Wednesday, November 24, 2010

WHY CONVERGENCE?

Above the physical layer, the Internet is diametrically opposite the PSTN in most
ways, so why is the push on for convergence? The answer lies in a complex brew
of economics, politics, culture, and technology. The term convergence holds
different meanings for many people, so let us begin this section with a definition.
Convergence Merging real-time applications such as voice, video, and instant
messaging together with data onto a single broadband infrastructure that is
based on IP.
The reasons for the trend toward convergence are many, not the least of
which is an urgent need of manufacturers to find innovative new products to help
them emerge from the technology slump that began in 2002. This is coupled with
the zeal of the international Internet community that is persistently pursuing
a vision of a unified network. Companies that see expanded opportunities for
innovation in such online applications as gaming, music, television, education,
and countless services that have scarcely been glimpsed support this vision.
In 2004 NTT DoCoMo introduced services in Tokyo that give us a preview
of the kinds of applications that converged services make possible. Dubbed
“Felicia,” the service marries a 3G handset, a smartcard, and GPS to enable users
to perform a variety of functions that are otherwise impractical or require separate
devices. The smartcard, coupled to the target by wireless, is loaded with identification
and financial information that enables users to make purchases from vending
machines, payments at restaurants, and to board trains and buses without
tickets. Auser standing at a bus stop wondering when the next bus will arrive can
link to the transit company to obtain the answer. The mobile handset provides its
location from its GPS and the application compares it to the bus’ location, also
obtained from GPS. Users can purchase tickets to events, locate restaurants and
shops in their locale, and link to RFID devices in the store to download more
information about the products. Devices such as these will change the way we
work and live, and the functions are impractical without a converged network.
The Business Case for Convergence
Convergence has a lot of appeal for the enterprise. If its promise is realized,
operational costs will drop and better utilization will be made of an expensive
resource. An all-IP network will allow service providers to create new valueadded
services. Much of the time-consuming provisioning process will become
unnecessary as the network evolves to respond dynamically to changes in demand.
Business models will change and new ones will emerge as inexpensive and ubiquitous
bandwidth becomes available. In some countries with extensive broadband
access, for example, the market for downloaded music exceeds that for CDs.
Video rentals will fade in favor of video-on-demand, and presence engines that
advertise personal preferences for reachability will drive personal communications.
Barriers to entry of local phone markets will disappear as consumers move
their telephone service to IP networks, and the phone will be a multimedia device
more or less permanently associated with an individual, possibly with the address
issued at birth. Let us look in more detail at these benefits.
Competitive Advantage
For some businesses, convergence is necessary to support business goals including
reduced cost of doing business, increased productivity, and improved customer
service. Aconverged network supports collaboration with customers, which results
in improved customer retention. Businesses can tie customers to their internal
processes through e-commerce. Multimedia contact centers can enable organizations
to create an on-line experience that approximates face-to-face service delivery,
enabling the customer to choose the preferred method of communication and shift
to another mode in the middle of a session.
At first the converged network will catch on slowly with the early adopters
gaining the most advantage, but gradually it will change the business model to
the point that customers will expect the service. Today in Japan’s Felicia service,
for example, a customer can surf the Web from her 3G phone, inspect a photo of a
product, order it, and pay for it, all from the same hand-held instrument.
Lower Cost of Ownership
The cost equation is difficult to factor into the decision to migrate to a converged
network. To realize cost reductions, cultural changes and dedicated management
effort are required. The following are some of the ways ownership costs can be
reduced:
_ With only one unified network infrastructure to design, manage, and
support, labor costs should be reduced. The same staff that support
servers, switches, routers, and LAN equipment can maintain the voice
switching system, and reduce or eliminate the need for outsourced
expertise.
_ Users can do many of their own moves, adds, and changes without
involving the IT staff.
_ A converged network enables enterprises to make more effective use of
access bandwidth, while simplifying administration and maintenance.
_ Host-based services can eliminate the need to invest in a dedicated PBX
or upgrade an obsolescent system, while still providing the productivity
enhancements of feature telephones.
_ Call processing can be centralized for multiple independent sites,
eliminating the need for separate key systems, resulting in lower branch
office costs.
_ The quantity of station wiring drops can be reduced by combining both
PCs and VoIP on the same Ethernet port.
_ IP PBXs are more scalable than TDM PBXs, which have a maximum size
and grow to that size by adding port cards and cabinets.
Support a Mobile and Geographically Independent Workforce
This advantage is important for telecommuters, sales people, and others who
spend a great deal of time away from the office and to people who work from
home at least part of the time. It is particularly difficult to provide conventional
voice communications that are integrated with the office telephone system to such
people. With VoIP the benefits of the PBX can be extended outside the bounds
of the office. The need for office space is reduced and the organization is able
to comply with government regulations that require employers to reduce traffic
congestion. Part-time people can work from home to supplement a fixed call
center workforce

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