Light Reading

Carriers Prepare for Unicast Pressures

Ray Le Maistre
3/20/2013
50%
50%

LONDON – Unicast traffic might account for a small percentage of current video streams on telecom networks but the volume is set to increase dramatically, affecting IPTV-related network investment decisions during the next five years. That's the view of two operator executives who addressed industry analysts and the media in London Wednesday morning on the fringes of the TV Connect event at London's Olympia exhibition halls. Ibrahim Gedeon, the CTO at Canadian operator Telus Corp., and Lukas Fluri, head of Product IT & Devices at Swisscom AG, agreed that unicast video traffic (driven by the uptake of catch-up TV services) would grow from current low levels to somewhere in the region of about 30 percent of total video traffic within the next five years. And that, of course, puts greater pressure on network capacity, planning and management. The shift from broadcast to unicast video streams has already forced Swisscom to invest in greater core network capacity alongside ongoing investment in mobile broadband, fiber-to-the-home and DSL vectoring in its wireless and fixed access networks, "all very capex-intensive projects," noted Fluri. (See Swisscom Picks Huawei for Fiber Expansion, More Swiss Get FTTH and Euronews: Ericsson Readies Swisscom for LTE.) Fluri confirmed that, in the meantime, Swisscom could manage its on-network video traffic by boosting its transport capacity and would likely not need to introduce specialist systems, such as video caching and video optimization platforms, for a few years yet. Telus, meanwhile, has built its own content delivery network (CDN), created a single metro network for all services (fixed residential, business, wireless) and invested significantly in its backhaul networks, building 10Gbit/s pipes, using Alcatel-Lucent gear, to its DSL exchanges and fiber access OLTs (optical line terminals), a topology it calls its "routed edge." For Gedeon, "the issue is not the metro, it's the last mile." And the Telus man is keen to point out that its CDN (built using AlcaLu's Velocix platform) is an operational play, not intended to create a wholesale business opportunity. "Our driving force for building our own CDN was that we needed to bring down our own costs -- we were never looking to compete with the likes of EdgeCast Networks Inc.," which is still a key Telus partner for OTT traffic management. Gedeon claims he has seen a 30-40 percent cost benefit from running his own CDN and "got payback in a year" instead of the expected 18 months. As a result of his network investments, Gedeon is currently only needing to consider video optimization deployments for Telus's mobile broadband services. The two operators have already deployed hosted/cloud video capabilities to enable consistent service offerings across multiple screens (TV, computer/tablet, smartphone) and have a key strategic focus on their video strategies for the same reason -- both face significant competition in their domestic markets from cable operator rivals. (See Swisscom Takes Video to the Cloud.) — Ray Le Maistre, International Managing Editor, Light Reading

(1)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
Ray Le Maistre
50%
50%
Ray Le Maistre,
User Rank: Light Sabre
3/20/2013 | 7:35:30 PM
re: Carriers Prepare for Unicast Pressures
That's an impressive return on a CDN investment - unless, of course, Telus's costs were so high that an impressive cost cut was inevitable... Also interesting that an operator such as Swisscom is currently using network capacity as its #1 approach to managing video traffic growth and thinking of caching/optimization as future tools.
Educational Resources
sponsor supplied content
Educational Resources Archive
Flash Poll
From The Founder
Network architects aiming to upgrade their networks to support agile, open, virtualized services in the 21st century need to consider new criteria when choosing between technology suppliers.
Live Streaming Video
BTE 2015 Sponsor Keynote: HP
Dr. Prodip Sen, CTO, Network Functions Virtualization, HP
LRTV Custom TV
Red Hat Demo

7|2|15   |   10:53   |   (0) comments


Red Hat's Nicolas Lemieux demonstrates how Red Hat is driving innovation through open source communities.
LRTV Custom TV
Red Hat's Approach to OpenStack Adoption

7|2|15   |   5:17   |   (0) comments


Red Hat's Radhesh Balakrishnan outlines his company's open source strategy for both enterprises and telcos.
LRTV Custom TV
The New IP Goes Mobile With vEPC

7|2|15   |   1:12   |   (0) comments


Heavy Reading's Gabriel Brown discusses results of a Light Reading survey sponsored by Brocade that shows a clear commitment by mobile operators to move quickly to virtual EPC deployment.
LRTV Custom TV
Making Business Sense of SDN

