filtering
INSTRUCTION
lists
FTP
collector
Environment
SETUP
Environment
SETUP
CDR format
LOGICS
CDR format
LOGICS
Filtering
LOGICS
Filtering
LOGICS
Melody Engine
Operator
responsibility
Operator
responsibility
TCP/IP

Explore New Opportunities with NSF MVNO paper

Commercial in Confidence © NSF Telecom AB 2005 22(23) Date: 2005-04-27

MVNOGate Optional building blocks: Value Added Services

NSF Telecom has capability to provide value added services. These services can be
tailor-made per MVNO, or standard service can be split among several MVNOs.
Adding value with sticky services such as friends & family groups, individual
bonuses, the customer loyalty and revenue stream figures can be improved.
Here is a list of examples - services and features that can be provided:
• ‘All calls query’, e.g. number portability, access control, pre-
selected carrier service
• Subscriber service groups, global barring and limit control
• Fraud management, real-time control
• Black & White Lists (to block and allow calls)
• Private Numbering Plans (VPN, Family and Friends)
• Prepaid / postpaid account – flexible balance manager
• Location based charging e.g. home/business zones
• Reach-me – one personal number to call
• Universal Access Number – one company number to call
• Virtual Call Centre – agents can be distributed

Service Mgmt
Service Data
Service logic
SIP OSA/Parlay
2G 2G
Next Next- -Generation Generation- -Networks Networks
IN Service Mgmt
IN Service Data
IN scripts
INAP/SS7
proprietary legacy systems
Stretching over Generations
New Services for Telecom
API SDK
standard interfaces
Service Mgmt
Service Data
Service logic
SIP OSA/Parlay
2G 2G
Next Next- -Generation Generation- -Networks Networks
IN Service Mgmt
IN Service Data
IN scripts
INAP/SS7
proprietary legacy systems
Stretching over Generations
New Services for Telecom
API SDK
standard interfaces

Explore New Opportunities with NSF MVNO paper

Commercial in Confidence © NSF Telecom AB 2005 23(23) Date: 2005-04-27



Value Added Services on TEMPO platform



TEMPO platform supports all major
telecom signaling standards
available, e.g. CS1 INAP, CAP,
MAP, ISUP, BSSAP and
SIGTRAN. Support for SIP is also
planned.

SS7 platform provides High
Availability with duplicated SS7
Hardware and carrier class SW
architecture (parallel SS7 stacks).
NSF services are running on
application/database servers e.g.
on a packet cluster including in
minimum two industry standard
(x86 based) servers, and hot-
pluggable RAID hard discs.




UAN NP
Application/DB server
E1 2Mbit /
SIGTRAN
High Available
SS7 platform
PP VPN
Signaling network
TDM or IP based
UAN NP
Application/DB server
E1 2Mbit /
SIGTRAN
High Available
SS7 platform
PP VPN
Signaling network
TDM or IP based
Value Added Services Value Added Services
VPN VPN
virtual
private
network
UAN UAN
universal
access
number
FPH FPH
free-
phone
number
PRM PRM
premium
rate
number
CCT CCT
conditional
call
transfer
TVT TVT
tele
voting
GIP GIP
gateway
for
IP (VoIP)
PSC PSC
pre
selected
carrier
ASC ASC
access
screening
service
NP NP
number
portability
PAY PAY
pre/post
paid
account
xyz xyz
other
custom
services
0200
760760
020..
private
numbering
short codes
blocked/
allowed traffic
flexible balance
management
mobile/fixed
enterprises
multi channel
voting
Special
Services/
features
077..
prefix mgmt/
subscriber

Explore New Opportunities with NSF

MVNO paper

Table of Contents
Established GSM markets saturate - Intensified battle of market shares .....................................................3 The establishment of MVNO market in Finland.............................................................................................5 Mobile Network Operators are facing new challenges through MVNOs .......................................................6 Understanding the Value Chain of the MVNO Business is a Major Strategic Issue for a Host Network Operator.........................................................................................................................................................7 Alternative operator as enhanced Mobile Virtual Network Operator .............................................................8 The HNO/MVNO relationship, partnership or reselling of airtime .................................................................9 Range of shared applications and tools, level of interaction and offered services .....................................10 Prerequisites for the new MVNO mobile business model ...........................................................................11 MVNO story is about to begin - NSF Telecom introduces MVNOGate to meet new technology challenges in the area of MVNO Service Enablement ..................................................................................................14 MVNOGate – A Revenue and Service Platform for Mobile Network Operators .........................................15 MVNO Gate – Main product areas ..............................................................................................................16 MVNO Process ............................................................................................................................................18 MVNO specific Service Activation ...............................................................................................................20 MVNO specific Mediation and Rating..........................................................................................................21 MVNOGate Optional building blocks: Value Added Services .....................................................................22

