Capturing New Business Models and
Revenues with Cisco Policy Suite
Cisco Knowledge Network
Ben Bleichman, Product Manager, Cisco Policy Suite
Bob Smith, Product Manager, Cisco Policy Suite
May 26, 2015
Agenda
•
Market Trends and Today’s Need for Policy
•
New Business Opportunities
•
Cisco Policy with Dynamic Orchestration
•
Cisco Access Policy Solution
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Cisco Policy Suite: Delivering Dynamic Services
Network
SON
•  Load
Dynamic
Policy
User
•
•
•
•
•
Profile
Services
Segment
Device
Etc.
•  Existing services
•  OTT providers
•  New services
Services
Analytics
Delivery
optimization
•  Subscriber Id •  QoS
•  Access Type •  Time
•  Location
•  Etc.
Session
Gi LAN
Core
Network
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3
Global Mobile Data Traffic Drivers
By 2019:
Mobile
Momentum
Metrics
More Mobile
Users
More Mobile
Connections
Faster Mobile
Speeds
More Mobile
Video
2014
2019
4.3 Billion
5.2 Billion
2014
2019
7.4 Billion
11.5 Billion
2014
2019
1.7 Mbps
4.0 Mbps
2014
2019
55% of
Traffic
72% of
Traffic
Source: Cisco VNI Global Mobile Data Traffic Forecast, 2014–2019
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Global Mobile Device Growth by Type
By 2019, M2M Devices will grow to 28% of devices, up from 7%
12
9% CAGR 2014–2019
Other Portable Devices (0.2%,0.2%)
Tablets (1%,3%)
Laptops (3%,2%)
M2M (7%,28%)
Smartphones (29%,40%)
Non-Smartphones (61%,27%)
10
8
Billions of
Devices
6
4
2
0
2014
2015
2016
2017
2018
2019
* Figures (n) refer to 2014, 2019 device share
Source: Cisco VNI Global Mobile Data Traffic Forecast, 2014–2019
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How Operators Capitalize on Mobile Growth
Vertical Markets
•  Automotive
•  Internet of Everything
•  Healthcare
Individual Services
•  Turbo boost
•  Freemium
•  Location-specific
information
•  Parental control
Policy
Opportunities
New Business Models
•  Enterprises/MVNOs
•  VoLTE/VoWi-Fi
•  Sponsored data
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Cisco Policy ready for vertical take off
Orchestration
Automation, provisioning and
interworking of physical and virtual
resources
NFV
Network functions and software
running on any open standardsbased hardware
SDN
Separation of control and
data plane
Next-Gen Architecture
Modular Platform
Open environment
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7
Service Velocity Lets You Seize Your Opportunities
New Service Time-to-Market
•
The market’s most rapid
service innovation engine
•
Extensive library of use case
plug-ins for instant rollout
•
Self-serve Policy Builder: new
use cases without new code
•
Feature-based platform easily
programmable for complex
cases
3-6 Months
1-30
Days
Cisco Policy Suite
Legacy Policy
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Business
Opportunities
Congestion Management
MVNO
Connected Car
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9
Congestion-Aware Content Delivery
Challenge: Unpredictable network congestion deters premium and on-demand quality of service (QoS)
offers for high-bandwidth apps (such as gaming, video, enterprise apps)
Ensure that the subscriber experience meets
service expectations and entitlements
Truly monetize QoS (for example, turbo boost,
bandwidth on demand)
Monetize exclusive and premium content (for
example, NFL, Champions League, etc.)
Market
methods
Tiered plans or Services
Happy hour
Turbo Boosts
Default on / Speed Step
Downs
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Schedule-based RAN Congestion
Description:
§
Alleviate user plane network congestion
§
Provide all users a fair access to network
bandwidth
§
Potential evolution to SON/Probe-based
solution
§
Fair use policies
§  P2P BW Limits
§
§
Video Optimization
Heavy User Bandwidth Throttling
Cisco Policy
Suite
Benefits:
§
Improved user experience
§
Prevent revenue erosion from subscriber
churn
§
CAPEX savings from deferred capacity growth
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Service Providers are Connecting Cars
“Connected cars will create new business models and provide opportunities for
current businesses to greatly improve their service offerings.”
