T Fundamentals of network media. Mobile Multimedia

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1 Network media 1 T Fundamentals of network media Mobile Multimedia Sakari Luukkainen Helsinki University of Technology Telecommunications Software and Multimedia Laboratory

2 Network media 2 Content Mobile multimedia business aspects WAP SMS / MMS Unified Messaging PoC Mobile music, games, DRM Mobile TV Mobile videophone

3 Network media 3 Mobile market in Finland During the 1990s Finland was the forerunner in mobile voice and SMS Saturation of mobile subscriptions was reached quite early on in Finland Currently only slow growth In new mobile multimedia services no forerunner position any more Percent of homes with mobile phones Year Source: Ficom 2003

4 Network media 4 Mobile market in Finland Competition has been price-based, revenue per subscriber has decreased significantly Scarce competition through differentiation Currently mobile data services (excluding SMS) create only few procents of operators revenues (disappointment in WAP, low GPRS usage etc.) Price competition will have to settle down in the long term Increasing importance of multimedia services as a new growth source Convergence of telecommunications, consumer electronics, computer and media industries New services targeted to latent user needs market uncertainty Usability and consumer behauviour issues important when increasing terminal functionality

5 Network media 5 Mobile business value chain Content provider Application provider Terminal manufacturer Operator Enduser

6 Network media 6 Mobile business Traditional mobile telecommunications operators operate based on walled garden business model, where applications available to endusers are chosen and often also developed by them Voice based walled garden model was extended into data services using WAP protocol The reason of failure were low level of relevant applications to endusers parallel with high pricing The content providers get in walled garden model less than 50% of revenue compared to i-mode s semi walled garden model where they get 91% Separation of service (MVNO) and network provision will drive service innovation in Europe Role of fixed Internet and WLAN as a substitute what mobile Internet means and what are mobile related enduser needs?

7 Network media 7 Mobile data network evolution SMS GPRS kbps EGPRS kbps WCDMA kbps HSDPA WLAN 2.4 GHz 11 Mbps WLAN 5 GHz 54 Mbps

8 Network media 8 Mobile content economics Capacity needed Enduser price Value for operator (/MB) SMS 160 bytes 0,14 / message 875 MMS 30 kb 0,39 / message 13 Voice 16 kb/s 0,12 / min 1 GPRS Internet access kb/s 1 / MB (ADSL 20 / month) 1 Music streaming 128 kb/s 0,5 / min 0,5 Video streaming 384 kb/s 1 / min 0,35 Video phone 64 kb/s 0,5 / min 1

9 Network media 9 Wireless Application Protocol WAP is de facto global standard for presentation and delivery of wireless information on mobile terminals Wap Model Client Gateway Oringin Server

10 Network media 10 WAP (cont.) WAP 2.0 extends WAP capabilities significantly over 1.x versions Based on XHTML Support of Internet standards and protocols Optimize usage for GPRS Provide rich application environment Backwords compatibility to WAP

11 Network media 11 WAP Applications Information services News Weather reports Financial market information Sports M-commerce, banking Location-based services e.g. digital maps Entertainment Unified Messaging

12 Network media 12 WAP Feasability Analysis Cons User interface remain tedious and difficult Limited browsing capabilities, only wap compatible content Connection failures Services quality depends on bearers Unpredictable performance Pros Support richer content compare to SMS Allow better visual quality overall Faster transaction than SMS WAP 2.0 improvements J2ME facilitates extended functionality

13 Network media 13 Message types - SMS Short message service currently the most popular message type up to 160 characters utilizes the SS7 signalling channel for delivery Binary SMS supports picture messages, ring tones, business cards etc Nokia Smart Messaging and EMS standards Applications,person-to-person messaging, voice mail notification, games, ringtones, pictures, voting, information services, mobile banking Session based Mobile Instant Messaging (MIM) is a possible future substitute

14 Message types MMS Network media 14 Latest messaging standard Supports rich multimedia content with presentation features: text, pictures, audio, video No limit in the message length Utilizes the data channel for transport allows large content size wide variety of content formats Uses WAP for transfer Currently does not have fulfilled expectations in traffic generation Digital camera+ as a substitute? Is there a enduser need for immediate sharing of experiences through sending pictures?

15 Network media 15 Unified Messaging Unified messaging means the integration of several different communications media in a way that users will be able to retrieve and send voice, fax, and messages from mobile phone or PC With unified messaging, subscribers reduce the number of places they must check for incoming voice, fax, and messages From a single interface they can check for all message types from an integrated voice, fax, box maintained by network operator

16 Network media 16 Unified Messaging Technologies exist that enhance the integration of voice mail and , such as text-to-speech software that converts into spoken words, for example, at the airport a user could call by mobile phone to mailbox and hear messages Other enabling technologies, such as speech recognition, are becoming more reliable and cost-effective, for example car driver find speech recognition a particularly convenient user interface SMS notification allows the end-user to be alerted of incoming messages SMS- interworking

17 Push to talk over Cellular - PoC Network media 17 Push to talk over Cellular (PoC) introduces a new real-time direct one-to-one and one-to-many half-duplex voice communication service in the cellular network, the call connection is almost instantaneous and the receiver doesn't have to answer the call Push to talk service users are typically engaged in some other activity than a telephone call and they listen to the group traffic during their activity Such a communication serves diverse needs from controlled team management to spontaneous sharing of experiences

