IPTV Debunking the Myths of IPTV Integration

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Despite the deepen-ing economic slump, IPTV – Internet Pro-tocol Television – is on a roll globally. In the

most recent figures released at the IPTV World Forum late last month, Informa Telecoms & Media estimated that more than 20 million people in nearly 60 countries now subscribe to some type of Internet Protocol television service, up from about 13 million to 14 mil-lion subscribers a year earlier. About 110 service providers around the world now deliver IPTV, with providers in France, China, South Korea and the US leading the way.

Yet, just as clearly, IPTV still has not realized its full potential as a competi-tive video service to cable TV, satellite TV and terrestrial digital broadcast-ing. Still plagued by conflicting tech-nical formats, middleware integration problems, a relative lack of content and set-top box provisioning issues, among other difficulties, IPTV continues to ex-perience growing pains even as its popu-larity with consumers soars.

As service providers, content devel-opers and technology suppliers all work together to resolve these and other issues, it is a good time to dispel the myths sur-rounding Internet television technology that might deter the platform’s further development.

Myth #1: My IPTV middleware can just plug in to my existing BSS/OSS system.

Fact: Not at all. In fact, this is the big-gest myth about IPTV integration be-cause it’s central to so many of the other ones. Middleware focuses on control of the set-top box and the video stream; it has little relation to the world outside the set-top box. Although all of the ma-jor middleware providers offer an IPTV interface on their platform, they don’t necessarily integrate their solutions into a service provider’s business support sys-tem (BSS) or operations support system (OSS). So even if the IPTV middleware and service provider systems can be made to talk to each other, a great deal of the necessary functionality will not be available for use.

For instance, conventional IPTV middleware may not enable telcos to de-liver some of the sales tools that cable operators routinely offer today, such as an automatic free weekend of HBO programming, a pay-per-view wrestling event or an ESPN Game Plan package of sporting events. Or the IPTV mid-dleware might not be able to open all the services during the initial installa-tion (truck roll status) and then reset the menu a week later to the services ordered by the customer. Cable operators have found that offering such promotional features increases their sale of premium services. Also, IPTV middleware ven-dors never provide service features such

as adjusting the telco’s network qual-ity of service to guarantee high-quality digital video.

In all of these cases, what IPTV operators really need is a full-fledged service delivery platform (SDP), in ad-dition to the software provided by the middleware supplier.

Myth #2: My IPTV middleware can man-age all of my pay-per-view (PPV) and video-on-demand (VoD) services.

Fact: As Mickey and Minnie Mouse once told an interviewer who asked whether they lived together, maybe yes and maybe no. But don’t count on it hap-pening. While some early IPTV middle-ware providers did build in support for standard PPV and VoD service, most of the larger market latecomers have not. So don’t assume that software support for on-demand services is automatically available. For example, the real gotcha is: “They just canceled the boxing event, what do I do now?” Without automatic software support, there might be no way to let subscribers know in time or reverse the charges.

Even if the IPTV middleware can manage PPV and VoD services, that doesn’t mean your billing system can in-teract well with the provider’s solution. Seamless integration is needed for you

Debunking the Myths of IPTV Integration

By Pete Pifer ■ ETI Software Solutions

“They just canceled the boxing event. What do I do now?” IPTV middleware may not be able to let subscribers know about the

cancellation and reverse the charges.

IPTV is becoming a worldwide standard, but its growing pains aren’t over yet. Service providers must pay close attention to integrating this service with their billing and provisioning software.

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to take orders, offer “make goods” (free upgrades offered as compensation for er-rors), bill customers and provide service credits without a hitch or delay. A well-designed SDP can provide these missing features.

Myth #3: My IPTV middleware can manage and provision my subscrib-ers’ set-top boxes.

Fact: In the early days of this technol-ogy, some IPTV middleware providers did manage and provision set-top boxes. But now, IPTV middleware rightly fo-cuses on managing the subscriber’s ex-perience, not on billing and managing the back-office activities associated with that subscriber. So the set-top box usage data frequently doesn’t make it up the information ladder to the billing sys-

tem, making it tough to keep track of the boxes and bill the subscriber for the appropriate box rental fees.

Myth #4: My IPTV middleware can pro-vide integrated, flow-through provi-sioning of all services on the broad-band pipe.

