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August 10, 2006

The walled garden approach, adopted by most wireline and mobile telecom providers, has a number of key shortcomings says a new report by Pyramid Research; Transforming Telcos With IMS: The Telco Silver Bullet for an Applications-Centric World.

Eventually, voice and data will converge around an IP transport. The IP Multimedia System (IMS) is the multimedia architecture that provides interoperability. "The walled garden approach remains the preferred option for telcos, for a simple core reason: control," comments Svetlana Issaeva, the report's author.

Using IMS, carriers can track, charge for or block subscriber access to Internet-based services. They will be able to charge extra for preferred handling of multimedia traffic, and allow preferential treatment for some services and websites over others.

For all the advantages that the walled garden approach has, says the report, it does not take the full measure of the challenges telcos are facing. Walled gardens have a number of key limitations. The cost and ultimate price of quality of service and service customization and also the restrictions to subscriber choices make this model inadequate for ultimate IMS rollout, says the report.

IMS is the foundation for next-generation fixed/mobile convergence based on IP. It allows, for example, a single video clip to be played on a cellphone, laptop or television set. It allows interoperable messaging, data exchange and billing across different platforms (like a WiFi/Cellphone).

Sprint's commitment to Mobile WiMAX yesterday also brings challenges. The Average Revenue Per User could be under attack if users dumped Sprint voice services and went with Skype. iSkoot allows Skype calling on regular cellphones, for example. WiFi or WiMAX might provide a (cheaper) alternative route to cable or cellular VoIP services, resulting in a net loss of revenue.

The next 12 months will be critical for the future of the IP Multimedia Subsystem (IMS), as carriers begin to deploy IMS-specific systems and determine whether it can deliver on its promises, according to Heavy Reading analyst Graham Finnie.

Carrier vendors implement IMS around their own hardware and software:

Control of the IP Multimedia Subsystem could become an thory issue. Consumers want "open" systems while cellular and cable operators prefer a closed "walled garden" approach.

Verizon, Cisco, Lucent, Motorola, Nortel and Qualcomm have collaborated over the last year to create A-IMS (Advances to IMS), meant to provide a foundation for the roll-out of both SIP- and non-SIP-based services in future networks, according to the companies.

The Sprint/Cable wireless partnership may have lots of tricky issues to resolve.


Originally posted by samc from Daily Wireless, remediated by yatta on Aug 10, 2006 at 07:43 PM