Mobile Instant Messaging. Jag Minhas, London, October 2006
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1 Mobile Instant Messaging Jag Minhas, London, October 2006
2 Because conversations matter Subjects Talk or text Reply back Reply People, Events, Situations etc. Pictures, Music, Video etc. Objects Spoken words Typed words Slide 2
3 Conversations are valued % of ARPU (O2 UK) 26% 4% 70% Voice Text Other Source: O2 Interim half-year results June Slide 3
4 Text trends UK Text volumes Source: MDA ( Slide 4
5 Pressures on text Messages per user per month Operator Interworking? Seek new accelerators As current network effect maxes As customers hit usage limits Price per message declining Shift from absolute price per message to effective rate (monthly subscription ) Time Slide 5
6 Traditional response Introduce more messaging services: Mobile Push to Video MMS Push to Talk Instant Messaging New user experiences SMS Platform MMS Platform PoC Platform Platform IM Platform New platforms Slide 6
7 Increasing complexity in the user experience Multiple technology choices Modal messaging behaviours Typically fragmented communities and separate contact lists Limited support for conversations Presence as prerequisite for sending messages Slide 7
8 Increasing complexity in the network To external MMSCs To Internet Platforms PTx Platforms MMS Platforms MTA MMS WAP Gateway MMSC MMSB IM Platforms PTx Server PTx Server IM SMS Platforms IM Presence To external IM providers Text Voic MAR SMSC SMSB Voic IP & SS7 Mobile Network MSC VSDs Slide 8
9 Increasing complexity in the business New messaging service: new pile of boxes new software licences new handset clients Investment case: separated product separated product management separated marketing Slide 9
10 Marketing modal messaging behaviours Picture Messaging Snap into action and have some fun Share the moment Slide 10
11 Consequence: customer behaviour Most customers, most of the time, will use what s: least hassle best-connected simplest out of the box/pocket already paid for For most customers, that s: Text Slide 11
12 Consequence: business case The business case for new messaging services under-perform. Management time and focus of resources on weak product. Lack of forecasted uptake of new service Customer defaults to using most effective service Weakened business case Harder to justify further investment in service enhancements and marketing Slide 12
13 Internet approach Internet Internet IM Concept Inbox in network Transient dialogues Metaphor Highly referential - Inbox accessible anywhere - Large & persistent storage Highly conversational - Threaded user interface - Immediate delivery Reach Universal reach - Service provider interworking Social circle reach - Highly personal Richness Feature Era Multimedia support - Richer messages - Container for conveyance Sometimes connected Enriched with multimedia - More engaging conversations - Experience sharing Enhanced with presence - Spontaneous conversations - Personalised expressions Always on Slide 13
14 Internet IM compared with mobile text Internet IM Mobile Text Transient dialogues Highly conversational - Threaded user interface - Immediate delivery Inbox on the phone - Highly personal & private Highly conversational - Short messages - immediate & offline delivery Social circle reach - Highly personal Universal reach - Service provider interworking Enriched with multimedia - More engaging conversations - Experience sharing Enhanced with presence Integrated with contacts list - Spontaneous conversations - Personalised expressions Always on. At your desk. Mostly on. Always with you. Slide 14
15 Issues to reconcile in crossing over IM to mobile Internet IM Mobile Text Transient dialogues Inbox on the phone Only friends with IM can converse Highly conversational - Threaded user interface - Highly personal & private Highly conversational - Short messages Everyone can converse with Text - Immediate delivery - immediate & offline delivery Social circle reach Universal reach Only - Highly personal - Service provider interworking subscribed and present friends can converse Enriched with multimedia - More engaging conversations - Experience sharing Contacts list contains more than just friends Enhanced with presence Integrated with contacts list - Spontaneous conversations - Personalised expressions Always on. At your desk. Mostly on. Always with you. Slide 15
16 Mobile IM Implementation strategy for maximum value Only friends with IM can converse Only subscribed and present friends can converse + Everyone can = converse with Text Contacts list + = contains more than just friends Ensure IM interworks fully and bothways with Text Maximum connectedness out of the box. Just like Text. Permit conversations without presence Add presence as a stimulator of conversations, not a prerequisite. Just like Text, only smarter. Slide 16
17 Net result A Mobile IM service that interworks fully and bothways with Text A Mobile IM service that permits conversations without presence A product with the utility and reach of text, but smarter: a more conversational and natural model than text a more natural way of adding richness to conversations Slide 17
