Telcordia Urges Operators to 'Follow the Traffic'

Survey reveals that with data traffic on the rise, CSPs need to re-evaluate their business models, pricing structure, OSS to capitalize on that growth

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Telcordia

May 26, 2010, 09:00 ET

PISCATAWAY, N.J., May 26 /PRNewswire/ -- A survey of industry professionals across more than 75 countries by Telcordia, a global leader in the development of fixed, mobile and broadband communications software and services, reveals that Communications Service Providers (CSPs) must reevaluate their billing solutions and re-adjust their business models to capitalize on the exploding rates of data traffic expected to multiply exponentially over the next year. The primary research survey, conducted by Telcordia at this year's Mobile World Congress and CTIA, explored two important carrier issues: data charging and bandwidth management.

When asked if users expect to see data tariffs with hard limits, tiered services, both or neither, an overwhelming majority of respondents (73 percent) noted that they expect to see either network-enforced hard limits, tiered services or a combination of both to manage data traffic.

"CSPs need to insert themselves in the mobile broadband value chain and leverage billing and charging assets to manage network costs and to add innovative value-added offers and services to both subscribers and over-the-top content third parties," said Pat McCarthy, vice president, Service Delivery Solutions, Telcordia. "All-you-can-eat data plans are not a sustainable business model, and policy-based bandwidth management and real-time charging provide CSPs and their subscribers with the necessary flexibility to try new services while keeping costs in line."

The survey results reinforce that CSPs worldwide expect to count on network management to control data traffic growth, which is increasing at a much faster rate than revenues and creating profitability and customer experience challenges.

For more details on Telcordia Service Delivery & Charging visit: http://www.telcordia.com/portfolios/service_delivery/index.html. For more information about Telcordia, visit www.telcordia.com.

About Telcordia

Telcordia, a global leader in the development of mobile, broadband and enterprise communications software and services, enables Communications Service Providers (CSPs), enterprises, suppliers and government entities to successfully deploy innovative and advanced services that help our clients realize operational efficiencies, drive revenue, and maintain a competitive edge in the new era of services-dominated communications. Telcordia has globally trusted expertise in software and services to meet the needs of customers and partners, including, consulting, next-generation OSS, network and application interconnection, service delivery and charging solutions, industry research and new technology development. Telcordia is headquartered in Piscataway, N.J., with offices throughout North America, Europe, Asia, Central and Latin America. (www.telcordia.com).