7|2|15   |   1:42   |   (0) comments


Results of a Brocade-sponsored survey show that CSPs have a clear sense of SDN use cases but are wrestling with the business case. Sterling Perrin of Heavy Reading looks behind the numbers.
LRTV Custom TV
NFV Will Be Here Sooner Than You Think

7|2|15   |   2:22   |   (0) comments


Forget the usual ten-year cycle for new technologies – NFV will be a core part of CSP networks in five years, based on results of a Brocade-sponsored survey, says Heavy Reading's Caroline Chappell.
LRTV Custom TV
The New IP Gains Traction With CSPs

7|2|15   |   1:42   |   (0) comments


Roz Roseboro of Heavy Reading analyzes results of a Light Reading survey sponsored by Brocade showing that CSPs are getting serious about making the transition to the New IP era.
LRTV Custom TV
It's (Real) Time for Analytics

7|2|15   |   1:42   |   (0) comments


Heavy Reading's Jim Hodges looks at how CSPs say they plan to use analytics to deploy new services in real time as part of The New IP, based on results of a survey sponsored by Brocade.
LRTV Documentaries
IoT in Action

6|30|15   |   1:39   |   (8) comments


Two co-workers discuss the benefits of IoT technology.
LRTV Interviews
Ericsson Opens Up on OPNFV

6|30|15   |   14:16   |   (2) comments


Martin Bäckström, VP and head of industry area Datacom at Ericsson, talks to Light Reading founder and CEO Steve Saunders about the emergence of OPNFV, the importance of standards and Ericsson's OPNFV plans.
LRTV Custom TV
NetNumber Founder Discusses NFV/SDN Impact on SP Networks

6|26|15   |   4:15   |   (0) comments


NetNumber Founder Doug Ranalli examines why SPs need a new network infrastructure for service agility. While NFV and SDN are the tools, the old ways of thinking about signaling control are inhibitors. Doug provides his recommendations.
LRTV Custom TV
Orchestrating NFV vCPE Services Across Multivendor Networks

6|26|15   |   5:46   |   (0) comments


Nirav Modi provides an overview of vCPE, the fastest-growing NFV use case, showing how Cyan's Blue Planet orchestrates vCPE services across a multivendor infrastructure to rapidly deliver new managed services for business customers.
LRTV Custom TV
ZTE at LTE Summit Amsterdam 2015

6|26|15   |     |   (0) comments


As one of the leading global telecommunications providers, ZTE presented its cutting-edge technology at LTE World Summit 2015 in Amsterdam. On display at ZTE's booth were the latest R&D achievements in wireless, 5G development, HetNet, deep convergence of FDD and TDD, and RCS/IMD/iSDN/vCN.
Upcoming Live Events
September 16-17, 2015, The Westin Galleria Dallas, Dallas, TX
September 29-30, 2015, The Westin Grand Müchen, Munich, Germany
October 6, 2015, The Westin Peachtree Plaza, Atlanta, GA
October 6, 2015, Westin Peachtree Plaza, Atlanta, GA
October 14-15, 2015, New Orleans Ernest N. Morial Convention Center, New Orleans, LA
November 5, 2015, Hilton Santa Clara, Santa Clara, CA
All Upcoming Live Events
Infographics
Hot Topics
Who's Feeding Fiber to LinkNYC Hotspots?
Mari Silbey, Senior Editor, Cable/Video, 6/29/2015
What's a Gigabit Good For?
Carol Wilson, Editor-at-large, 7/1/2015
Colt to Jettison Ailing IT Business
Iain Morris, News Editor, 6/30/2015
Eurobites: Activist Investor Takes Stake in AlcaLu
Paul Rainford, Assistant Editor, Europe, 6/30/2015
Like Us on Facebook
Twitter Feed
Webinar Archive
BETWEEN THE CEOs - Executive Interviews
Casa Systems has been going from strength to strength over the last couple of years. In 2013, it became the first vendor to ship an integrated CCAP device -- the ...
Cedrik Neike, SVP of Global Service Provider, Service Delivery, at Cisco, talks to Light Reading founder and CEO Steve Saunders about solving service provider customer problems in a virtualized, DevOps world, including multivendor support and the future of network procurement.
Cats with Phones