Interpretation: How will the game between operators and Ott be closed?

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Editor's note: Recently, the Ministry of Industry issued the "pilot new telecommunications Business Management measures" (for the draft, hereinafter referred to as "comments"), which pointed out that the new telecommunications business (including micro-credit, such as OTT business) to implement the record management; The game between operators and Ott has become the focus of

Wen/Chen

Since OTT manufacturers have touched the sensitive nerves of telecoms operators, since this dangerous and subtle relationship between them is difficult to define, since OTT manufacturers and telecommunications operators have admitted to each other is the relationship between fish and fire is not incompatible, then, this enemy after all to the end of the dispute.

How will the game between telecom operators and OTT vendors end? From a global perspective, many telecom operators are innovating the business model, "flow Management" approach, to try to work with OTT manufacturers to carry out new cooperation.

Mode one: Telecom operators to OTT manufacturers to achieve value-added, create new revenue sources.

Abroad, this approach has been adopted by a number of telecom operators, including Verizon. The specific way is: Telecom operators to cooperate with the OTT manufacturers to provide "speed" service, OTT manufacturers to pay the corresponding value-added services to telecom operators.

Some examples of such cooperation abroad show that some OTT vendors hope to ensure the user experience through this cooperation. This is because users who use mobile Internet services often have limited patience, and if an application cannot be opened within two seconds, or if the usage is not fluent, users will quickly leave. And if you can make the network more secure, some OTT vendors are willing to pay some fees to increase the priority of their users, even when the network is busy, but also to ensure that users access to their business speed.

Ericsson's technical experts believe that this way for telecommunications operators and OTT manufacturers, is a win-win cooperation. On the one hand, the operator can provide the content acceleration for a certain OTT business, manage the data flow efficiently, and on the other hand, the OTT business with speed-up can reach the users more conveniently and ensure the best user experience.

This part of the value-added service fees paid by OTT manufacturers to telecom operators can be "digested" in different ways. For example, OTT vendors can charge users with a "guaranteed business experience" fee, which is then split with telecoms operators. Alternatively, OTT vendors do not charge subscribers, pay directly to telecom operators, and then make up for this part of the cost through advertising or other revenue.

In addition to "content acceleration", telecom operators can provide other services, or provide more capacity to open-as long as OTT manufacturers believe that the network security and services provided by telecom operators can help them to retain or grow users, both sides have opportunities and space for cooperation.

Mode two: Telecom operators for OTT vendors to provide directional differential billing, in addition to achieve increase in income.

This kind of cooperation way has similar with the former way, all needs the telecommunication operator to OTT the manufacturer "to provide" the Guaranteed Network service. Under this premise, the telecommunication operator may set up the packing use fee for one or several OTT business.

Packaging billing is a form of differential billing, although significantly lower the operator data flow of the use of the unit price, but can improve user stickiness, reduce the net rate.

In addition to ensuring user stickiness, this differential billing for a OTT business can also solve two challenges for telecom operators: How to properly load data traffic that is exploding and how to manage these data flows.

This differential billing approach coincides with the "smart pipeline" strategy that Ericsson put forward years ago. Ericsson's technical experts believe that intelligent pipeline is the basis for telecom operators to carry out traffic management, operators first need to strengthen the network itself, and on this basis to effectively manage the data flow, and thus promote the flow of growth brought about by maximizing the benefits.

At present, many operators around the world have begun to deploy this "intelligent pipeline" billing control function. It is understood that this type of one or more OTT business packaging charges, unlimited use of the model is being adopted by more and more telecom operators, including South America, some operators in Hong Kong region.

Take Hong Kong as an example, Hong Kong telecom operators PCCW Mobile and Tencent recently launched a "micro-shun Chang Chat package", users only pay 8 yuan a month, the user can not limit the use of micro-letter business traffic.

Mode three: OTT vendors directly to the telecom operators to pay fees, and then through advertising and other income to digest costs.

Both of these methods belong to the telecom operators to "traffic management" as the leading innovative business model, however, if users do not accept the so-called value-added services, and do not accept the packaging and other means of differential billing, telecommunications operators and OTT manufacturers can also adapt to local conditions, through other market-based means to balance the interests between enterprises.

For example, OTT manufacturers can directly to the telecommunications operators to pay a certain amount of user fees or service charges, and then through advertising and other income to digest this part of the cost of expenditure.

This "transfer of costs to advertisers," the post-charging method has been widely used by internet companies. In the mobile internet age, this way can still be used by OTT vendors, but manufacturers need to be in the specific operation of the process of innovation, rather than copy.

In fact, telecom operators and OTT manufacturers of the 2048.html "> Benefit distribution methods and more than three kinds." With the continuous progress of technology, the continuous development of industry, the interests of both sides can also explore more ways of cooperation.

No matter what kind of cooperation, one thing is the same--in the era of explosive growth in mobile data traffic, more needs of the industrial chain upstream and downstream cooperation, open source. Just as a growing number of mainstream operators around the world are experimenting with "bandwidth management and content bundling" marketing, telecoms operators and OTT vendors should explore the possibilities of cooperation to release the power of broadband.

It is also necessary to emphasize that, whether telecommunication operators or OTT vendors, they are not charities, are based on economic interests, there is input and need to return; With the emergence of new products and business, two industries must face the adjustment of benefit distribution, even the restructuring of the rules.