& cplSiteName &

Deutsche Telekom Works Toward One Network

Sarah Thomas
2/25/2014
50%
50%

BARCELONA -- Mobile World Congress -- Despite being at Mobile World Congress, Deutsche Telekom is keen to move the attention away from wireless and on to the idea of convergence.

Integrating its wireless and fiber networks is a big goal for the German operator. As such, Claudia Nemat, board member, Europe and technology, says Deutsche Telekom AG (NYSE: DT) will have eight million IP lines across its footprint in Europe by the end of the year. It has already converted 2.1 million lines in Germany, but aims to convert its entire footprint by 2018.

"Mobile-only business models aren't really sustainable in the long run," she told attendees at a DT press conference in Barcelona, adding that a holistic strategy means best customer experience can be created.

That strategy starts with a migration away from the PSTN to create the same platform for all the services Deutsche Telecom offers. That way, all updates become software-driven; product cycles are reduced, and costs should go down as well, Nemat said. Macedonia is the first country DT has moved to all-IP, noting that the operator saved €20 (US$27) per customer per year as a result. Slovenia is next on the list, then Hungary, Croatia, Montenegro, and finally Germany, Romania, and Greece, which she said are more complex markets.

While Nemat barely mentioned the big buzzword SDN, her comments mesh with what DT has said in the past about software-defined networking. Axel Clauberg, VP of aggregation, transport, IP, and fixed access networks, told Light Reading in October that the carrier would shift to a simplified, software-defined network as well as a next-generation OSS to compete against over-the-top players. (See Deutsche Telekom: A Software-Defined Operator.)

Simplifying will be a big task, however. The operator has more than 150 cities in Germany equipped with LTE at 150 Mbit/s and is plotting 5.5 million LTE terminals in the country by the end of the year. Almost all of its mobile sites are connected to fiber, and Neik Jan van Damme, a board member in Germany, said the focus is on doubling the coverage of VSDL in Germany.

"We have for 2014 the first 40 local networks that will be connected with vectoring," he said. "We'll have 3 million households ready for vectoring by the end of 2014."

To show it's serious about convergence, the DT execs showed off a new Huawei Technologies Co. Ltd. -built Fiber Access router that combines fixed-line and mobile for the fastest speeds in home. The device, which was trialed in Macedonia, will be available in the autumn.

Deutsche Telekom CEO Timotheus Hottges also reiterated the convergence talk of his board members in a keynote address on Tuesday. Consumers don't care about connectivity provided they have the best data access, he said, suggesting that means they should have just one contract and a global SIM service as well.

"Fixed-mobile convergence, HetNets, small cell networks -- we have to make these networks integrated and fast," he said. "Fast means LTE, LTE-Advanced, Cat 6, MIMO, vectoring, fiber-to-the-home, and beyond."

— Sarah Reedy, Senior Editor, Light Reading

(10)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
DHagar
50%
50%
DHagar,
User Rank: Light Sabre
2/27/2014 | 1:18:46 PM
Deutsche Telekom Works Toward One Network
@Sarah, no, they do not lead in everything, true.  They obviously have an advantage in carrying out their plans with more government control, but my point is that they have higher usage in Europe and there seems to be a more focused goal on advancing telecommunications as a high priority.  They also seem willing to build the infrastructure that supports that. 

As you point out from speakers, that can also make it difficult to navigate, especially for private companies trying to do business in Europe.

