PDF of this tutorialIn view of the new services and resulting billing challenges, the overriding question is how should these new services be billed? Data and content-based services enabled by high-bandwidth packet networks will require new business models. Consequently, service providers will have to modify or replace existing, voice-centric billing infrastructures with new systems.
Devising a Framework for Next-Generation Billing Systems
To be viable, next-generation billing systems must be capable of pricing data and content events in addition to voice calls. They will have to be highly flexible, event-based, and truly convergent. In developing a billing solution equal to the task, a number of new parameters for calculating charges can be used:
- Number of packets
- Uploading or downloading of data
- Quality of service (QoS)
- Location
- Content
Communication service providers will certainly seek to bill subscribers directly for some services. However, they may also consider any of the following scenarios:
Billing third parties for access to subscribers: Banks, travel agents, stock-brokers and similar entities could be billed for secure access to mobile subscribers.
Billing subscribers directly for everything, including content: This scenario would generate a convergent bill that resembles a credit card statement, giving the service provider complete control of the relationship and maximizing the value of the customer relationship. This model would require a complex system to track the delivery of goods, ensure the QoS across the various forms of content that they deliver, and settle payments with suppliers.
Billing content providers for access: Subscribers might pay content providers directly and service providers might receive a commission. This type of approach would simplify logistics for the operator, but also would burden the subscriber with multiple bills.
Keys Issues in Selecting a 3G Billing System
When it comes to selecting a billing system, a number of key issues must be considered. The right billing system must do the following:
Be real-time. To perform balance management and authorization for 3G services, the billing system must return a price for an ordered good or service in a sub-second time frame.
Be based on open industry standards to allow for interoperability with other OSS solutions
Be modular to minimize total cost of ownership (TCO) for the communications service providers
Accommodate all current and future types of services (including voice, data, and content)
Support bundling of these services into cross-product packages to meet the needs of individual market segments
Provide a "customer-centric view" of the account versus a "service-centric view." This means that the customer-service representative (CSR) has a 360-degree view of the customer with all his or her services in order to give targeted and relevant service.
Minimize time to market for new products and services. State-of-the-art billing systems are not an obstacle anymore when it comes to launching new products—they are essential tools.
Enable the customer to perform his or her own customer care via the Web or any other device (WAP phone, handheld, etc.)
