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IMS Executive Forum: Cost Savings a Big Benefit of FMC

Panelists See Carriers Transforming into Media Companies

      

Fixed-Mobile Convergence (FMC), considered by many to be the leading reason to deploy the IP Multimedia Subsystem (IMS) protocol, will not be the killer application that drives a new telecommunications platform. Instead, said panelists at FierceMarkets’ IMS Executive Summit in Washington, D.C., IMS will be driven by the cost savings it provides and the road map it gives carriers to transform themselves from access providers to media companies.


“It’s [FMC] unlikely to be the killer app that drives IMS…it will be cap ex and op ex savings,” said Jim Grams, CTO of Azaire Networks, speaking during a session entitled, “Reaching Fixed-Mobile Convergence the IMS Way.”

IMS, Grams said, will be the “overlay architecture” that gives “carriers … and applications developers another tool to create new services” that will include FMC.

FMC, he added, will let incumbent carriers “defend and extend” their businesses against outside non-carrier-based providers because they “can continue to capitalize on their assets” across different network layers.

The altruistic notion of any service, any time, over any network to any device, is, in fact, farther down the road than some initial FMC proponents would suggest, said Marc Price, CTO of Openet Telecom.

Pointing to the cable industry’s joint venture with Sprint Nextel, Price said that in the short term “a lot of what the gains are going to be about is being able to provide these bundles” of services across one provider’s business.

“We’re still in infancy” about standards,” Price said. “We’re not talking about a pure IMS environment; we’re talking about an IMS overlay on an existing legacy environment.”

That, in turn, will be facilitated by cost savings that both wireless and wireline carriers can realize during what Grams called a “relatively long convergence period … until you get to this all-IP nirvana network.”

While there is “a lot of foot dragging that goes on around new technologies,” Grams said that the process can and will go faster when the benefits of acquiring new revenues and saving on old processes is understood and implemented.

“Carriers aren’t dumb; they’re just relatively cautious,” Grams said, suggesting that if vendors show these same carriers the benefits of moving to IP and ultimately IMS, they will proceed quickly.

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