Preface
This paper outlines a new mobile business model – i.e. the division between Mobile Virtual Network Operators and Host Network Operators. This business model brings new requirements for the established Mobile Network Operators as well. The first part of this document focuses on these new challenges that Operators are facing, the second part describes the MVNOGate that is provided by NSF Telecom for the Network Operators and Service Operators. NSF Telecom has successfully served operators such as Ålands Mobiltelefon, Song Networks, Tele2 and Saunalahti Group in Finland with service enablement, applications built with the Intelligent Networks components, convergent charging, clearing settlement, and service activation related solutions. NSF Telecom has also a significant installed base around the world, in Finland, Russia, Argentina, India, Liechtenstein and many countries in Africa.
Commercial in Confidence © NSF Telecom AB 2005 2(23) Date: 2005-04-27

They have realised that it is always better to wholesale spare network capacity than to leave it unused. MNOs have neither had the need nor the incentives to look beyond current activities. since they have had a healthy revenue growth. profitable subscribers. The cost for acquisition of new subscribers is getting higher. in case they managed to keep their market share. Network Operators have finally overcome their ambivalence towards the idea of MVNOs. The Mobile Network Operator becomes Host Network Operator (HNO) and the Service Provider becomes Mobile Virtual Network Operator (MVNO).Explore New Opportunities with NSF MVNO paper Established GSM markets saturate . Another phenomenon provoked by regulatory issues is Number Portability. The impact of changes in the regulatory environment have opened the operators organizational and business structures in such a way that the Service Providers have equal options to connect to the network operator’s environment as the traditional operator’s own in-house Service Provider. Existing revenue streams of the Mobile Network Operators (MNO) are not sufficient to generate a good return on the investments. Service Providers form a partnership with an existing Mobile Network operator piggyback on their network and resell the capacity under their own brand. as the total market has continuously grown during the past decade. revenue generating. Commercial in Confidence © NSF Telecom AB 2005 3(23) Date: 2005-04-27 .Intensified battle of market shares Penetration Branding&Segmentation 100% Saturation VNO ASP SP Consolidation 5th operator 4th operator 3rd Operator 50% Few major players 2nd Operator Price Europe Americas Asia Services 1st Operator Coverage Time The saturation of the market will lead to strong market conditions as customer growth fades out and ARPU (average revenue per user) flattens out and even tends to decrease. while churn increases and there are less loyal. better still they have also noticed that MVNOs can help them capture customers in segments where their existing brands do not reach.

MVNOs and the Internal Service Operator.97 195.6% 10. but between the HNOs and their capability to segment their capacity and capabilities among several service providers and MVNOs. 2001-2006 (Millions) 2001 3.72 4.3% 0. this is true in relation to the subscribers as well as to the host network operator’s customers.7% 2004 62. MVNOs will be ten times as successful in Western Europe as in Japan by 2006 Source: ARC Group Commercial in Confidence © NSF Telecom AB 2005 4(23) Date: 2005-04-27 .22 2002 15. offered services etc.5% 2003 32. This means that in the long run the most efficient network operator with the best services offering will win the game.37 1. i. accounting for 195 million of the worlds 1.895m mobile subscribers by end of 2006 Worldwide subscribers to MVNOs.4% 2005 2006 Total MVNO subs % of total subs 109. Subscribers to MVNO services will increase dramatically over the next five years. The implemented self-service and self-control is the way to cut cost and execute things more efficiently.44 6. The Mobile Operator’s business model is evolving and the future benchmarking will no more take place between the Service Operators and the number of subscriptions they have.e. Network Operators are now exposed to direct competition in terms of money.4% The incidence of MVNOs varies between regions as a propotion of total subscribers in various regions.60 2.Explore New Opportunities with NSF MVNO paper The key issue for the Host Network Operators will be the ability to segment and effectively share their resources among the MVNOs and the HNO’s Internal Service Operator on equal basis. This means HNO’s ability to implement direct service activation. allowing selfservice to be implemented and MVNO’s as well as Service Operator’s ability to define and activate its own set of differentiated services directly to the network elements including a variety of charging schemes.

Number Portability was forced by the authorities in July 2003. The birth date of the commercial services of the first GSM operator.e. is July 1st. Finnet Networks and Ålands Mobiltelefon that operates only in the archipelago of Åland. Surprisingly. There are now four licence holders for the operations in the GSM network operator domain. two millions of the mobile subscribers had changed to another service provider. Elisa. Commercial in Confidence © NSF Telecom AB 2005 5(23) Date: 2005-04-27 . Radiolinja was actually the first operator to start commercial GSM services in the world. Radiolinja in Finland.Explore New Opportunities with NSF MVNO paper The establishment of MVNO market in Finland The competition in the Finnish telecom market dates back to early 90’s. in less than 2 years more than 40% of the mobile subscriber base. 1991. i. TeliaSonera.

