Sunday, May 30, 2010

Bandwidth and Revenue: Something's Gotta Give

Fully 73 percent of industry executives surveyed by Telcordia expect to see either network-enforced hard limits, tiered services or a combination of both to manage data traffic.

The survey of industry professionals across more than 75 countries by Telcordia simply confirms that data traffic, and therefore network cost, is increasing faster than revenue to pay for supplying that bandwidth.

"CSPs need to insert themselves in the mobile broadband value chain and leverage billing and charging assets to manage network costs and to add innovative value-added offers and services to both subscribers and over-the-top content third parties," says Pat McCarthy, Telcordia VP.

"All-you-can-eat data plans are not a sustainable business model, and policy-based bandwidth management and real-time charging provide CSPs and their subscribers with the necessary flexibility to try new services while keeping costs in line," says McCarthy.

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