DHagar
Sarah Thomas
50%
50%
Sarah Thomas,
User Rank: Blogger
2/27/2014 | 1:11:16 PM
Re: Connectivity/data access
It would all be itemized still, of course, especially with online billing, but having one for both makes a lot more sense. You could also get promotional offers across platforms and upsell opportunities for the operator.
Sarah Thomas
50%
50%
Sarah Thomas,
User Rank: Blogger
2/27/2014 | 1:09:52 PM
Re: Deutsche Telecom Works Toward One Network
Well, I don't know if Europe is leading the way in everything. All the DT speakers repeatedly stressed what a mess regulation is over there for telecoms.
uwerichter
50%
50%
uwerichter,
User Rank: Light Beer
2/26/2014 | 1:02:26 PM
Slovenia vs Slovakia
The country next on the list to move to ALL-IP is most likely Slovakia, not Slovenia.
Phil_Britt
50%
50%
Phil_Britt,
User Rank: Light Sabre
2/26/2014 | 8:43:33 AM
Re: Connectivity/data access
While an integrated bill would be good rather than having a bunch of bills from a bunch of service providers -- as in a hospital stay -- it's also important to line item certain elements of the bill so that all parties know where costs are going up. It would be easier to recognize those costs that are going up faster than others, which could help all parties recognize where these increases need to be better controlled.
DHagar
50%
50%
DHagar,
User Rank: Light Sabre
2/25/2014 | 6:34:01 PM
Deutsche Telecom Works Toward One Network
Fascinating, Sarah.  Europe contines to lead the way.  It does seem that the integrated model would be more sustainable and offer multiple advantages, both now and for the future.  But the key seems to be the "simplicity" as you point out - which will be coordinating billing AND customer service; people will get turned off to a service that they have to manage separately.

I wonder if US carriers won't pick up on this model?

DHagar
Sarah Thomas
50%
50%
Sarah Thomas,
User Rank: Blogger
2/25/2014 | 4:47:49 PM
Re: Connectivity/data access
In that case, an integrated network might be better assuming that means your bill is integrated, as the DT CEO suggests. I use AT&T for U-Verse and mobile, and it drives me nuts that their CSRs don't have visibility into me as a whole customer, just the silos they operate in. Makes things inefficient and more expensive for the operators and annoying for the customers.
Mitch Wagner
50%
50%
Mitch Wagner,
User Rank: Lightning
2/25/2014 | 4:15:38 PM
Re: Connectivity/data access
Yes, of course. And consumers also care about customer service when they run into a problem. That comes up quite a bit when I talk to consumers.
Sarah Thomas
50%
50%
Sarah Thomas,
User Rank: Blogger
2/25/2014 | 2:42:51 PM
Re: Connectivity/data access
He means they don't care where it comes from provided it works well. I tend to agree -- fiber, WiFi, LTE -- don't matter as long as it's fast. But, I'd add you do start to care when one is more expensive or capped lower than the other.
Mitch Wagner
50%
50%
Mitch Wagner,
User Rank: Lightning
2/25/2014 | 2:38:41 PM
Connectivity/data access
"Consumers don't care about connectivity provided they have the best data access."

This confuses me. Aren't connectivity and data access the same thing?

Confusing me is not sporting. It's too easy.

From The Founder
Cisco's Conrad Clemson, recently promoted to head up the company's Service Provider Apps & Platforms developments, talks to Light Reading's Founder and CEO Steve Saunders about how he's bringing cloud video, mobile and virtualization together to empower network operators.
Flash Poll
Live Streaming Video
Charting the CSP's Future
Six different communications service providers join to debate their visions of the future CSP, following a landmark presentation from AT&T on its massive virtualization efforts and a look back on where the telecom industry has been and where it's going from two industry veterans.
LRTV Custom TV
What WTTX Can Deliver

2|23|17   |     |   (0) comments


Mohamed Madkour explains the benefits of WTTX while Dimitris Mavrakis discusses the challenges of delivering home broadband access.
LRTV Custom TV
Huawei on Mobile Broadband

2|23|17   |     |   (0) comments


Mohamed Madkour shares his vision on MBB for the next three years.
LRTV Custom TV
Analysys Mason Talks About the Future of Digital Operations

2|23|17   |     |   (0) comments


The future of digital operations has three key aspects: 1. Highly automated operations for both service and network; 2. Highly converged BSS/OSS for business and resources; 3. Highly merged management and control for real-time cloud native operations.
LRTV Interviews
Software Trends in the Telecom Sector

2|23|17   |   03:40   |   (0) comments


Heavy Reading senior analyst James Crawshaw talks with Telecoms.com Editorial Director Scott Bicheno about trends and developments in the telecoms software sector and what to expect at MWC 2017.
LRTV Custom TV
Huawei's Pre-MWC Analyst Briefing 2017 Highlights

2|22|17   |     |   (0) comments


Huawei shares its vision for this year's MWC.
LRTV Interviews
MWC17: 5G, Cloud RAN & More