It is a huge change for the MNO organization and processes to become market driven and obtain the ability to serve properly several MVNOs in a value adding and competitive fashion. INAP. It is very challenging for the MNO to carry and calculate the risks involved in this new line of business. The in-house Service Operator is usually like a department store and MVNOs are like specialized shops with their diversified ways to provide value to their offering. i. Commercial in Confidence © NSF Telecom AB 2005 6(23) Date: 2005-04-27 . TAP3. acronyms. MVNOs. In-house Service Operator has typically been a department within the Network Operator’s company. Network Operator has seldom tradition or capabilities to serve multiple Service Operators on equal basis.Explore New Opportunities with NSF MVNO paper Mobile Network Operators are facing new challenges through MVNOs MNOs (HNO) capabilities to sell the network capacity and develop new services and capabilities to steer such an effort will become a critical success factor.e. MNOs have neither the tradition to market their capacity or the ability to fulfill the variety of demands of their customers. IMSI. These technical issues are often used as barriers or excuses in order to prevent changes in the existing business environment. MNO is traditionally technology driven and it is used to live in a “Walled Garden”. surrounded by proprietary (often in-house) and ETSI specified walls like #7. Camel. USSD etc.

MVNE stretches to both ends (Branded MVNO MVNE HNO) in a value chain and differs from MVNO by not having relation with end-users / subscribers. Aggregator. Integrator. Basic MVNO connected with the agreed interfaces to Network Operator. Service Operator has probably a low or no interest for serving other competing MVNOs. It is possible for this kind of MVNOs to change the serving Network Operator – they are typically looking for cheapest air-time and best coverage from the Network Operators. The decision on how the HNO is going to position itself in the value chain is called for.g. MVNOGate gives advanced and flexible tools for Host Network Operator to separate “in-house” and differentiated MVNO operations. e. one for “in-house” operator and another one for external MVNOs. 5. Service Operators are split to 2 channels. Commercial in Confidence © NSF Telecom AB 2005 7(23) Date: 2005-04-27 .Explore New Opportunities with NSF MVNO paper Understanding the Value Chain of the MVNO Business is a Major Strategic Issue for a Host Network Operator HNO ”Inhouse” Sales Outlet Services Integrated Billing Provider 1 Service Provider 2 HNO Reseller of HNO to MVNO’s MVNE Billing Interface Sales Outlet Services Integrated Billing Provider MVNO 3 HNO Sales Outlet Services Integrated Billing Provider Provisioning Interface MVNO 4 HNO MVNO with Own Switching A Complete Revenue Platform MVNO Gate Sales Outlet Services Integrated Billing Provider MVNO 5 HNO A Complete Revenue Platform MVNO Gate Sales Outlet Services Integrated Billing Provider MVNO 1. Shall HNO fill it. 2. with a proprietary protocol for Provisioning and with TAP clearing files for post-processing. There is a ‘vacuum’ for value addition. MVNE – Mobile Virtual Network Enabler. “True MVNO” with own service & switching capabilities. or leave it for MVNE or “true MVNO”? 4. “In-house” Service Operator that belongs or used to belong to the same company with Host Network Operator. ‘Gap Filler’ that wants to share risks and revenues with HNO. 3. This is a quite common set-up today.

and even the premium rate calling services like 0600. it might be beneficial to extend the offering also to the mobile. i. These enhanced MVNOs would probably like to have their own MSC and HLR in order to have competition between the HNOs that provide them with the radio network capacity. Some of these alternative operators are international players that have their own international interconnection trunks and contracts. roaming contracts. Commercial in Confidence © NSF Telecom AB 2005 8(23) Date: 2005-04-27 . universal access number and premium rate services that can be implemented in such a way that the pulse debiting will be generated in the wireline exchange and distributed to the calling parties’ telephone bill. The applications that reside in the IN Capability of the wireline domain can also be utilized by the MVNO subscribers. Since these companies are represented in several markets. they have the country wide dialling scheme. they often want to have their own operator code. Some examples of these services are prepaid. These operators are heading their activities to the mobile side in search for extra revenue.e.Explore New Opportunities with NSF MVNO paper Alternative operator as enhanced Mobile Virtual Network Operator Sales Outlet Services Integrated Billing Provider HNO MVNO with Own Switching & IN Capability ”True” MVNO Wireline Exchange & IN Capability The alternative wireline operators are established to markets that have gone through the process of deregulation. These operators might consider that since they have already the customers in the wireline domain. since some of the functionality that reside in the wireline systems and the existing organization might provide competitive advantage at least compared to the start-up companies that start MVNO business from scratch.e. The alternative operators have typically based their business on the revenues from premium rate calls. HNO Sales Outlet Services Integrated Billing Provider ”Enhanced” MVNO Wireline Exchange & IN Capability Another breed of alternative operators that are extending their activities are the operators that have the international traffic and long distance calling facility. i. etc that are based on IN-functionality. 0700 and 0800 numbers. like long distance and international calling.

