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The days of time-division multiplexing (TDM) managing the majority of our phone calls is coming to an end. The soon-to-be obsolete switches have too many issues, and offer limited opportunities to expand.

Conservation: TDM switches require constant bandwidth per channel, emit a whopping 1.7 billion kg of CO2 each year in the U.S., which is equivalent to 361,000 cars being driven for a year (1).

Operating expenses (OPEX): Power usage of TDM switches account for 2-3 percent of a network’s total OPEX (2).

Adapting to new user behavior: Phone service with voicemail doesn’t cut it anymore. Data networks and voice networks are enmeshed in one giant network that allows people to simultaneous download, chat, video conference and engage in a variety of online social activities.

Offering a far more efficient and next-gen solution is the IP Multimedia Subsystem (IMS) architectural framework, which unifies fixed and cellular switching. Alcatel-Lucent offers its own IMS End-to-End Solution, which offers the following benefits:

• Total communications – from simple voice-over-IP (VoIP) to enhanced multimedia communications.
• One IMS switch can replace multiple TDM switches. Reduce OPEX with fewer offices to manage.
• IMS equipment can scale from a few users to thousands.
• Low-energy scalable switches emit less heat, reducing expenses in energy consumption and cooling.

To learn how Alcatel’s new communications architecture reduced footprints by 75 percent and power use by 65 percent, make sure to read “Alcatel-Lucent IP Multimedia Subsystem: Eco-efficiency Makes Economic Sense.” Then learn how those savings can apply to your enterprise by checking out Alcatel-Lucent Data Network Solutions by business type.

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An unwanted mobile ad might as well be poison to a company’s brand.

It’s intrusive and it’s undesirable to both the sender and recipient. But with the fragmentation and technical complexities of purchasing SMS campaigns, brands often have no choice but to blast irrelevant SMS ads, or they simply ignore the mobile platform altogether. Those companies avoid mobile advertising because to users, the current state of SMS advertising is no different than spam.

The mobile advertising marketplace is broken. What’s needed is a platform for advertisers that aggregates the ad inventory from all the mobile carriers. Alcatel-Lucent delivers such a solution with Optism.

The big difference is Optism only delivers permission-based advertisements. That means consumers must opt in before they receive any marketing messages. Ads scheduled through Optism are personalized and conversational, thereby achieving astonishing response rates — as high as 40 percent.

Optism uses Alcatel-Lucent’s existing relations with all major carriers to act as a “one-stop shop” for purchasing mobile ad campaigns. With all carriers aggregated, purchasing ad space is easy, plus reporting is consistent no matter which carrier(s) carry your campaign.

Typically, Optism campaigns begin with a question. The end user responds via SMS, which in turn delivers a relevant response. The goal of this conversational dialogue is to turn what was initially an advertisement into wanted information.

For more, watch the interview with Thomas Labarthe, VP Mobile Advertising at Alcatel-Lucent, below, and check out the Optism blog and interactive brochure.

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You know what application environment works the best? The one where consumers can purchase any application and get a great experience across any carrier network. Sounds simple and obvious, but diametrically opposed goals of developers and service providers have traditionally kept this scenario from seamlessly happening. Shaking up the old way of thinking, Alcatel-Lucent has introduced application enablement, a new, revenue-generating app environment for everyone.

According to Alcatel-Lucent, the following norms appease both application content providers (ACPs) and carriers:

• 70/30 revenue share between ACPs and carriers.
• Simple, published rules with limited commercial assessment.
• ACPs get greater control over branding, pricing and promotion.
• ACPs will pay for network capabilities such as subscriber preferences, location information and Quality of Service (QoS)

Besides voice, there’s only one application that works across all carriers, and that’s SMS. When an application works across all carriers it can be enormously successful. When there’s competition, “walled gardens” slow down application deployment. Wouldn’t it be great if all data applications worked as seamlessly and ubiquitously as SMS? That’s the goal of the Alcatel-Lucent Open API Service, which gives ACPs access to network assets such as location and payment systems. The API forgoes the need to understand each carrier’s nuances (there are plenty) and the need to develop complex technical and business relationships.