Forbes, February 20, 2015
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AT&T to Utilize Cisco Virtual Mobile Network Technology Within Its
Connected Car Services
"With this new software-driven mobile Internet solution incorporated in to our offerings, we can help to
provide auto makers with advanced connected car services that give consumers more real-time
communications services that positively impact the driving experience.”
Cameron Coursey, Vice President, Product Development and Operations, Internet of Things, AT&T
© 2014 Cisco and/or its affiliates. All rights reserved. Cisco Confidential
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MVNOs are Thriving Worldwide
MVNO connection forecast by subregion, 2013-19
•
•
•
In 2019, MVNOs will account for
3.7% of global mobile subscribers
43% CAGR from 2014–19 in
Oceania, Eastern & SouthEastern Asia
Japan predicted to be within top 5
countries with the highest ARPU
for MVNO in 2019
350,000
Africa
300,000
Middle East
250,000
200,000
Oceania, Eastern &
South-Eastern Asia
Central & Southern
Asia
Eastern Europe
43% CAGR
150,000
Western Europe
100,000
Latin America & the
Caribbean
North America
50,000
2013
2014
2015
2016
2017
2018
2019
Source: “MVNO Outlook: 2014–19” Ovum, Oct’14
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Case Study: K-Opticom Mineo Service
Operator Challenge
Build a system with flexibility for subscriber services
Be attentive to each user’s needs, providing and managing
customized plans
§  Ensure precise management of its many plans and services
§
§
Solution
§
Cisco Policy Suite with Cisco ASR 5000
Benefit
§
Can now offer a broad range of useful services to Mineo customers,
including rollover unused data, family plans
§
Network resources available on demand
§
Future plans: 1M users while being attentive to each user’s needs
“Cisco Policy Suite is providing
the environment which we can
serve the customer in the very
best way”
- Yoshihiro Matsumoto, General
Manager, Technology Planning and
Development Group, K-Opticom
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Cisco Policy with Dynamic
Orchestration
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Cisco Policy Suite NFV Evolution
Today
CPS 7.5
2010
Tomorrow
CPS 8.x
Virtualized QPS
NFV CPS
•  Virtualized Solution – no bare
metal deployments - VMware
•  Leverage standards-based
orchestration tools to
provision the VMs
•  VM Orchestration
Framework
•  Automated installation
•  KVM/Openstack
•  Elasticity based on system
KPIs
•  NFV/Dynamic Orchestration
•  Cisco Telco Cloud Manager
Integration
•  Auto-Install/Start/Monitor
•  Orchestration API
•  Elasticity TPS Scale Up/Down
© 2014 Cisco and/or its affiliates. All rights reserved. Cisco Confidential
Virtualized today with Dynamic Orchestration
17
Cisco Policy Suite NFV/Orchestration
OSS/BSS
NFV-O “Top Level” Orchestrator
NSO
•
3GPP NFV Compliant (ETSI NFV 002)
•
KVM/Openstack and VMware support
•
CTCM
(Tail-f)
Control
Center
CPS Cluster Manager
Policy
Director
Policy
Server
Session
Manager
Policy
Director
Policy
Server
Session
Manager
VNFM
(Cisco Telco
Cloud Manager)
•
CPS PCRF VNF
Network and Compute
OpenStack,
VMware
(VIM)
•
Default NFVM – Shipped with CPS product
•
Orchestrates QPS VMs – compute, memory, network and storage
•
Handles lifecycle events: tracks VM health and key KPIs
•
Elasticity – auto scales VMs based on hitting KPI thresholds
•
Consistent interface for the NFVO to instantiate the CPS and VPC
Cisco Policy Manager (PCRF Client)
•
Policy Builder Configuration GUI
•
REST based service configuration APIs from Policy Builder or external provisioning
system
•
SVN – used to publish VM configuration and software versions to available VM
instances
•
OA&M: KPI Mgmt, Logging, SNMP
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Bring up a Cisco Policy Instance
1.
The NFV-O receives a message from the OSS/BSS to
instantiate a CPS, e.g. small, medium, large
2.
NFV-O provisions a VNFM for CPS (uses OpenStack
to create the VM and attaches to the network)
3.
4.
5.
NFV-O calls an API on the CPS VNFM to instantiate
the CPS, e.g. “medium” as well as the external
networks that need to be reachable
VNFM uses OpenStack to create the CPS VMs and
attach to the various networks.vlans
NFV-O pushes the service configuration to the VNFM
for diameter peers, policy rules, etc.