e. the greater added value can potentially be generated by the partners. Partner to deliver the product together reach new markets and customer segments neither could reach otherwise. How do the business objectives of the participants mesh with each other? Is there a size/power differential? Is the relationship a business-to-business or supplier-to-buyer one? Are the participants sharing a common business goal.Explore New Opportunities with NSF MVNO paper The HNO/MVNO relationship. There are some questions worth considering when entering the partnership. i. are those attractive for both parties? Does the contract provide for an exit strategy? What is the range of shared applications and tools? lg ro Increased Integration wt h Integrated area Mergers Acquisition In te rn a Collaborative area Alliance structure Subsidiaries nc es Joint venture Equity partner ic al lia St ra te g Ta ct ica l Strategic business partner Cross-licensing OEM Relationhip One-way Supplier Transaction area Less Integration Low Preferred supplier Vendor Degree of collaboration & added value 9(23) High Source: Macecorp Date: 2005-04-27 Commercial in Confidence © NSF Telecom AB 2005 . The HNO traditionally has one intimate partner. i. The deeper the alliance and synergies. potential for profitability and new growth opportunities. partnership or reselling of airtime In order to be successful in the HNO/MVNO business in the long run it is essential to see that HNO and MVNO get together to achieve a common purpose.e. they get together for both of them to prosper in the alliance. When considering for example the data communication and the fixed network activities that are traditionally a part of the total offering of the HNO’s mother company. Another aspect of collaboration is that the MVNO can also be competitor in some of the business segments of the HNO. or simply links in a supply chain? What information do participants need to understand their partners better? New revenue sharing models. the in-house service provider.

customized reports and statistics. In case HNO does not provide MVNOs with the capabilities to differentiate the MVNO’s only option is direct price competition and in the long run this means that the only action taken by the MVNOs is cost cutting.Explore New Opportunities with NSF MVNO paper Range of shared applications and tools. High ARPU High Loyalty VPN Friends & family Advanced realtime charging . There are two major ways to increase the MNO and MVNO common value proposition.Limit Advanced data Basic data Advanced Voice MMS SMS services Charging functionality by post processing Postpaid/prepaid Self care Cost cutting Flatrate Price competition Low Degree of Added Value 10(23) Increased Interaction Degree of HNO/MVNO Interaction Less Interaction Low ARPU High Churn High Date: 2005-04-27 Commercial in Confidence © NSF Telecom AB 2005 . instead of increasing value per subscription.Location based . level of interaction and offered services The HNO’s ability to provide MVNOs with capabilities to differentiate will allow the MVNO to compete with the established in-house Service Providers of MNOs. The interaction means that the MVNO should have full real-time control of the network resources that are entitled its subscriptions. hot-billing.Bonus . Actually “equal basis” is not enough since the introduction of new innovative services in the MVNO environment should take place much faster than in the traditional monolithic environment. The second one is the degree of interaction between the MNO and MVNO. allowing self-care. The first one is Value Added services that can be provided by means Service Layer and Intelligent Network solutions combined with the adjunct processing capabilities that allow more flexible execution of tailor-made services than the traditional services and applications. and the entrants like other MVNOs. The interaction means also that the MNO’s attitude and processes are adapted to serve the MVNO on equal basis with the in-house Service Operator. location based charging.

prepaid or postpaid. Legacy billing systems will no longer be needed since the modern CRM and ERP systems capable of handling customer care. The users will be free to select payment options. invoicing and accounts receivables for large customer bases will replace them. The revenue leakage caused by this lost data can occur at several points in the revenue management process. Commercial in Confidence © NSF Telecom AB 2005 11(23) Date: 2005-04-27 . The convergent charging and industry standard based business support solutions (such as Customer Relationship Management CRM and Enterprise Resource Planning ERP) enable end to end revenue management processes for both HNO and MVNO. this is also source of incorrect bills. Apart from causing a significant impact on the bottom line. Revenue Leakage Billing Process Invoicing Business Process ERP CRM $ $ £ Business Support Systems Rating Charging and Order Gateway £ Mediation Service Network Core Network Traditional Legacy Systems Service and Core Network Open Industry Standard Sometimes in the legacy billing process data is lost. Both the user need for spending control and the operator need for credit control will be satisfied.Explore New Opportunities with NSF MVNO paper Prerequisites for the new MVNO mobile business model 1. This will be the cornerstone of successful business for the MVNO both in relation to its subscribers and its business partners including the HNO. The convergent charging approach with real-time charging essentially eliminates the potential revenue leakage as processing takes immediately place as soon as event occurs. as illustrated in the figure. Convergent Charging and Business Support Systems The charging of services becomes an integral part of service delivery to users while the service environment becomes more complex and competitive. based on their personal preferences and credit history. discarded or put on hold in socalled “suspense”. The convergent charging will take place more in real-time and allows straight-forward interaction with business support systems bringing additional advantages such as customer intimacy and the elimination of revenue leakage. Market Researches indicate that anywhere between one and fifteen per cent of revenue is lost this way. which put a strain on customer care centers and potentially damage the operator-customer relationship.