Want to get involved? If you’re a developer, visit the Alcatel-Lucent Open API Service developer space. And if you’re a carrier, read “Helping Service Providers Increase Relevance and Revenue with Application Enablement” (PDF).

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We live in an Apple-dominated application development environment and it doesn’t need to be that way. Carriers can stay relevant by making application enablement more open and agile. Network operators have been offering app stores for a lot longer than Apple, but none of their “walled gardens” have been nearly as successful as Apple’s in such a short period of time.

Alcatel-Lucent’s strategic white paper “Driving the Application Explosion: Implications for network providers – challenges and recommendations” (PDF) offers up this great app store development advice:

Build a holistic financial case: Direct revenues must also be combined with indirect benefits such as application delivery, cost-cutting and brand loyalty.

Explore new business models: It recommends five different models (Operator Led, Aggregator, Mass Wholesale, Enterprise Customer and Trusted Partner), all of which are currently used by carriers. They vary in terms of control and alignment of relationships in the mobile ecosystem.

Industrialize processes: When you get a dramatic increase in application enablement, simply standardize processes and support systems (e.g., business process management, catalogs, automated testing, governance,and monitoring) to streamline costs.

Lessen fragmentation to achieve scale: The more standardization across network providers for application development, the greater opportunity for all to bring aboard more users.

The current “everybody’s got their own rules” carrier environment can no longer work. Developers don’t have the bandwidth to mine through all the complicated relationships. Success requires adopting new business models and embracing open development. Make sure you read the full article. There’s some fantastic advice.

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The hardest part of creating a mobile application is getting it onto a network and working with a myriad of devices. It’s one of the reasons so many like developing applications for Apple. Even if you don’t agree with its process, it’s clear, the capabilities of the device are powerful, and you’re only creating an app for one device.

Apple is not the only company to launch an “app store;” such launches have come from more than 20 other providers all over the world. Getting in on that action requires adhering to a variety of different processes and business models. For example, with Verizon developers just pay for bandwidth; the carrier has no stake or market interest in the applications. Conversely, SK Telecom first verifies that applications work and don’t hurt their system or devices, then takes a 30 percent share on all application sales and charges developers an annual development fee.

Confusing? That’s just the start of it. Alcatel-Lucent has some mini case studies in “App stores and developer programs everywhere: What is the right application enablement approach for you?” (PDF) that explain the processes of four different providers.

To entice participation across the developer to service provider environment, Alcatel-Lucent just launched new API bundles that have revenue generation built in. By giving access to network services, the APIs act like a ready-to-go app store for all developers and service providers. Find out more at Alcatel-Lucent’s Application Enablement Developer Platform and Program.

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Telephone networks were originally optimized for voice, not the ever-increasing demand for bandwidth-hogging video. But while networks have adapted and are addressing consumers needs, the revenue-cost structure for video primarily benefits application and content providers, not service providers, which squeeze out most of their revenue through cost-cutting measures. But as demand increases, service providers can’t just keep raising network capacity because overall maintenance and management costs rise with it.

A more dynamic solution is Alcatel-Lucent’s High Leverage Network. No need to give everyone the same level of service if they’re not using it; better to dynamically allocate bandwidth depending on the service (voice, video or data) and when/where it’s needed. The aim is to maintain quality of service for any given application while reducing cost.

With the High Leverage Network, bandwidth scaling doesn’t have to be viewed as a cost center but an opportunity to build out more business. Think of it this way: If customers are demanding more, then they’re spending more time on your system. And if they’re on your system, then they’re in your store. Improve that relationship by capturing real-time information such as presence, location and their ever-changing preferences. In turn use that information to upsell them on higher-value customized offerings.

That’s just a sampling. Remember, service providers aren’t relegated to just selling their pipe. There are so more opportunities. To learn more about those opportunities, read Teleconomics: Doing More with Less: The Key to Sustainable Business Models (PDF) for Telecommunications.

