ANGUS FLETT ON THE FUTURE OF BROADBAND SERVICES
The days of explosive growth in broadband take-up are over – more than half of all households and two-thirds of businesses have a broadband service. But the rocketing popularity of sophisticated end user applications and devices, and the need to integrate new services easily and affordably, is driving the development of new networks that provide cheaper, speedier, more flexible and more controllable broadband services.
This month, Between The Lines spoke to Angus Flett, Director of Product Management at BT Wholesale, about the technology and market changes, the new critical success factors and their implications, and about the new Connect family of broadband products.
THE CHANGING BROADBAND MARKETAngus believes that the steep growth curve in broadband take-up is now levelling out – all the ‘early adopters’ and most people who are comfortable using PCs at home and at work, now have broadband. Future growth in the customer base will be driven by demand for new services that are not necessarily delivered via a PC: TVs, mobile phones and other personal devices will become the interfaces of choice for many. Angus is convinced that, in future, "Broadband will be everywhere but will be largely invisible. Customers will focus on their love of content and passion for electronic communications, not on the technology itself." APPLICATIONS POINT OF THE WAY
Demand for broadband will grow as consumers become accustomed to using applications that depend on broadband. As Angus explains, "The consumer is changing broadband from something that is ‘nice to have’ to something ‘vital for me’, and we expect that it is demand for and use of applications that will drive future broadband penetration and product development. This move to software-based products and services is what underpins BT’s development of a 21st century, ‘next generation’, IP-based network. Providers will need to tap into this change more aggressively – converged products can open huge and valuable new markets, such as for VoIP services in the business space."
PUTTING THE CUSTOMER EXPERIENCE FIRST
As consumer demand for new applications changes the shape of the market, new pressures and requirements come into play for Communications Providers. The cost and marketing of raw bandwidth – the theoretical maximum speed of a service – will become a secondary consideration to reliably delivering whatever bandwidth is required for any application at any time.
A high quality customer experience will come from how effectively and reliably customers receive and can use services, not from the volume of notional bandwidth at their disposal. As established customers become more confident about broadband and depend more on their services, Angus believes we should anticipate that they will increasingly choose to move between suppliers to gain a superior, more resilient, reliable and stable service. "Churn may increase as providers offer different combinations of interoperable fixed and mobile telephony, data, video, messaging, TV and entertainment services."
INCREASED FLEXIBILITY, GREATER CONTROL This presents Communications Providers with a massive challenge. In a converging and software-led world, the ‘you just need a bigger fat pipe’ argument no longer holds true, if it ever really did. The future is applications and the next generation of networks and broadband services have to deliver both the bandwidth and the control and flexibility to assign different priorities to different kinds of usage – to mix and match traffic flows against the applications the customer chooses.
"Change is coming and I can foresee that end user customers will eventually manage applications and services for themselves, with bandwidth provided automatically to match their choices. But even today, the shift to a software focus that is increasingly under customer control is driving a step change in broadband – the key to our approach now is ‘Speed when you need it, reliably and flexibly’", Angus commented.
THE CONNECT FAMILY OF BROADBAND PRODUCTS Introducing the Connect family of broadband products is the first step onto BT’s 21st Century Network (21CN), and the cost, interoperability and ease-of-use benefits of ‘next generation’ networking are integral to the new broadband products.
The Connect family delivers new higher downstream speeds but also – and perhaps more importantly –brings new flexibility and control through the introduction of manageable classes of Quality of Service. "Higher speeds are not the focus. What’s crucial is speed in relation to applications – consumption – and that’s where the new controllable Quality of Service classes will make a real difference,", said Angus.
Providers can offer a range of new end user services and more clearly differentiate their offers to help retain existing customers and to attract new ones. Providers can mix and match traffic with end user demand, knowing they will have the necessary bandwidth in relation to end user services. SMOOTH MIGRATION TO NEXT GENERATION BROADBAND
The new Operation Support System (OSS) for 21CN products underpins the new Connect family broadband products. The new OSS will make it easier and quicker for providers to order, track and vary their broadband services, and to diagnose and fix faults or report them for further action.
Angus concluded, "The new broadband services are cheaper and functionally much richer. It makes sense for providers to be planning their next moves now, as hanging back might risk existing market share and brand position in the face of more nimble providers who offer a wider range of integrated services focused on potential churners. One of the beauties of ‘next generation’ services is that once you’re on 21CN, all future developments are software upgrades, additions and enhancements: the focus of communications is moving away from network engineering to true customer service." THE CONNECT FAMILY OF BROADBAND PRODUCTS Wholesale Broadband Connect (WBC) – a broadband conveyance service that connects to your existing networks and resources.
Wholesale Broadband Managed Connect (WBMC) – an end-to-end service that takes away the headache of network build and management, letting you focus on the customer experience, sales and marketing.
Wholesale Broadband Connect Converged (WBC Converged) – add voice to broadband and give your customers a single number for all their services.
IPstream Connect – provides a price competitive, national broadband connectivity product across existing 20C networks with aggregation and transport services, and access to some new Connect family features and ways of working.
Find out more
Listen to Angus address some of the key issues surrounding the future
of broadband in the latest edition  of our Radio Engage podcast.
You can listen or download a copy.
To discuss your business' broadband strategy and where you want to go, or to find out more about how the Connect family of broadband products can meet your own and your customers' needs, please contact your BT Account Manager or team.
Download the Connect family of broadband products brochure here
|
BETWEEN THE LINES PDF
|