[Shenzhen, China, April 24, 2013]: Huawei, a leading global information and communications technology (ICT) solutions provider with more than 20 years of experience has officially launched an ultra-broadband-oriented business solution, BOOST at its Global Analyst Summit. The BOOST solution is intended to further the development of the digital society by helping telecommunications operators to achieve better business results and achieve more sustainable growth.
In the last five years, global fixed broadband (FBB) has been rapidly developing; the world has entered the ultra-broadband era. With the continued success of cloud computing and the increased popularity of HDTV and UHDTVs, 100M-to-the-home will soon become a basic amenity available to more and more homes.
The developments have also brought some challenges, and the FBB industry still requires review in order to operate successfully and achieve sustainable commercial development. The following four points are key considerations:
1. How do we present and deliver the ultra broadband offerings in a way that consumers can appreciate its full benefits?
2. How do we manage the complicated relationship between FBB and internet content providers?
3. Is FBB being substituted by mobile broadband (MBB) or can they work together?
4. How do we address the challenging business case of FTTH networks?
To address these challenges, Huawei has launched the Business Opportunity Oriented Solution and Tactics (BOOST), which includes four key elements: Broadband Salami, Engagement, Synergy, and On-demand.
Broadband Salami means filling the broadband network with appealing content and promoting the offering in a way that consumers can appreciate the value of ultra-broadband. Huawei suggests that operators define and promote ultra-broadband products based on consumer benefits such as number of concurrent HDTV channels, in addition to engineering numbers referring to the connecting speed. Huawei also suggests that connectivity speeds should match the mainstream bandwidth consumption levels of typical market segments and upgrade as the consumption levels grow, bringing new APRU growth opportunities. Simply promoting the 100M technology to consumers isn’t enough.
Engagement means proactive engagement with the broadband and content ecosystem to achieve business goals with a win-win approach.
Huawei believes that operators and Internet content providers must cooperate to offer consumers high-quality services that provide a compelling user experience. The model of partnership between Internet content providers and broadband operators will migrate from Over The Top (OTT) to Via The Telco (VTT). For example, Huawei advises that operators are not only a channel for cost-effective and quality-managed internet traffic distribution, but also a convenient sales channel for internet content providers.
Synergy means exploring the benefit of unified services including both FBB and MBB. The rapid penetration of smart devices has been driving the take-up of both MBB and FBB, as consumers tend to switch to FBB at home or work which is more cost-effective for bandwidth hungry applications. By offering unified service bundles, operators can reduce churn rate and optimize user experiences with consolidated bill and creative multi-screen innovations. This applies to both residential and enterprise customers. Synergy also exists in the underlying transport as FBB and MBB can share the same infrastructure.
On-demand means optimizing the RoI of ultra-broadband networks with the flexibility of a “fiber-to-the-most-economical-point” approach, provided the Telco can provide the bandwidth demanded by consumers. This means on-demand home-pass, on-demand home-wiring, and on-demand bandwidth. Huawei offers the HetAN (Heterogenous Access Network) solution that is compatible with copper, coaxial, and fiber. This changes ultra-broadband network construction from “FTTH only” to “Fiber On-demand”, thereby improving the ROI of ultra-broadband network construction.
Mr. Zha Jun, President of Huawei’s Fixed Network Business Unit, said, “we believe that Huawei’s BOOST business solution can effectively help global telecommunications operators convert their ultra-broadband challenges into opportunities and achieve business success. In addition, BOOST will comprehensively promote the development of ultra-broadband and further increase its social and economic value.”
By the end of 2012, Huawei’s fixed network products and solutions were being used by 45 of the top 50 global operators. According to a recent report by Infonetics Research, Huawei holds the largest share in global transport and access markets and the second largest share in the global IP market, and has maintained its leading position in the global development of FBB.
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