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It’s become abundantly clear to network providers that just providing connectivity is a difficult business model to maintain. Bandwidth demands are constantly increasing and shaving costs to maintain profitability is no longer a viable option. Providers must shift focus from simply delivering access to delivering services to the end user.

In a paper titled Next-Generation Managed Services: The Key to Business Transformation (PDF), authors from Alcatel-Lucent outline the best practices for evolving the cost/revenue structure of next-gen managed services. Some of these suggestions are daunting to communication-intensive businesses with no relevant experience. That’s why 90 percent are seeking outside help as they build mobility-enriched, IP-centric environments (source: Yankee Group).

Here’s a summary of some of the potential areas for growth and cost-cutting:

Build/operate/manage (BOM) for mobility — Requires the following services: design, planning, engineering, installation, integration, optimization test and turn-up, plus monitoring, fault management, field maintenance, repair, and performance and configuration management.

Managed infrastructure — Share risk of deployment with your trusted partner. No need to consume all the capital expenditures on day one. Use that freed-up cash to get more subscribers.

Managed end-to-end services operations — Your customer service-centric network now extends from your four walls all the way to the customer’s modem or set-top box. You need to manage service at each point across this extended network.

Full outsourcing — Also known as “virtual telco,” this step allows you to transfer assets to a managed services provider, letting you maintain greater accountability and make a smoother transition to your next-generation network.

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Recently Scott Michaels of Atimi Software Inc. accepted awards on behalf of the company from the Information and Communications Technology Council for its dedication to seeking, supporting and cultivating the talents of new Canadians. Finding Atimi-caliber team members whose skill sets include that right mix of technical experience, commitment to innovation and affable qualities sometimes requires going beyond a domestic search. The ICTC recognition is a great honor for a company that prides itself on promoting diversity, professionalism and a commitment to technological advancement in the realm of software development.

Atimi is proud to be a part of the ICTC initiative and its commitment to developing and integrating internationally educated professionals to the Canadian labor market.

When a community gets access to reliable communications it often becomes the tipping point for economic and social development. But in underdeveloped communities where a reliable electricity grid is not possible, the most common source of power is a diesel generator — which, as a non-renewable fossil fuel, is far from an ideal environmental choice. It’s also very expensive — as much as two-thirds of a wireless network’s total cost, as reported by some communities in Africa.

To combat this trend, Alcatel-Lucent has begun launching alternative energy projects for wireless networks. In 2008, a solar-powered wireless base station in Dagadji, Cote d’Ivoire, spurred, in one year, a threefold rise in the local population as people from surrounding areas resettled to take advantage of improved social and economic opportunities.

Alternative energy concerns are not just for developing nations. Studies show that while there are efforts to make wireless networks more efficient they’re losing pace to the rising cost of electricity consumption. To combat this losing battle, Alcatel-Lucent has launched an Alternative Energy Program with the stated goal of meeting worldwide demand for 100,000 alternative energy-powered base stations by 2012.

You can see much of Alcatel-Lucent’s efforts at its lab in Villarceaux, France, where a wireless base station is powered by solar panels and wind turbines. The lab is also dedicated to researching other alternative energy sources such as fuel cells and biofuels.

For more on Alcatel-Lucent’s efforts, read Eco-sustainable Wireless Networks: Ready for Prime Time (PDF) and please visit Alcatel-Lucent’s Caring for the Environment web site.

Never a day goes by where we don’t hear yet another story about the meteoric rise and consumption of information and content technologies. It appears we have an insatiable appetite for online video, VoIP, and other bandwidth-demanding content applications and services.

While we’re all amazed by the creativity and innovation from these application and content providers (ACPs), we rarely if ever hear how carrier networks are doing the same. It’s critical that network operators start thinking of new innovative ways to improve.