18 Push to talk over Cellular - PoC Network media 18 Part of the service offering in IP Multimedia Subsystem (IMS) Based on half-duplex VoIP technology over the GPRS network Uses mobile radio resources more efficiently than circuitswitched services thus reserving the resources only on the duration of talking Enables also low operating and capital expenditure as well as it is able to support various advanced services, which benefit from all-digital content formats used in the Internet

19 Push to talk over Cellular - PoC Network media 19 It is possible that PoC to evolves from a dedicated to a standard service on any cellular network and in the best case it provides a way forward to make IP based multimedia services to interwork globally regardless of the radio interface standard When PoC enters the mass-market phase, the second wave of the technology is needed Service enhancements such as providing and sharing any MIME content during a PoC conference is a natural evolution path Provision of better QoS classes for the transmission and enabling full duplex mobile VoIP conversation will require additional development throughout the mobile network

20 Proprietary Systems Network media 20 Fastchat by Fastmobile Proprietary version of similar service (Client/Server model) Downloadable to Symbian products Integrates Push to Talk with messaging and presence, also multimedia support Service commercially available Not compatible with OMA PoC Skype Peer to Peer (Fixed) Internet Voice service. No central host is needed Not optimised for mobile Currently runs only on Windows Nothing prohibits making mobile friendly version Growing fast

21 Mobile music Network media 21 Mobile music Music playback over portable devices Music content delivered through mobile networks Playback from physical media Digital media playback FM radio reception Music download Ringtones download Audio/ video clips streaming Superdistribution Multimedia mobile terminal mobile music capabilities

22 Mobile music evolution roadmap Network media 22 Bearer technologies SMS, CSD GPRS (30-40kbps) EGPRS ( kbps) WLAN WCDMA (64-384kbps) HSDPA (2xWCDMA) Mobile music services Monophonic Ringtones Integrated FM Radio Receiver Polyphonic Ringtones Streaming audio Interactive FM Radio Mobile music capabilities Radio reception only Radio reception with synchronized GPRS content. - ringtone downloads - click to buy - interactive marketing Radio reception with capability to download selected tracks over wireless network min down to 1 min down to 30 sec Estimated download time for a 3MB audio file

23 Network media 23 Mobile Games The boom of the Internet based multiplayer gaming implies that the same phenomena could be applied also to the mobile environment Currently 80 to 90 percent of the mobile game market has been in Japan and South Korea, this implies that the same market penetration could be possible in both Europe and USA Classification of mobile games: SMS and browser based, Java games based OTA delivery, native OS games In late 2003 Nokia entered as a first mover into an entirely new market of mobile gaming devices with NGage platform Cartridge based mobile phone vs. separate device (GBA) usage of network connection key issue in the future

24 Network media 24 Digital rights management The openness of multimedia capable mobile terminals for content (e.g. ringtones, music and video tracks, programs, games) has brought the piracy problem also to mobile industry Digital Rights Management (DRM) is provisioning and storing content in such a manner that use and copying is authorized and controlled Identifying copy righted content from free content is one of the fundamental problems of DRM OMA s strategy is a separate delivery of rights and content - enabling diverse content delivery methods Alternatively rights could be embedded to content (e.g. Watermarks)

25 Network media 25 Mobile TV DVB-H standard Broadcaster MUX DVB-T/H Transmitter Broadcast Network Operator ISP Core Network Cellular radio network Mobile Network Operator

26 Network media 26 Mobile TV Popularity of traditional television brings a certain basic demand New opportunities for commercial TV For mobile operators: billing and charging, traffic generation Traditional TV programs: news, drama, music videos DVB-H specific content: fast-paced, tailor-made for mobile context At first, simulcasting the current channels should be enough creates some demand with limited costs

27 Network media 27 Mobile TV DVB-H is nice to have for both consumers and companies, high prices cannot be charged Aggressive handset pricing & service pricing needed: To bring mobile TV to large audiences To speed up the service diffusion To keep below the critical price threshold Suggested service prices vary from 5 to 12 per month Individual companies business models don t allow for the investments needed for DVB-H network, first mover status is currently avoided

28 Network media 28 Mobile videophone Videphone has been failure in the fixed network (H.261, 128 kbit/s-2 Mbit/s)) New video comression methods (H.263, MPEG4, < 64 kbit/s) for low bandwidth applications which can be applied to mobile environment Parallel full-fuplex audio and video comression requires a lot of processing power Delays and syncronization of video and audio is also a big technical challenge Currently commercially launched in NTT DoCoMo s WCDMA networks FOMA service concept TeliaSonera has piloted sign language applications in their 3G network As technical problems has been solved commercially potential service when integrated to video sharing and mailbox service

29 Network media 29 Conclusion Finnish mobile market has lost it s forerunner position and it s characterized currently by heavy price based competition and low profitability instead of service differentiation and new value creation Convergence of telecommunications, consumer electronics, computer and media industries provides possible but uncertain growth path for the mobile industry Contradiction between high transmission cost and low enduser value Role of fixed Internet and wireless WLAN as a substitute key question is what what are mobile related enduser needs, what are those services and what are their reasonable service pricing levels flat rate GPRS tariffs as well as MVNO s drive service innovation in the future Terminal and subscription bundling PoC, mobile VoIP and IM are only ways to increase effiency and decrease cost, they drive anyway the convergence of mobile Internet Mobile music download integrated with FM radio as well as videophone + sharing, mailbox possible future mobile multimedia killer applications

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