How Does a Mobile Operator Manage Video Traffic and Make Money at It?Cisco Knowledge NetworkJim O’Leary - [email protected]
Adam Davies – [email protected]
Biju Kachappilly - [email protected]
Dave Clough - [email protected]
Date: June 28, 2016
• Create new mobile service offerings, profitably• Deliver Video from the Cloud• Improve the customer quality of experience by working together with content providers, not against them
• Make your Mobile Packet Core more dynamic
In This CKN Session You Will Learn How To:
• Reimagine the way we watch video
• Empower users so they can watch anytime
• Increase stickiness with customers
• Engage with customers in new ways
• Simplify & Automate Mobile Video Architecture
The Opportunity is to:
Mobile is the #1 Consumer Device & Video is Driving the Next Wave of Mobility.
Global Mobile Data Traffic Drivers
Source: Cisco VNI Global Mobile Data Traffic Forecast, 2015–2020
2015 2020
4.8 Billion
5.5 Billion
More Mobile Users
More Mobile Connections
Faster Mobile Speeds
More Mobile Video
7.9 Billion
11.6 Billion
2.0 Mbps 6.5 Mbps
55% of Traffic
75% of Traffic
Mobile Momentum Metrics
Global Mobile Video TrafficBy 2020, Video Will Drive 75% of Mobile Traffic, Up from 55% in 2015
North America
77% of traffic by 202049% CAGR
Latin America
75% of traffic by 202060% CAGR
Western Europe
76% of traffic by 202054% CAGR
Middle East & Africa
72% of traffic by 202087% CAGR
Central & Eastern Europe
75% of traffic by 202062% CAGR
Asia Pacific
75% of traffic by 202064% CAGR
Source: Cisco VNI Global Mobile Data Traffic Forecast, 2015–2020
• Traditional TV 1926
• Tune-In or miss it
• Mass Audience
• Real-Time Buzz
Video Evolution is AcceleratingLive ( Linear) Real LiveSemi-LiveOn Demand
• DVR / Streaming 1997/1999
• Watch When You Wanted
• Disparate Audience
• Anytime Buzz
• YouTube 2005 Snapchat 2013
• Tune-In w/in 24 hours or Miss Out
• Predominately Personal Audience
• Anytime Buzz
• Periscope + Facebook Live 2015/2016
• Tune-In / Watch on Own Terms
• Mass Audience, Yet Personal
• Real-Time + Anytime Buzz
Sources: KPCB Internet Trends June 2016, Netflix Corporate,
Key Elements to Transformation
Network
Key Elements to Transformation
Network
Devices
Key Elements to Transformation
Network
Devices
Video Platform
Mobile Video Transformation
• OTT continues to growGlobal OTT video revenue forecast to increase from $26B in 2015 to $51B in 2020
• Consumer habits are changingAverage OTT viewer uses 6 different connected devices, 5 different content sources –April 2016
• Mobile traffic will be video trafficBy 2020, video will represent 75% of global mobile data traffic
• OTT is now a premium channel for allOTT providers increasing investment in content: Netflix ($6B), Amazon ($4B), Twitter delivers NFL to build audience
Sponsored Data
Zero Rated Video
Higher Data Quota
Thank-youJim O’Leary- [email protected]
Cloud Video for MobileAdam Davies
Some numbers…
44% 8$51,000,000,000
5 $10,000,000,000
69.9%
2.3m
26.3Bn3x
Priorities for OTT Services
Secure
Reach
Accelerate
Engage
Keep it safe and protect what is valuable—your content and your consumer.
Launch new products and features,on all platforms, networks and devices.
Be fast, really fast—but without adding exponential
cost.
Attract customers to your servicesand keep them coming back.
