Light Reading
Network operators are bracing themselves for a dramatic increase in unicast video traffic volumes with various investments

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
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
It's clear to me that the communications industry is divided into two types of people, and only one is living in the real world.
LRTV Interviews
The New Wave of IP + Optical Integration

11|21|14   |   04:29   |   (7) comments


At the Alcatel-Lucent Technology Symposium, Heavy Reading senior analyst Sterling Perrin talks about how SDN has reshaped the discussion around packet and optical integration.
LRTV Huawei Video Resource Center
Huawei Highlights at BBWF 2014

11|20|14   |   3:40   |   (1) comment


Broadband World Forum is one of the world's largest telecoms, media and technology events with over 7,800 senior executives from across the globe converging on Amsterdam every year to identify the Next Big Thing. BBWF is an exciting place to meet the entire industry under one roof and identify the latest in network innovation, service optimization and customer ...
LRTV Huawei Video Resource Center
How Will BCMS Stimulate Margin for Broadband Operators?

11|19|14   |   6:52   |   (0) comments


In BBWF 2014, Liu Shuqing emphasizes the value of FMC 2.0 based full service experience by throwing light on the BCMS solution. The underlying principle of this innovative technique is to create network robustness and driving network from connection oriented to ACE – BAND oriented infrastructure, in which applications, cloud, and user experiences will be an asset ...
LRTV Huawei Video Resource Center
SingleFAN3.0: Better Connected Experience

11|19|14   |   3:06   |   (1) comment


At the BBWF 2014, David Hu, the VP of Huawei Access Network Product Line, talked about the future of access networks – SingleFAN3.0: faster broadband, wider coverage, and smarter connection.
LRTV Interviews
Basil Alwan Interview: The Road to Cloud

11|19|14   |   09:09   |   (0) comments


Alcatel-Lucent's head of IP and Transport talks about the migration towards a web-like networking environment, the impact of the cloud, SDN and NFV, and the yet-to-be-announced FP4 chip.
LRTV Documentaries
FairPoint Makes a Fair Point About Analytics

11|19|14   |   1:56   |   (1) comment


The US-based communication service provider gets to grips with advanced analytics, tackling data and breaking down the silos within its own business.
LRTV Documentaries
Analytics Lets C Spire Get to Know Subs

11|19|14   |   3:01   |   (2) comments


It's all about the data for US operator C Spire as it uses analytics to personalize its customer service down to individual subscribers.
LRTV Interviews
Nuage Branches Out With SDN: CEO Interview

11|17|14   |   9:32   |   (0) comments


Sunil Khandekar, CEO of Alcatel-Lucent's SDN-focused unit Nuage Networks, talks about the opportunities and challenges of breaking out of the data center into wide-area networks.
Light Reedy
Telecom Analytics Grows Up

11|14|14   |   1:15   |   (4) comments


The big data analytics debate has moved on from a year ago, with some experts suggesting it's no longer a technology challenge.
LRTV Huawei Video Resource Center
Huawei Compass

11|14|14   |   3:17   |   (1) comment


At OpenStack Summit 2014, Shuo Yang, Huawei Principal Cloud Infrastructure Architect introduced Huawei Compass, the software tool for solving customers' problems on the journey of OpenStack Cloud.
LRTV Huawei Video Resource Center
Huawei's Cloud Strategy in European Region

11|14|14   |   2:56   |   (1) comment


At OpenStack Summit 2014, Dr. Gotz, CTO of Huawei IT in European Region introduced Huawei's cloud strategy in European region.
LRTV Huawei Video Resource Center
Huawei's Contribution on OpenStack

11|14|14   |   5:58   |   (0) comments


At OpenStack Summit 2014, Dennis Gu, Huawei Chief Architect of Cloud Computing introduced the relationship between OpenStack and cloud computing, and Huawei's contribution on OpenStack.
Upcoming Live Events
December 2, 2014, New York City
December 3, 2014, New York City
December 8-10, 2014, Reykjavik, Iceland
February 12, 2015, Atlanta, GA
April 14, 2015, New York City, NY
May 6, 2015, McCormick Convention Center, Chicago, IL
May 13-14, 2015, The Westin Peachtree, Atlanta, GA
June 9-10, 2015, Chicago, IL
Infographics
Irish Telecom outlines the rise of VoIP technology, including its adoption within businesses and their perception of its quality.
Hot Topics
Bell Labs Chief Slams 'Toy' Networks
Robert Clark, 11/19/2014
$38.3M: Ain't That a Kik in the SMS
Sarah Reedy, Senior Editor, 11/20/2014
Do You Have a 2020 Vision?
Dennis Mendyk, Vice President of Research, Heavy Reading, 11/21/2014
Google, AT&T, BT Unite on Network Data Models
Carol Wilson, Editor-at-large, 11/20/2014
The New Wave of IP + Optical Integration
Ray Le Maistre, Editor-in-chief, 11/21/2014
Like Us on Facebook
Twitter Feed