The MVNOs processes rely on self service schemes and automated processes for the credit control etc. The service activations and provisioning of the network elements take place in real time and the results of such activations are displayed directly for the subscribers.g. cheaper services etc. Paradigm shift from own service production to external service providers e. The MVNO will strive to a position where it can employ the services of several rivalry service providers and have the option to transfer to another service provider that has better quality. In order to be competitive in providing services the MVNO is willing to employ several sources of services. The Provisioning and activation service must also contain the intelligence to act according to the responses it receives from the network elements etc. The trend for MVNOs seems to be that they are cost conscious and not keen on investing in the platforms and employing personnel for the maintenance of such platforms. Another way for MVNO to provide the services for its subscribers is that the MVNO invests in its own service platforms. Commercial in Confidence © NSF Telecom AB 2005 12(23) Date: 2005-04-27 . and a log must be created in order to perform fault diagnosis. The convergent charging with the real-time features puts a lot of pressure on the provisioning and activation service.Explore New Opportunities with NSF MVNO paper 2. One obvious source for the services is the HNO and its service layer platforms. The provisioning of network elements and the activation of services described above requires a modern highly flexible and adjustable provisioning solution with open interfaces. Instead they are interested in how to get the service without investments and in no time. The Provisioning and activation service must be able to communicate simultaneously with the data bases and the network elements and services. Application Service Providers Numpac Credit Bank Scoring Interface Activation & Provisioning MMS Centre Voice Mail Invoices Customer Bill Printer Call Centre SMS Web Retail POS MVNO Transfer Protocol VAS IN MVNO Own / ASP Services ERP/CRM M M H X SMS Centre MSC HLR Numpac Credit Bank Scoring Interface IN MMS Centre Invoices Customer Bill Printer Call Centre SMS Web Retail POS Inhouse Service Operator/ Host Network Operator ERP/CRM Activation Voice Mail SMS Centre WAP GW GPRS GGSN Provisioning of Network Elements Traditional Mobile Operator Services The MVNOs tend to act more cost effectively than the traditional operators. or to provide the services by itself in case there is no substitute available in the marketplace.

where the standardization bodies are involved and the solutions are often realized with inhouse resources . Often it is matter of packaging new services in different ways. On the other hand new MVNOs are typically not telecom experts. MVNO typically drives for innovations and new services as they are very close to endcustomers and the customers’ constantly changing needs. Cons.Explore New Opportunities with NSF MVNO paper 3.is not applicable in MVNO environment.e. MVNO BUS. The role of the MNO is mostly to act as an enabler providing the means and tools of telecommunication (typically IN-based services) in order to allow the MVNO to differentiate and serve the specific customer segments. MVNO youngsters MVNO MainGate MVNO MC Donalds Community MVNO MVNO MVNO Portfolio Product Handling Service Administration External Services Customer Database Account Handling SIM-Card Mgmt Number Portability Bank. they can position themselves to a specific market niche. It is vital for MNO to be able to offer customised services and features to MVNOs. etc. Enabling MVNO segmentation is essential to become attractive MNO/HNO The MNO’s way to introduce new services is a cumbersome process . One of the first MVNOs has been Virgin Mobile in England. The reason for the better score is believed to depend on the perception of the brand that differs from the MNO’s image as well as the offered services including the web self-care and well-functioning customer care like call centre etc. The subscribers of Virgin Mobile have given higher score for the network service quality than the MNO’s own subscribers. The MVNOs are considered to be the masters in customer relations and segmentation i. Connections Prepaid Call History Invoice Printing Limit Call Statistics/Reports Virtual Private Network Call Hunting Friends and Family Call Centre Rerating Networked Mediation SMS-Service GPRS-Service Roaming-Service (IMSI) Clearing/Terminating Clearing/Originating Settlement/SP Directory Inquiry Service Voice Mail MVNO Tools for Differentiation Standard Customized Customized Customized Customized Customized Customized Commercial in Confidence © NSF Telecom AB 2005 13(23) Date: 2005-04-27 . Since the MVNOs often have a proven track record in customer relations and an established brand. they very often have also the ability to introduce innovative new services for their own customers in the targeted customer segments. and they often want to rely on expertise provided by the MNO and its partners.