18 Technical illustration Anton IP Messaging Platform Conversation with Benoit Me: Are you there yet? Benoit: Not yet, Im running a few mins late. Where r u? Bothway Interworking Me: I m l8 too. I will prob b another half hour! Benoit: OK I ll do some shopping Me: Here is my view! SMSC MMSC Text Inbox Are you there yet? MMS Inbox Here is my view! I m l8 too. I will prob b another half hour! Benoit: Scary! See you shortly Me: See you shortly Benoit: OK IP Messaging Phone Slide 18 Benoit SMS/MMS Phone
19 Simpler for the customer Simplified customer experience Conversational Non-modal Not complicated by presence Views of a single contacts list Fully-connected with everybody Customer Proposition Text just got better SMS + Text 2.0 Slide 19
20 Simpler for the operator Simplified network Converged IP Messaging Platform no more stovepipes New messaging services are just new use cases Interworking functions ease migration Operator Proposition lighter weight investment cases Product management & marketing aligned to more natural customer behaviours Clearer, more practical roadmap for wind-down of legacy platforms Slide 20
21 Migration towards simplified user modes on device Mobile Messaging Calls Mobile Messaging Content Voice Call - Circuit switched - Packet switched Text Only - SMS use case (classic model) - IM use case (dialogues) View contents of an existing remote inbox Consume - Listen to music - Watch TV/video Video Call - Circuit switched - Packet switched Text with added pictures - MMS use case Send messages as if from existing remote mailbox Create - Take pictures/video - Update blog Text with added voice - Push to Talk use case - Audio sharing use case (VoIP) Add/view attachments in messages Discover - Browse Internet - Browse channels/feeds Text with added video - Push to Video use case - IP Video use case Be notified of new messages when they arrive Text with added files - File sharing use case Slide 21
22 Rich call scenario more likely to start with text Traditional industry view of starting point was voice call Collaborate Share multi-media Conference Call Video Call Voice Call Collaborate & Play Voice/Video Call Share media Text Message Slide 22
23 Simplified platform migration due to interworking IP messaging handsets increasing IP Messaging Platform Interworking legacy handsets decreasing SMSC MMSC the winding down of the legacy platforms becomes possible. Slide 23
24 Presence; of diminishing value in fixed Internet The larger the list of friends, the more hiding behind away occurs. The probe: Everyone starts an IM conversation with hi or are you there Because it s more valuable to know your ability to chat than what your presence status is telling me. Expression & emotion seems to be more valuable than presence status: Individuality. Making a statement. Happy, sad, stressed etc. More likely to stimulate conversation. Slide 24
25 Mine My not-yet-teenage son s Growing importance of expression Slide 25
26 Presence; of lesser relevance in mobile I know you re always there, or else you re sleeping. I m already used to not knowing if your phone is switched off. Top five contacts account for the exchange of over half of all calls and messages on a mobile (Nokia research). Contacts list contains more than friends; e.g. pizza, taxi, short-codes etc. Slide 26
27 Presence; catastrophic if not implemented carefully Voice and data share the same signalling resources in mobile: Text messaging IM with presence Signals Message Data Signals Message Data Rapid battery drain caused by more frequent paging Voice calling gets blocked by cells overburdened with paging The danger threshold is a function of: 1. Number of IM phones 2. Number of presence-enabled friends 3. Frequency of presence updates Slide 27
28 Interworking with SMS, MMS and other operators Interworking with MMS is straightforward Interworking with SMS requires a change in network To handle conversion of SMS headed to an IM phone IM platform to IM platform interworking across operator boundaries Interworking with SMS and MMS where interconnect agreements don t exist Slide 28
29 Mobile IM; device perspective Current approaches: Device manufacturer or third party client Embedded, preinstalled or downloadable Typically Java, Symbian, Windows Mobile etc. Selected in the phone menu Login process, not instant on Strategic approach: Embedded and usefully integrated High-level surfacing of messaging interface Idle screen presentation No login process, always on Messaging experience based on device-resident GUI/app framework E.g Flash/SVG, ECMAscript, Ajax etc. Updatable over the air To keep features refreshed Slide 29
30 Conclusion: Message to operators & vendors Avoid fragmentation ensure mobile community is included Implement interworking with SMS and MMS Decouple presence. Prioritise expression Offer a reason to not just resort to text Simplify the user experience By enhancing the texting experience with the best of Internet IM Use Mobile IM as a basis for future Converged IP Messaging platform Support OMA CPM initiative Slide 30
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