Cisco Infinite Solutions Makes Video Easy for Service Providers
#1 Video and Data Center Security$100B+ in customer revenue protected300M+ active client devices secured
Trusted Partner
Security
Over 70 aaSCustomers
Infinite SolutionsVirtualized Video
Processing
Open, Validated NFV Infrastructure
Infinite Video: Over the Top (OTT) Video for Consumer Devices
Cisco Infinite Video
Cisco Cloud
Public Cloud Private Cloud
Maximize Your Reach and Audience
Deliver all TV services directly to the consumer
Huge range of consumer devices to capture widest possible audienceGlobal customer deployment
Premium and Optimized User Experience
User experience optimized for all devices drives customer engagementMultiple monetization models
including subscription and advertisingIntegrated analytics to understand and improve service performance
Release and Update Quickly
Provided as a service from the cloud for higher frequency updates and new
releasesUsage-based pricing minimizes risk and
lets you decide your commitmentIntegrated multi-device DRM ensures content and service protection from day
one
Infinite Video – Full Feature SetAppsRich, native, automated, 10 platforms
Fully Native AppsMonthly App UpdatesSSO / Adobe Pass / Akamai ISApple TVRoku Fire TVAndroid TVXbox 360, Xbox OneSony PS3, PS4Samsung Smart TVFavoritesFacebook ShareiPhone, iPadAndroid Phones & Tablets Spotlight CarouselTV, Movie, Magazine ChannelsRate ContentReal Time AnalyticsSearchEpisodic ContentSubtitles (multiple languages)EPG for Linear
ManagementVOD, linear, EPG, Encoding, DRM, multi CDNMulti Format Metadata Ingest Pause / Resume across devices1080p HDAdaptive Bit RateHTTP Live StreamingHTTP Smooth StreamingLive Always OnLive EventsLive PlaylistMulti CDN StreamingWidevine, FairplayPlayReady, VG-DRMMRSS VOD SyncEPG XML SyncGeo FilteringContent HierarchyCategory OrderingEditorial ControlMost RecentMost WatchedMusic StreamingContent Origination
MonetizationAuthentication, entitlements in app billing, ads
Access from multiple devicesIn App SubscriptionsDay PassPay per ViewNetwork FillBanner AdvertisingSingle Sign UpiTunes BillingAmazon BillingRoku BillingGoogle BillingPay on any platformMultiple SKUsCustom BillingCustomize Upgrade ScreenVariable Trial DurationReal time Commerce AnalyticsAuthenticated EntitlementsSP Billing InterfacesTiered SubscriptionsVideo Ad Mediation ServiceVAST, VMAP Advertising
Wide range of devices…
…includingmobile specific
Live as well asVoD support
Multiple billing options
Fully Native AppsMonthly App UpdatesSSO / Adobe Pass / Akamai ISApple TVRoku Fire TVAndroid TVXbox 360, Xbox OneSony PS3, PS4Samsung Smart TVFavoritesFacebook ShareiPhone, iPadAndroid Phones & Tablets Spotlight CarouselTV, Movie, Magazine ChannelsRate ContentReal Time AnalyticsSearchEpisodic ContentSubtitles (multiple languages)EPG for Linear
Multi Format Metadata Ingest Pause / Resume across devices1080p HDAdaptive Bit RateHTTP Live StreamingHTTP Smooth StreamingLive Always OnLive EventsLive PlaylistMulti CDN StreamingWidevine, FairplayPlayReady, VG-DRMMRSS VOD SyncEPG XML SyncGeo FilteringContent HierarchyCategory OrderingEditorial ControlMost RecentMost WatchedMusic StreamingContent Origination
Access from multiple devicesIn App SubscriptionsDay PassPay per ViewNetwork FillBanner AdvertisingSingle Sign UpiTunes BillingAmazon BillingRoku BillingGoogle BillingPay on any platformMultiple SKUsCustom BillingCustomize Upgrade ScreenVariable Trial DurationReal time Commerce AnalyticsAuthenticated EntitlementsSP Billing InterfacesTiered SubscriptionsVideo Ad Mediation ServiceVAST, VMAP Advertising
• Customer insight is critical to creating and maintaining engagement
• Analytics capability is provided as part of the core services, including:• Relevant and contextual content for personalisation
• Advertising trading• Identifying potential churn candidates• Video quality of service• Security and business threats• Content rights negotiation and promotion
Analytics—Transforming Insight to Impact
Implementation ExamplesIntroduce New Service
• Greenfield, no services in market
• Implement using template driven approach
• Monitor, analyse and iterate to new devices
• Add new features across all devices
Deliver in 2–4 weeks
ExtendExisting Service
• Identify devices missing from current portfolio
• Use device templates for fast delivery
• Iterate service to add new features
• Use SDK to enhance existing applications
