All-IP Communication Services Come of Age

GSMA Intelligence (GSMAi) recently released a report called ‘Building the case for an IP-communications future’, highlighting that the move to global interconnected IP-communication services such as Voice over LTE (VoLTE), Video over LTE (ViLTE) and Rich Communication Services (RCS) is expected to accelerate following the widespread deployment of LTE networks as well as a number of high profile IP-communications network and handset launches at Mobile World Congress. Indeed, GSMAi data highlights that over 40 per cent of the world’s mobile network operators have launched an LTE network, meaning that global coverage now exceeds a quarter of the population. On top of this, GSMAi predicts that there will be 450 standalone VoLTE networks and 300 RCS networks by 2020, providing a solid foundation for delivering IP communications. Clearly a transformation is underway.

Enriched Messaging
Operators are already seeing the benefits of moving to IP comms and are in the process of migrating their circuit-switched voice and messaging services to an IP communication format. Many have launched RCS services that offer enriched voice, video and messaging services that go beyond previously available capabilities. RCS-enabled networks such as Vodafone’s Message+ service will deliver enhanced phonebook (including presence and service discovery), enhanced messaging (including chat, emoticons, location share and file sharing) and enriched calls (including content sharing pre as well as during calls and video sharing). Additionally, the growing rollout of LTE networks globally will also enable operators to finally deploy a commercially viable video service with ViLTE that will revolutionise the way customers communicate with each other.

Interconnection
Interoperability is also crucial for driving scale in IP communications. Interoperability can only be established when networks are interconnected. Operator interconnection currently lags behind standalone LTE launches with many operators being the sole LTE provider in some markets. However, there is significant interconnection activity planned in 2015/16 that will provide the greatest rewards from IP communications to consumers and operators alike. We expect more and more mobile operators to launch IP communication services in the near future and once scaled and interconnected successfully, they will give consumers a genuinely superior user experience to alternative mainstream voice, video and messaging services. This, in turn, will drive demand for core operator services and help support long-term operator revenues. The real value to the end user lies with mobile operators delivering a superior user experience of reach, richness and reliability based on interconnection.

Native Integration
The native integration of IP communications in the vast majority of smartphones is also incredibly important. The proportion of VoLTE-capable handsets in overall shipments at the end of 2014 was estimated at nine per cent, but it is expected to rise to between 65 and 85 per cent by 2020 depending on the degree to which VoLTE chipset costs fall. IP messaging and RCS devices made up an estimated six per cent of total smartphone shipments at the end of 2014, a figure that is expected to rise to approximately 50 per cent by 2020.

GSMA Network 2020 Programme
At the GSMA, our vision for IP communications is about enhancing the customer experience through transformative innovation. Getting operators’ networks ready is the first step, but our focus is also on ensuring that these individual operator networks are interconnected so that operators can continue offering global reach and scale to customers. We continue working with device manufacturers to natively integrate the full IP comms stack in all smartphones so that customers can access all services through a single button – the so called ‘green button’ – instead of downloading yet another app. This is the ‘Green Button Promise.’

To download a copy of ‘Building the Case for IP Communications’ please go to https://gsmaintelligence.com/research/2015/02/building-the-case-for-an-ip-communications-future/496/

To find out more about the GSMA’s Network 2020 programme, go to www.gsma.com/network2020.