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Mobile & Wireless

Fixed & Mobile connects the nomadic worker

Tailors home away from home wireless solutions

      

For many company executives and contract workers, having a temporary residence in another country is a constant reality. However, these people often lack accessibility to mobile services that can stick with them whether they are at home or away.


After observing these phenomena, Fixed & Mobile came up with a set of solutions that lets service providers target the so-called ‘nomadic’ subscriber. To help its service provider customers stay ahead of emerging market demands (i.e, Asia Pacific, Central Europe and Africa) and facilitate mobile roaming traffic for SMS message over SS7 and IP, Fixed & Mobile opted to deploy Ulticom’s nSignia eSTP (Signaling Transfer Point). In the following interview, Eric Barbier, managing director at Fixed and Mobile sat down with Telecommunications Editor in Chief Sean Buckley to talk about the company’s model and the growth of mobile services.

TM: Fixed & Mobile is focused on providing what it calls access to the nomadic customer or one that lives a good deal of their time working in other countries. What drove you to develop this model and how does it work?

Barbier: This model came from a very simple observation of guest workers’ habits and how they lack appropriate solutions from mobile operators. For instance, in Europe, [we are] witnessing the popularity of payphones and calling cards among African and east European foreign workers revealed a desperate need for better tailored mobile solutions. Our model was started with the service ‘Transfer To’ for credit transfers between the Middle-East and Asia at first. For instance, a Filipino living and working in Saudi Arabia can reload the prepaid account of his brother in the Philippines directly via SMS. All the sender needs to do is enter the amount and the destination number he wishes to recharge and the receiver will instantly get the corresponding airtime credit directly on his prepaid mobile account.

TM: While IP is certainly the future, the reality is today’s service provider has a mixture of legacy and next-gen networking protocols and services they have to support. How can carriers make sense of this whole dual hybrid world?

Barbier: Carriers face a real challenge in choosing technologies that will let them transition smoothly from a legacy infrastructure, often inflexible but proven, to [a] next-gen infrastructure [in an] innovative and flexible process. A successful transition will probably mean a ground work of consolidation, convergence, especially in value-added services and innovation.

In South-East Asia for instance, mobile operators have less legacy and more newly built networks making it easier to handle this duality. Security remains a major concern in new IP-based networks. Embracing this hybrid world requires several phases for carriers and will roll out in many years rather than as focussed event.

Mobile operators are not ready to upgrade their infrastructure just for the technical challenge. Changing a working infrastructure can only be justified with new services introduced.

TM: A big focus for Fixed & Mobile is on emerging markets, a market that you point out has seen 50 percent of mobile subscriber growth in the world with over 285 million new subscribers in 2006. How are the market dynamics changing and what are is making it compelling to serve?

Barbier: Indeed, today emerging markets see their telecom industry contributing with an average of 4 percent to their country’s GDP and over 60 million people draw part of their income from airtime reselling. For instance, in India more than 70 percent of airtime distribution relies on retailers and on-the-street resellers. In Nigeria it is estimated that over 600,000 people are engaged in airtime reselling; they are the so-called “Umbrella People” because all they need is an umbrella and a mobile phone to start business right away on the streets. The development of cell phones allowed positive structural changes as well, especially in rural and remote areas. Considering this exceptional growth, mobile operators can simply not afford overlooking this market anymore; they need to address it with the right solutions.

TM: Is it safe to say that emerging markets are one of your biggest areas of growth?

Barbier: Emerging markets in Asia, central Europe and Africa are definitely our major focus. We basically follow migration corridors and remittance trends. Today, over 200 million migrants worldwide remit more than US$300 billion. A service for international mobile top-up such as Transfer To™ is precisely taking into account the economic and social changes emerging countries face. These markets traditionally send a high number of workers overseas who rely for a large part on mobile services to remain connected to their home community. With our solutions we focus on answering the three main reasons why foreigners use mobile communications: relative’s greetings, family matters and support (advice or financial).

TM: You offer three main services i.e. Transfer To, Call Me and SMS Voucher. What are the biggest areas of growth out of three?

Barbier: These three solutions are meant to be a consistent package for migrant subscribers whether they are foreign workers, expatriates or travellers. Transfer To is a solution for reloading prepaid accounts from abroad, Call Me enables a foreigner to have a second number from his home country and Short Messaging Service (SMS) Voucher is an international collect SMS service.

Transfer To is experiencing the highest growth as it enables transfers of credit from as low as one dollar instantly via SMS. It comes as a reliable solution for a foreigner to share his balance with his friends and family and to support them with a fast and convenient service. Transfer To is also the first step towards mobile remittance and money transfers directly to mobile wallets.

TM: SMS continues to be a big seller. Do you see a continued evolution and growth of SMS?

Barbier: The mobile messaging market is still growing rapidly and SMS volumes continue to exceed expectations. SMS remains the cheapest, quickest and easiest form of mobile to mobile communication. Even in mature markets, SMS traffic is steadily growing and didn’t experience any relevant setbacks. However, in those markets, usage of Mobile Instant Messaging (MIM) grows together with the increased number of smartphones and wireless Internet and might come as a threat to mainstream SMS.

While other applications emerge, mobile operators still draw the highest part of their data revenues from SMS, especially in emerging countries experiencing fast mobile growth. In the Philippines for instance, over 400 million SMS are sent per day. (See: Mobile Messaging at an innovation tipping point and Viva SMS!

TM: Let’s switch to your network. You run a global SS7 and SIGTRAN IP signaling network. How has that network evolved since you founded the company?

Barbier: With its signalling network Fixed & Mobile enables the transport of the signalling messages for roaming purposes, the delivery of short messages and the charging instructions. This network is continuously evolving with improvements on monitoring, performance and a complete set of features such as SS7 and SIGTRAN connectivity (STP & SCCP), roaming agreement management, IREG testing, SMS filtering, real-time reporting and Customized Applications for Mobile network Enhanced Logic (CAMEL) charging. Coverage is also expanding with over 550 networks in over 200 countries and territories.

TM: How do you work with other operators?

Barbier: Our main value is bringing to mobile operators an international network of other mobile operators and partners. We have direct connections to carriers ensuring that through one single contact they can have access to multiple markets and opportunities at an international level. For instance, with Transfer To service, we provide authentication, authorization, secure payment for airtime, multicurrency support, full audit trails and settlement with international banks thereby removing the credit risk for operators. Every time an operator joins our network he will immediately benefit from our existing coverage, connections and distribution channels.

TM: One of the vendor partners you work with is Ulticom. What role do they play in your network and do you see them expanding there?

Barbier: Fixed & Mobile deployed Ulticom nSignia eSTP to expand its network reach and facilitate the delivery of mobile roaming traffic and SMS messages worldwide over SS7 and IP infrastructures. nSignia is an innovative, highly reliable, and cost effective signaling solution for transporting SS7 traffic over more flexible IP networks.

By working closely with Ulticom, Fixed & Mobile has deployed nSignia as a signal transfer point (STP); its cooperation with Ulticom is expanding together with its network of mobile operators. Ulticom will keep enabling Fixed & Mobile to address opportunities quickly with a minimum investment in new infrastructure.

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