Deliver in 2–4 weeks
Deliver Premium Service
• Implement with Cisco Infinite User Experience
• Deliver live and on-demand Premium TV services
• Branded Infinite UX• Provide personalisation features
Deliver in 8–12 weeks
How Cisco Infinite Video Can Benefit Mobile Operators
Let Cisco manage your technology while you manage your business Focus on content partnerships and
targeted offers to users
Launch mobile video service across multiple devices quickly - Securely
Sign-up to delivery in just weeks for an accelerated launch
Flexible pricing - consumption based pay as you grow
Understand video viewing behavior across devices, and between LTE and Wi-Fi
Interactive advertising capability and brand relationships
Thank-youAdam Davies [email protected]
Enhanced Video Experience with Deep Packet Inspection (DPI)/Application Detection Control(ADC)Biju Kachappilly -[email protected]
Mobile Operator Video Opportunity
Industry leader in custom hardware and virtualized platforms
Meets demands of operators high growth in data traffic
High network availability and throughput
Accelerates service delivery to new and existing markets
Cisco in the Evolved Packet Core
Cisco Cloud
Public Cloud Private Cloud
Cisco Infinite Video
Cisco Evolved Packet Core
Mobile OTT Video Services
Mobile Operator Video Opportunity
Cisco Cloud
Public Cloud Private Cloud
Cisco Infinite Video
Cisco Evolved Packet Core
Cisco ADC
Video Traffic is classified and can be redirected for Optimization
Mobile Operator can apply Policies to video, e.g., zero-rate
Enhancing Subscriber Experiences
Mobile OTT Video Services
Application Detection and Control (ADC)
Cisco Solution - ADC§ Co-development with Service Providers;; § 3-way collaboration: content providers (Netflix, Hulu, FB etc), Cisco & Operators
§ 1400+ applications/protocols supported
§ Frequent dynamic plugin releases, with In-service upgrade
How do operators differentiate themselves:Ø Packaged promotions to allow zero-rating or better user
experience of certain types of traffic such as music or video enabling B2B opportunities or subscriber growth
Ø Business Intelligence Monetization
• Video Sharing Sites• Video on Demand • TV Streaming
• SlingBox, Dish Anywhere, HBO-Go, HBO-Now
Video Streaming PackageOrb Slingbox Ppstream QqliveZattoo Sopcast Pplive TvantsUusee IPTv Funshion OctoshapeRmstream Veohtv Wmstream QuicktimeNetflix Iplayer Avi SoribadaUstream Svtplay Kuro YouTubeBaidumovie Monkey3 Youku HlsHBO-‐Go Slingtv Vessel FeidianTvuplayer Kugou Hulu
Free-Rate Video Traffic to attract more subscribers
Video Use cases
Throttle Traffic to SD Quality and save on network infrastructure
HD streaming is really wastage of bandwidth on Small Screen. SD viewing experience is as good
Analyze Traffic Composition of your network and launch plans which suite your customers
Thank-youBiju Kachappilly - [email protected]
Getting the Speed
Automation and Life Cycle ManagementDave Clough
• Implementation time can be considerable • Often times new features and capabilities can take 6 months to implement
• High cost to implement and try new ideas.
• Massive complexity of implementations limits marketing teams ability to easily try or modify offerings and capabilities.
Drivers for Automation From Network Complexity to Simplicity and Automation
Drivers for Automation From Network Complexity to Simplicity and Automation
Plan It Design It Where Can We Put It?
Procure It Install It Configure It
Secure It Is It Ready?
Manual
Normal Process
Drivers for Automation From Network Complexity to Simplicity and Automation
AutomatedSelf-ServiceOn-Demand
Plan It Design It Is It Ready?
Service Oriented
Self-Service Automated Provisioning Scalability
From Months to Minutes
• Today Implementation time can be considerable • Often times new features and capabilities can take 6 months to implement
• Allows faster changes to the infrastructure to take advantage of new offerings and customization of new offerings.
Drivers for Automation Rapid network wide change capability
One at a time traditional Many at a time with Cisco Automation
Thank-youDave Clough - [email protected]
üCreate new mobile service offerings profitablyüDeliver Video from the Cloudü Improve the customer quality of experience by working together with content providers, not against them
üMake your Mobile Packet Core more dynamic
In Summary You Now Know How To:
Thank-you and to Learn More: Cisco Websitecisco.com/go/mobile