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VoIP and Content Provisioning on Interconnect Billing
Publication: 19.09.2007 by Nicolas Kremer
Interconnect is usually associated with circuit switched voice but with services like SMS, MMS and VoIP growing in popularity, it seems that operators have been struggling to get to grips with the different billing requirements to secure these vital revenue streams. Crucially, operators are being bypassed by consumers as they access and pay for these services independently.
The VoIP Menace
VoIP services have been viewed by many in the industry with both scepticism and alarm. Residential customers especially, have been lured away from the traditional home phone and make voice calls using computers and laptops. Most devices that have speakers, a mic and a broadband internet connection are capable of making VoIP calls. VoIP connections are usually bought for a flat fee and are relatively easy to purchase. As the majority of these broadband connections are already in place, operators have not been able to secure any new revenues. The need for interconnect is paramount, albeit in a slightly modified framework to fit the elements within the IP cloud.
Enter Content
Content provisioning represents a lucrative opportunity for operators to offset the negative impact created by VoIP and re-establish themselves as the owners of the customer relationship. For this to be realised, operators should be able to offer a large number of content provisioning services and make sure that customers only deal with them to access this content. For example, if a customer downloads a movie the cost of the film should appear on the phone bill and not be billed by the content provider.
For an operator handling interconnect in-house, this means that new players and new charging mechanisms will need to be managed effectively and efficiently. Content providers use a range of billing criteria and operators have had to adapt to these new billing standards, such as paying by type of content.
Usually, the value of the transaction will be a combination of the type of content and the volume it represents. In addition to the interconnect agreements with all these content providers, operators will also have interconnect agreements with brand owners and advertisers who place advertisements on these sites – the advertisers themselves may have different paying methods. It is not surprising then that operators have struggled to manage interconnect in-house and have experienced revenue leakages as a result.
How MACH Can Help
Handling interconnect in-house is a very costly exercise as a large portion of infrastructure will have to be reviewed, expanded, phased out and replaced.
To secure these vital revenue streams, a number of operators have chosen to outsource interconnect. MACH Interconnect has been designed to serve as an operator’s back-office solution to fulfil the requirements for Accounts, Billing, Carrier services and even the Technical department.
MACH Interconnect can manage all of the maintenance, migration and operational issues for operators and has the expertise to manage the interconnect functionality for operators looking to regain control of the customer relationship. By considering an outsource strategy, operators can look to provide a wider service offering to deliver quality and value to subscribers and have control over the content and services travelling through its networks.
www.mach.com