Explore New Opportunities with NSF MVNO paper MVNO story is about to begin NSF Telecom introduces MVNOGate to meet new technology challenges in the area of MVNO Service Enablement Market development . SMS and in the future it will be concentrated on Content and Applications. Organisations require different mindset. This transition will be an enormous challenge to organisations which have always experienced growth. with limited competition Source: Lehman Brothers Research Commercial in Confidence © NSF Telecom AB 2005 14(23) 21 00 Date: 2005-04-27 . skills and attitude.voice/non-voice (2G/3G) 19 98 19 99 20 00 20 01 20 02 20 03 20 04 20 05 20 06 20 07 20 08 20 09 Voice ARPU VAS ARPU Today MVNO business is mostly concentrated on Voice.

the middleware between the network elements and the business support system of the service provider the company that holds the brand. Siemens EWSD and Nokia DX 200. they are not able to serve several service operators (MVNO) and their processes. BRAND (MVNO) Differentiated Breed of Services MVNO Gate. servers (HNO) MVNOGate includes components for service provisioning. MVNOGate is the “beef”. a complete revenue platform Network Elements: exchanges.e. i. premium rate. need for intimacy and logging functionality required by the authorities. routing and barring features (black & white lists).e. Additionally. advanced charging (freephone. i. The existing operator environment will be divided into two independent environments that both have a set of services that are independent from each other. split charging). clearing.Explore New Opportunities with NSF MVNO paper MVNOGate – Revenue & Service Platform for Network Operators MVNOGate is a platform for Mobile Host Network Operators (HNO) that are willing to support the dynamic and “true MVNO” segmented business. MVNOGate provides value added services such as private user groups (VPN). The MVNOGate provides the HNO with optimal tools for both the needed ingredients. The existing systems and processes are often monolithic. Commercial in Confidence © NSF Telecom AB 2005 15(23) Date: 2005-04-27 . real-time rating. the MVNO. NSF Telecom has previous experience from switching systems like Ericsson AXE. Another perspective is the legislative and security issues such as access rights. i. mediation. The set of services can easily be tailor-made for each MVNO. The value proposition of MVNOGate is that the Host Network Operator can by means of MVNOGate introduce a complete revenue platform in order to serve the MVNOs and in the same time keep the existing in-house service operator’s processes undisturbed.e. interaction between HNO/MVNO and allows HNO to provide easily customized Added Value services for the MVNO.

. Run-time Scripts Services ASP etc. The Provision Gateway can easily be extended to support other command sets and new network elements. XML Result Request HTTP Composer Results Control Logics SQL XXX Request Result R equ Result est Resu lt Management Configuration Execution History Log Request Result Request Result Commercial in Confidence © NSF Telecom AB 2005 16(23) Date: 2005-04-27 . Tempo and Composer in the MVNOGate platform.Explore New Opportunities with NSF MVNO paper MVNO Gate – Main product areas The main product areas are illustrated as Melody. . ”The Total Picture” Population Registration Centre Credit Scoring Bank Claims Number Portability Clearing / settlement MVNO Existing Legacy System or ”Standard” Bill Printer Invoices Subscriber Call Centre Retail POS Enterprise Resource Customer Relation Planning Management ”BizTalk” ”SAP” ”Siebel” Web SMS Melody A Complete Revenue Platform MSC HLR VLR MVNOGate IN SSP GPRS GGSN SGSN SMS Centre WAP GW MMS Centre IVR UM Host Network Operator Composer Order Engine handles command interface towards switches and other network elements. 2nd HNO Network Element MSC Network Element MMS Network Element VMS Data Bases Services Mediation/Rating Roaming Clearing/Settlement Tempo common channel signalling SIM Card Mgmt Number Portability Service Admin Composer WEB Clients PC Clients PHP Interface Client-Server Interface Requ est Tasks Single Multi Telnet Result Request Legacy Systems WEB Server XML Interface MVNO Interface .

