Carrier Interoperability Feeds Service Uptake

Interoperable solutions allow carriers to deliver streaming media, mobile games, wireless payments, location-based services, and other offerings -- without restricting users to their subscriber network. "Sun and Sun's partners offer solutions that enable carriers to develop, deploy, and manage unique new services that add real value to the user's experience," says David Eschen, telco solutions architect at Sun Microsystems.

The world of wireless communications continues to evolve, and carriers can no longer afford to allow their networks to languish as isolated islands floating in a sea of data.

Inter-carrier services are key to offering the targeted services that wireless customers want. In order to offer services that users perceive as valuable and that don't restrict them to communicating solely with those on a specific wireless network, carriers must work together to achieve interoperability.

Consider the speed with which U.S. wireless customers embraced text messaging after the major carriers unshackled their networks, allowing users to communicate regardless of their service provider.

Although usage of short message service (SMS) in the United States is just beginning to approach that in European and Asian markets, the move to create SMS interoperability was a notable success. In June 2001, wireless subscribers in the United States sent 33 million messages, according to the Cellular Telecommunications & Internet Association. In December 2002, users exchanged more than 1 billion text messages.

Asia and Europe have offered interoperable text services since 1999.

"When I moved here from Europe I was amazed to find out I couldn't text people who used another service provider," says Michel Guetzler, a Manhattan-based corporate communications consultant. "I thought it was as ridiculous as saying you couldn't place phone calls to clients of a different long-distance provider."

Industry studies point to lack of operability among carriers as a culprit for the initially weak interest in text messaging services in North America.

"Inter-carrier services are certainly not limited to offering just simple text messaging, although that's the service that first comes to mind when discussing interoperability," says David Eschen, telco solutions architect at Sun Microsystems. "But text is just the beginning. Sun and Sun's partners offer solutions that enable carriers to develop, deploy, and manage unique new services that add real value to the user's experience."

What's a Picture Message Worth?

Sun client and technology partner InphoMatch recently rolled out InphoXchange MMS, which enables inter-carrier operability for multimedia message service (MMS) so mobile subscribers can exchange graphical messages with users on different carrier networks. With MMS, subscribers can send and receive pictures, graphics, video clips, sound files, and text messages using their wireless handsets.

"Our customers recognize that interoperability was the key to unleashing the explosive growth in SMS," says Jonathan Haller, senior vice president of marketing and business development for InphoMatch. "Building upon the success of InphoMatch's contribution to the explosive uptake of SMS in the Americas, our newest offering will significantly contribute to the adoption of MMS as a rich and effective means of communication."

The InphoXchange MMS platform provides wireless carriers with a single point of connection to enable the global exchange of multimedia messages with other carriers. The solution also allows for delivery of messages to non-MMS-enabled carriers via an SMS alert. Recipients who don't have MMS could then view the message on the Internet. This answers a critical user interoperability challenge, since the majority of multimedia messages initially will be delivered to non-MMS-enabled carriers and subscribers.

InphoXchange MMS integrates fully with the company's SMS and international routing infrastructure, and includes a comprehensive real-time wireless number portability database. A perfect fit with Sun's solutions, InphoXchange MMS also includes access to multimedia message traffic statistics, usage patterns, and reporting using InphoMatch's InphoManager Web-based portal.

The multimedia messaging market is poised to take off. Analyst firm IDC forecasts a compound annual growth rate of 178 percent for MMS through 2007, and the Zelos Group predicts that wireless photo messaging revenue will grow from $10.2 million in 2003 to $440 million in 2008. But in an interview with Wireless Week, Zelos principle Seamus McAteer cautioned that MMS won't gain much traction until carriers can offer completely interoperable services.

Playing Well Together

Interoperable solutions allow carriers to deliver streaming media, mobile games, wireless payments, location-based services, and other offerings — without restricting users to their subscriber network.

Telstra, Australia's top telecommunications carrier, is even using interoperable services to safeguard users' wireless phones. The company can easily block service to lost or stolen phones, making them unusable on any GSM network in the country, thanks to inter-carrier blocking, which was rolled out in mid-September. The system renders each phone's unique serial number invalid when it's reported missing. The Australian Mobile Telecommunications Association issued a statement saying that as a result, stolen mobile phones will soon become worthless commodities. Telstra has already blocked more than 45,000 lost or stolen handsets in the past year — 120 lost or stolen phones a day.

Entertainment solutions can offer mobile operators big returns, too. In January 2003, just before the Stanley Cup playoffs, U.S. and Canadian wireless service providers implemented cross-border, inter-carrier text messaging so hockey fans could stay in touch via SMS with buddies and supporters of rival teams across the border.

And to feed fans' appetite for Stanley Cup news, the National Hockey League turned to Sun to build a wireless network that would provide fans with on-the-go access to box scores, highlights from previous games, and fantasy leagues, as well as allow them to establish player profiles, track their top 10 players, pay for tickets in advance, and more.

"The hockey site got me and my buddies to buy new mobile phones," says Fred Gorski, a Toronto-based ambulance driver. "I didn't want to miss a minute of the playoffs, but I work nights and weekends. It was great being able to check the scores and instantly harass my best friends in the States every time their players missed another shot."

Inter-carrier services are clearly a viable path to increasing average revenue per user and fortifying customer loyalty.

As Sun's Eschen says, "There's really no limitation to the innovative services carriers can offer with Sun's inter-carrier solutions.