6.
VNFM applies this configuration to the various VNFs
7.
CPS is ready for service
Os-Nfvo
NFV-O
OSS/BSS
Or-Vnfm
CPS VMs
CPS VMs
Ve-Vnfm
CTCM
(VNFM)
Vn-Nf
Nfvo-i
Nf-Vi
VIM
NFVI
Vi-Vnfm
(e.g. OpenStack)
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Virtual Policy – Why it helps new sectors..
Data
sovereignty
Ops
Geo
Separation of interests
Departments /
companies
Features
Global
architectures
Device
Functionality
Release
cadence
Payment
SELECT
Wi-FI?
Access selection
Device Entitlements
Right SLA
per customer
Bill for machines
SLA’s
Industry sectors
Different demands
Security
Redundancy
Right model
per customer
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Cisco Access Policy
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Access Network Selection Today
A Source of Poor User Experience…and a Large Opportunity

Device Driven
Limited QOE awareness
Wifi selection and login hassles
Limited / no SP Operator controls / inputs
…thus an opportunity for SP / MSO differentiation through QOE improvement
while also achieving managed cellular offload
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Typical Network Selection Problems
Signal Quality
Ping-Pong Effect
Signal quality alone does not
guarantee user experience
Mobile users constantly switching
between Wi-Fi and 3G/4G
Wi-Fi
3G/4G
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3GPP Solution Framework: ANDSF
Operator Controlled, Client-Server Access Selection
Mobile
Network
S14
IP Based Interface
SP Controlled Selection
Works over 3G, 4G, Wi-Fi
Which networks are preferred for the SP
Policies Per Flow
Policies Per Time / Location
Each IP flow can use a different
available network
Choose the network based on location,
time of day, day of week, date, etc.
In practice, a framework for an Always Best Connected User Experience
that increases overall data usage and offloads 3G networks, and enables new SP monetisation
plays
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APP
Network Aware Access Policy
•
Personalized access policy in context of SP
commercial data bundles.
•  Integratable to PCRF, SPR, Analytics/OSS, SON/
RAN ecosystem for full network awareness.
•  Build to scale for millions of sessions
•  Integration of device Analytics
Wifi / RAN Analytics
Cisco Wifi APs
Security RA/CA
Network
Improved User
Experience
Focus on full device ecosystem / options
Access selection based on link QoS
Policy on the Device (eg Wifi Roaming
service)
Support for iOS and Android
Open HTTP/XML Interface
OMA-DM based S14
Flexible, optional extensions for
value-added device client functions
(GCM, APNS, device based analytics)
Operator driven
policy rules
Interface
SON
PCRF/SPR/DBs
Bring SP controls and presence onto subscriber devices,
ensuring better QOE and new service offerings
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High Level Architecture
Mobile
Network
2G/3G/4G
Android / iOS
ANDSF
Client
Mobile
Network
Public
Wi-Fi
Corporate
Wi-Fi
Public Networks
are Unmanaged,
may require
VPN
CPS 7.5
Access
Selection
Operator TelcoCloud
CPS
Internet
CPS 7.5
Corporate
Networks are
Managed.
Credentials may
be sent from
ANDSF Server
GCM / APNS is
used to send push
notifications from
Server to Device
Cisco
ASA
Cisco ASA/
AnyConnect for
VPN termination
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Access Selection Policies Overview
•
Location Based Access
•
Subscriber Profiling
•
Time Based Access
•
Personalized seamless login
•
Power Geo-Fence
•
Location Triggered Policy Pull
•
Wi-Fi Link Quality
•
Server Triggered Policy Push
•
Access Prioritization
•
•
Smart Secure Wi-Fi
Automated subscribers onboarding
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North American MNO Adopts Cisco Policy Suite
Enabling New Applications and Monetization Models
Reseller /
MVNO
virtualized
platform
Connected
Car (IoE)
Enterprise
Private
Mobility
OTT App
Gateway
Consumer
PCRF
(500M subs/
1M TPS)
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Policy Creates New Business Opportunities
•
Policy enables service innovation and velocity
•
New policy architecture with virtualization will
create agility and scale
•
New business models and verticals enable
operators to grow revenues
www.cisco.com/go/mobilepolicy
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