« Local Loop Unbundling | Main | IP as a Natural Monopoly »
Intelligence at the Edge
By jpenston | October 12, 2006 |
|
This is clearly what James Enck and it seems a growing number of Telco executives believe is the way forwards. I’ll never do his article justice by summarising it, so read it for yourself here, if you haven’t already…
This theory of the network as a pure transport mechanism is clearly a threat to telco jobs as well as pride, but Telcos should not ignore the fact that they have a presence at the edge too in the CPE. Where this CPE is a USB modem, the potential for adding value is practically nil but when this is replaced by a router, the ISP gains the ability to offer intelligent services at the edge. If the ISP wants to do more, the CPE is the equipment that gives them the opportunity to do so.
The ISP can address the home wired/wireless networking issues better than any other organisation by remotely controlling the CPE and embedding diagnostic processes to help troubleshoot connectivity faults beyond the broadband line. This is a service that could offer significant additional value either as a managed or “virtual call-out” based service.
The ISP can also use the Home Gateway to deliver applications straight to the most suitable devices. A network of audio / visual / textual inputs through a maze of outputs in the home from a phone to a stereo or tv - maybe even a fridge? Or they could deliver Home Gateways that offer integrated terminals like the Westell HDA.
The CPE has a central role in providing security and parental control for enabled devices. The Internet offers a lot, but the threat increases proportionally to the functionality. Here is another area where the ISP is in prime position to deliver the service.
Someone has to take on the management of the consumer CPE. Application adoption is held back by lack of networking skills in the home - would you use VoIP if it was cheaper, but otherwise identical to the phone? Of course you would, but can you move your existing features, handsets and numbers onto a VoIP service? Unlikely…
Remotely managing the equipment allows the ISP to offer an overlay of services to what is delivered over the wider Internet, very much in keeping with the intelligence at the edge theory. I very much agree with the view that you cannot control consumers, but you can enable and support their activities to improve their experience. ISPs were once networking companies and maybe they need to return to their roots in order to secure their position in the future value chain.
Topics: Uncategorized |