2|21|17   |   04:35   |   (0) comments


Ovum Senior Analyst Julian Bright talks to Scott Bicheno from Telecoms.com about all things MWC, including Cloud RAN, Huawei's pitch to the industry and the road to 5G.
LRTV Interviews
MWC 2017's Key 2-Letter Terms

2|20|17   |   08:29   |   (1) comment


5G, AI, VR... these are just some of the two-letter terms that will dominate show-floor chat at MWC 2017 in Barcelona, according to these two blow-hards (a.k.a. Scott Bicheno of Telecoms.com and Light Reading's Ray Le Maistre). And then there's PB...
LRTV Interviews
Key Trends for Mobile Operators in Developing Markets

2|20|17   |   06:37   |   (0) comments


Ovum's Matthew Reed talks to Scott Bicheno from Telecoms.com about the challenges and opportunities facing mobile operators in the developing markets of Africa and the Middle East.
LRTV Documentaries
YouTube Takes on Facebook Live-Streaming

2|17|17   |     |   (0) comments


Popular 'YouTubers' will be the first to get the new service on their smartphones. You have been warned.
LRTV Custom TV
Open Source NFV/SDN Automation

2|17|17   |   05:54   |   (0) comments


AT&T ECOMP (Enhanced Control, Orchestration, Management and Policy) code is transitioning into the Linux Foundation for placement into open source. In this video, Carol Wilson provides an update on the maturation of open source ECOMP and meets with industry leaders from AT&T, Bell Canada, Orange, Linux Foundation and Amdocs to discuss what this means for the ...
LRTV Documentaries
Uber & NASA Collaborate on Flying Car Project

2|16|17   |     |   (0) comments


Is Uber for real? Well, it's hired NASA engineer Mark Moore to lead the project, and he wouldn't come cheap.
LRTV Documentaries
Zuckerberg Tries Out the Oculus Rift VR Glove

2|15|17   |     |   (0) comments


Facebook CEO shows off a new way to interact with the Oculus Rift virtual reality headset: an Oculus glove.
Upcoming Live Events
March 21-22, 2017, The Curtis Hotel, Denver, CO
March 22, 2017, The Curtis Hotel, Denver, CO
March 22, 2017, The Curtis Hotel, Denver, CO
May 15-17, 2017, Austin Convention Center, Austin, TX
May 15, 2017, Austin Convention Center - Austin, TX
June 6, 2017, The Joule Hotel, Dallas, TX
All Upcoming Live Events
Infographics
With the mobile ecosystem becoming increasingly vulnerable to security threats, AdaptiveMobile has laid out some of the key considerations for the wireless community.
Hot Topics
Uber's HR Nightmare: Company Investigates Sexual Harassment Claims
Sarah Thomas, Director, Women in Comms, 2/21/2017
Broadband Has a Problem on the Pole
Mari Silbey, Senior Editor, Cable/Video, 2/21/2017
Verizon to Start Fixed 5G Customer Trials in April
Dan Jones, Mobile Editor, 2/22/2017
Sprint to Go Gigabit Crazy at MWC!
Dan Jones, Mobile Editor, 2/22/2017
MANO Marriage: ECOMP, Open-O Converge as ONAP
Carol Wilson, Editor-at-large, 2/23/2017
Like Us on Facebook
Twitter Feed
BETWEEN THE CEOs - Executive Interviews
Light Reading founder and CEO Steve Saunders chats with Sportlogiq CEO Craig Buntin about sports data analysis.
Eyal Waldman, CEO of Mellanox Technologies, speaks to Steve Saunders, CEO of Light Reading, for an exclusive interview about the 100 GB cable challenge, cybersecurity and much more.
Animals with Phones
No One Likes This Click Here
Take a hint!
Live Digital Audio

Playing it safe can only get you so far. Sometimes the biggest bets have the biggest payouts, and that is true in your career as well. For this radio show, Caroline Chan, general manager of the 5G Infrastructure Division of the Network Platform Group at Intel, will share her own personal story of how she successfully took big bets to build a successful career, as well as offer advice on how you can do the same. We’ll cover everything from how to overcome fear and manage risk, how to be prepared for where technology is going in the future and how to structure your career in a way to ensure you keep progressing. Chan, a seasoned telecom veteran and effective risk taker herself, will also leave plenty of time to answer all your questions live on the air.