MVNOGate with TEMPO opens real-time signaling channel (SS7) to the public telecom networks. NSF-Melody contains function modules for mediation. Population Registration Centre Credit Scoring Bank Claims Number Portability Clearing / settlement Bill Printer Invoices MVNO Subscriber Call Centre Retail POS Web SMS VPN UAN FPH PRM xyz TVT ASC PSC NP PAY Melody A Complete Revenue Platform IN SSP Tempo Composer MVNOGate MSC HLR VLR GGSN SGSN GPRS SMS Centre WAP GW MMS Centre IVR UM Host Network Operator Commercial in Confidence © NSF Telecom AB 2005 17(23) Date: 2005-04-27 . rating. statistics and IN report files) from network elements.CSV Melody Counting Logics Format XML Event Data Reco rd result Even t Data Reco rd Data Account sub account sub account sub account Management Configuration Execution History Log result result result Rating refers to real-time tariff calculation of services according to valid Rating rules. TEMPO based Value Added Services can be complemented with MELODY and COMPOSER capabilities . It can flexibly be adapted to different tasks and formats.Explore New Opportunities with NSF MVNO paper Melody Event Engine collects and forwards files (such as toll ticketing information. Clearing handles charging rules between MVNO and HNO. alarms. Mediation can handle different formats.for example provisioning of Mobile IN categories to MSC. Reports WEB Account Rules Rules Network Element MSC sub account Data sub account sub account result Rule Logics SQL Collect Eve ata nt D o Rec rd Data SQL Data Base Account sub account sub account sub account result result FTP Da Event ta Rec ord Network Element SMS-C Network Element MMS Network Element GPRS Network Element VMS Event Data Record result Data Account sub account sub account sub account . CDR. e. IN-tickets. Some Potential Value Added Services (acronyms such as VPN – virtual private networks) are shown on top of TEMPO platform. IPDR.g. MVNOGate is used by Customers having core network element such as MSC from major telecom infrastructure suppliers. and mediation. MVNOGate fits perfectly to multivendor environments. clearing of IN tickets in SSP. rating and clearing.

Customer Care / CRM MVNO life-cycle management Changes and modifications in MVNO portfolio Agreement updates / extensions / phase-out MVNO deregistration / transfer of customer base Commercial in Confidence © NSF Telecom AB 2005 18(23) Date: 2005-04-27 . deployment. how to be arranged Network Infrastructure. Invoicing. Sales and technical support Sales Outlets. e.g. Systems. SIM card logistics Support. own number space or part of MNO space SIM card production / logistics. Reporting issues Software programs and their administration MVNO service package (basic / options) MVNO activation / set-up project All relevant items in the contract to be executed. site set-up. location and interfaces Billing.Explore New Opportunities with NSF MVNO paper MVNO Process MVNO Contract MGMT Administrator MMS Centre IVR UM Number Portability WEB-API Client Applications DB MVNO Specific Provisioning of NE:s Outline Customer database Outline IMSI & MSISDN Specify Products & Pricing/ Rating settings SMS Centre MVNO 1 Outline IMSI scope Outline MSISDN Outline Security & Access levels Outline Rating Outline set of services MVNO Gate WAP GW GPRS GGSN IN Rated MVNO specific CDR:s MSC HLR VLR Contract management Following issues are to be covered in the contract management phase: Numbers. both MVNO and HNO side.

Each MVNO is connected to MVNOGate according to the Contract in Business Management process. Also the clearing settlement for inter-carrier traffic and business reports will be specified in this process. MMS-C). Platform is scalable and the capabilities can be shared among multiple MVNOs. Contract specifies all the services that MVNO subscribes from HNO. MVNOGate can be regarded as a parallel channel to classic set-up for MVNO-MNO Service enablement where in-house service operator has access to the network and service capabilities offered by in-house network operator whilst an MVNO may invest to their own equipment (e. SMS-C.g.Explore New Opportunities with NSF MVNO paper Each MVNO has its own environment behind firewalls. Commercial in Confidence © NSF Telecom AB 2005 19(23) Date: 2005-04-27 . MVNOGate can share capabilities and secure own space among several MVNOs. Each MVNO is isolated from other MVNOs – only accessing services given to their own domain. service enablers (service layer capabilities) and platform (system functions). buy some services with ASP model and network capacity and service offerings from an MNO. MVNOGate consists of secure user access interfaces. MSC/HLR. APIs for external systems. MVNO Client is a workstation with a web server in order to provide own home pages and optionally self-care web access for their subscribers. network element interfaces.

XML specification (DTD) defines allowed XML elements. XML based ERP/CRM I m A X W G S V M H . Commercial in Confidence © NSF Telecom AB 2005 20(23) Date: 2005-04-27 . In an example above MVNOGate acts as a slave to MVNO’s own customer care system over machine-to-machine interface (XML).... In self-registration phase MVNO may automatically check database of people registration center in order to find out address and other subscriber information... Service Administration Stand-alone solutions are based on client-server and Web (PHP) technology that gives operators easy-to-use tools to administer them selves their services. attributes and their values.... Number Portability gives MVNO possibility to offer new subscriptions for users belonging to another service operator and keep their existing mobile number (MSISDN).g.. <?xml version="1.Explore New Opportunities with NSF MVNO paper MVNO specific Service Activation Complexity of Service Provision is hidden behind MVNOGate/Composer. .0" encoding="UTF-8"?> <!DOCTYPE task SYSTEM "service-provisioning.... Below is an example of a simple Provision task. Simple Subscription form on Customer Service level and activity such as “add services” results number of specific commands towards number of Network Elements... Ultimately subscribers administer all their services via self-care web client.dtd"> <task type="add service"> <subscriber number="xyz"> <service name="voicemail" status="active"> <service name="gprs" status="active"> <service name="mms" status="passive"/> </subscriber> </task> IN MMS Centre WAP GW Subscribers Numpac Call Centre SMS Web People register MVNOGate GPRS GGSN SMS Centre ssh telnet FTP Voice Mail MSC HLR Service Operator/ Virtual Operator API e.