Linear improvement won’t be good enough. Application and consumer demands are going to catch up to the networks much faster than they realize. Carriers must innovate for hockey stick-like growth.

Alcatel-Lucent is already working on many different areas that increase efficiency and bandwidth, and create new revenue opportunities for carrier networks. Here’s just a sampling of some of those innovative ideas:

The Converged Backbone Transformation solution: An integrated approach to IP and optical transport for the network core. It provides closer coordination and visibility for all data layers, allowing improved management of traffic at the lowest possible layer. This new approach improves the economics and efficiency of transport and delivery of IP-based services.

New value-added managed services for the end user: A controlled secure application enablement environment that works across multiple carriers. A walled garden for applications may insulate carriers from competition, but it also insulates them from opportunities. With access to all application opportunities they’ll have access to even more revenue generating opportunities.

To learn more, read “The New Economics of Telecom Networks” (PDF) and “Next-Generation Managed Services: The Key to Business Transformation.”

The official Canucks iPhone application has become the #1 downloaded app in the free sports app category in the Canadian App Store. Released on February 9th, the app quickly hit 18,000 downloads within two weeks; that number now exceeds 33,000.

The first and only NHL team app to achieve such success allows fans to stay connected to the Vancouver Canucks team with exclusive news, features, message boards, videos, scores and statistics.

With over two hundred 5-star ratings, the app has attracted worldwide attention, with downloads from Europe, the Middle East and Asia.

Click here to download the official Canucks App to be a part of the action.

San Francisco Mayor Gavin Newsom announced an initiative four months ago called the Open Data Executive Directive (PDF) that saw him call on all San Francisco city organizations to make their non-confidential data available for free on the site DataSF.org. It’s resulted in a series of great applications available on DataSF’s showcase page.

Utilizing data sets and open application programming interfaces (APIs) have been a boon for web development, especially in the area of creating mashups. This type of innovative development — utilizing “application enablers” — is translating into the mobile space as well. APIs can offer access to an application’s powerful data set, such as mapping. In mobile, network operators can offer services to application developers such as location/presence, variable quality of service, network-based storage, integrated billing systems and trusted security.

To help ignite the mobile space between developers and providers, Alcatel-Lucent is offering the hosted Alcatel-Lucent Open API Service; using it, service providers can open their networks so that application developers, content owners, and advertisers can develop and deliver applications across their networks. Since it’s a hosted platform, Alcatel-Lucent acts as the managing body to make sure that everyone adheres to agreed-upon standards. The goal of this service is to speed up development, production and deployment to benefit all participants. Carriers get access to development talent. Developers get a standard that works across multiple carriers. And consumers across multiple carrier platforms get access to the same applications, faster.

To learn more, visit Alcatel-Lucent or check out its developer community.

For years, network operators happily called all the shots when it came to developers, effectively saying, You want to be on our network? Then jump through all these hoops to get approved, and be happy with whatever margins we pay you.

You can’t get away treating people like that for too long. Indeed, these days, developers are calling the shots, requiring more open development platforms and a 70-30 split with mobile providers. Carriers such as O2 (Litmus) and SK Telecom have both agreed to the new arrangements, while others are reluctantly cutting their revenue streams just to stay on par with the marketplace.

But carriers want innovation, and in order to get it they either have to look to the web for successful business models, social interaction and portable applications, or innovate their own. Wouldn’t it be great if the marketplace for mobile could truly be as flexible and open as that of the Internet? To avoid fragmentation, partnerships are key.

Already we’re seeing such initiatives like the Joint Innovation Labs program, which was founded by Verizon Wireless, Vodafone, China Mobile and Softbank. And then there’s the Rich Communication Suite (RCS), which enables mobile phones to have many of the standardized communications features as Internet users, such as instant messaging, video chat and buddy lists.

Get involved. Join Alcatel-Lucent in support of such efforts as mobile’s open web-friendly API, GSMA OneAPI, and RCS.

For more, read “New Rules of Engagement to Create an Attractive Mobile Application Marketplace (PDF).”