Fact: Guess again. Most, if not all, IPTV middleware providers can provision only digital video services, not the operator’s full complement of video, data and voice offerings. Yet all three services travel over the same FTTH or DSL access network, competing for time and space. Even though it’s frequently overlooked, keep-ing all these services in sync is critical to the success of Internet Protocol televi-sion. Without such synchronization, the voice and data signals could create inter-ference for the video signals, disrupting

service quality. So, while IPTV middle-ware can offer much more than a simple interface or navigational guide for video services, only a well-designed SDP can manage all of the different multimedia streams that flow through the service provider’s big broadband pipe.

Myth #5: My IPTV middleware can provide all the features that I need to serve my customers and keep them happy.

Fact: Wouldn’t that be nice? Unfortu-nately, it’s not always the case. While some IPTV middleware providers of-fer such popular features as caller ID on TV, automated set-top box registra-tion and prepaid video service packages, most middleware providers do not. So service providers may need to bring in a third-party vendor like ETI to bridge

Features/Functionality Provided iPtvMiddleware

coMPrehensivesdP

Integrated Order Entry, Rating, Work Order, Billing for IPTV Services N/S 3

Supports Prepaid VOD/PPV/IPTV Services N/S 3

Coordinated Access Network (DSL, FTTH) and Softswitch Provisioning N/S 3

Automated SVOD Authentication and VOD Purchases Collection N/S 3

Promotional Offers for Premium Services N/S 3

User-Friendly Full/Subscriber/Address Management GUI N/S 3

User-Friendly IPTV Services/Package Assignment GUI N/S 3

Comprehensive ONT, RG and Set-Top Inventory Control/Assignment GUI N/S 3

CSR-Assisted/Order Ahead PPV Order GUI N/S 3

PPV Schedule Download and Event Code Assignment (Fully Automated) Partial 3

Subscription PPV Package Support (ESPN GamePlan, NASCAR, NCAR, etc.) Partial 3

PPV Purchases Collection and Event Pricing (Fully Automated) 3 3

PPV Purchases Credit Limit Management (Fully Automated) N/S 3

PPV Pricing Assignment for Each Event (Fully Automated) 3 3

Content Provider, Royalty & IPTV Management Reports N/S 3

API for Rapid Billing System Integration Partial 3

Integrated STB Registration/Auto-Discovery Functionality N/A 3

Provides On-Screen Caller ID Functionality Partial 3

Subscriber Self-Care Portal N/A 3

All Set-Top Box Features and Functionality 3 N/A

N/S = Typically Not Supported N/A = Not Applicable

Typical Middleware and SDP Functionality

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the gap between what they have and what they need.

Automated set-top box registration is a particularly important feature for IPTV operators. With this critical fea-ture in place, a field technician can take any set-top box to any home, plug in the box and register it in that customer’s name without having to contact the back office. This gives the field tech total free-dom to work independently of the back office and install equipment in subscrib-ers’ homes on a flexible schedule.

In addition, the field tech can handle any last-minute order changes, adding and switching set-top boxes while mak-ing sure that all equipment changes are properly monitored and billed to the subscriber. Thus, the IPTV operator can cut operating expenses by minimizing costly truck rolls.

Myth #6: My IPTV middleware can handle all of my PPV scheduling and pricing needs.

Fact: Better think twice about this

assumption as well. Although cable operators offer order-ahead or opera-tor-assisted PPV (OPPV) service for expensive wrestling and boxing events, IPTV middleware providers have either stopped supporting this function or pro-vide only limited support. So help from a third-party vendor can often come in handy here too.

Myth #7: My IPTV middleware can manage the reporting of royalty pay-ments to content providers.

Fact: If only that were true! Traditional IPTV middleware may not keep track of all the licensing deals that the service provider has struck with the various con-tent providers. Or the middleware may not be aware of all of the promotions that content providers are offering. Or, even if the middleware can keep tabs on content royalty payments, it may not be able to automate all the information.

Even traditional billing systems of-ten cannot track and manage these pay-ments, much less automate the informa-

tion. So service providers frequently end up managing and tracking these royalty payments themselves, manually putting together monthly reports that can run scores of pages in length. In cases like these, robust reporting features from third-party vendors like ETI can once again make the difference.

To summarize, the main role of IPTV middleware today is to control the operating features of the set-top box, such as remote control, DVR operation and electronic program guide, and to manage the delivery of video streams. As middleware focuses on these func-tions, the need for a robust service de-livery platform to manage and control activities outside the set-top box world becomes more and more important.

about the authorPete Pifer is CEO of ETI Software Solu-tions, a provider of BSS/OSS software solu-tions. You can reach him at 800-332-1078 or [email protected].