Commercial in Confidence © NSF Telecom AB 2005 21(23) Date: 2005-04-27 . The MELODY Web-based Graphical User Interface allows users to set business rules without any additional programming since it supports user scriptable languages. MELODY consolidates the mediation and rating tasks and distributes the selected results to a variety of predefined targets like. The real-time functionality of MELODY enables service providers to offer prepaid or postpaid mode for the service types and credit limit services for data. Once collected the data is parsed. and the tasks can be distributed among multiple CPUs or over TCP/IP among multiple servers. aggregated. The rating or mediation rules can easily be changed and updated. Service Providers and MVNOs simultaneously over the TCP/IP network. The number of data transferred to business support systems is significantly reduced through aggregation and correlation processes. Databases. and distribution. or correlated by service type. Users can introduce new services to marketplace without any delay as well as define business rules and data formats for parsing. Melody site source site Filtering Operator INSTRUCTION responsibility lists NSF reponsibility Melody Engine INPUT CDR files TCP/IP FTP collector DB report files Operator responsibility BACKUP CDR files CDR format LOGICS Filtering LOGICS Environment SETUP FTP Server Application Server Melody has been designed with low-maintenance and high-availability in mind. standardized. using a variety of industry standard and proprietary protocols. Therefore the rarely needed maintenance is done remotely without interrupting the operation of the system. correlation. as well as IP network elements. content and voice. MELODY collects usage data from telephone switches. aggregation. All data processing is performed in real-time memory (RAM). standardization.Explore New Opportunities with NSF MVNO paper MVNO specific Mediation and Rating NSF-MELODY is a telecom grade Mediator Platform for convergent mediation tasks.

number portability. home/business zones Reach-me – one personal number to call Universal Access Number – one company number to call Virtual Call Centre – agents can be distributed IN Service Mgmt IN Service Data IN scripts INAP/SS7 New Services for Telecom Stretching over Generations Service Mgmt Service Data Service logic SIP OSA/Parlay 2G API SDK standard interfaces proprietary legacy systems Next-Generation-Networks Next. Here is a list of examples .services and features that can be provided: • • • • • • • • • • ‘All calls query’. access control.g. Family and Friends) Prepaid / postpaid account – flexible balance manager Location based charging e.Explore New Opportunities with NSF MVNO paper MVNOGate Optional building blocks: Value Added Services NSF Telecom has capability to provide value added services. or standard service can be split among several MVNOs. real-time control Black & White Lists (to block and allow calls) Private Numbering Plans (VPN. global barring and limit control Fraud management. These services can be tailor-made per MVNO. Adding value with sticky services such as friends & family groups. preselected carrier service Subscriber service groups.Generation- Commercial in Confidence © NSF Telecom AB 2005 22(23) Date: 2005-04-27 .g. e. the customer loyalty and revenue stream figures can be improved. individual bonuses.

077.g. SS7 platform provides High Availability with duplicated SS7 Hardware and carrier class SW architecture (parallel SS7 stacks).g.. BSSAP and SIGTRAN. e.Explore New Opportunities with NSF MVNO paper Value Added Services on TEMPO platform Application/DB server TEMPO platform supports all major telecom signaling standards available. MAP. ISUP. and hotpluggable RAID hard discs. CAP. NSF services are running on application/database servers e.. Support for SIP is also planned. virtual private network VPN universal access number UAN freephone number FPH premium rate number PRM Special Services/ features conditional call transfer CCT gateway for IP (VoIP) GIP other custom services xyz tele voting multi channel voting TVT pre selected carrier prefix mgmt/ subscriber PSC access screening service blocked/ allowed traffic ASC number portability mobile/fixed enterprises NP pre/post paid account flexible balance management PAY Commercial in Confidence © NSF Telecom AB 2005 23(23) Date: 2005-04-27 . on a packet cluster including in minimum two industry standard (x86 based) servers. CS1 INAP. UAN NP PP VPN High Available SS7 platform E1 2Mbit / SIGTRAN Signaling network TDM or IP based Value Added Services private numbering short codes 0200 760760 020.

Sign up to vote on this title
UsefulNot useful