WARTA MASTEL

Just a few years ago mobile operators were seeking to drive data traffic onto their networks by launching attractively priced flat-rate mobile data service offerings.

Now the landscape is very different. Mobile broadband connections and traffic have grown at an extraordinary rate and operators are seeking to control heavy data users on their network. To this end fair-usage policies with volume allocations are now common across the board, with few operators still offering true unlimited data without speed or application limitations.

But what does an operator do with a user after their fair-usage is exceeded? How operators answer this question is emerging as a key competitive criterion. Several methods can be used to control heavy mobile broadband users after fair-usage data volume is exceeded.

The first option, throttling, is used in a large number of mobile broadband plans. After a user exceeds his usage allowance, the peak-bit rate is reduced to a predetermined low peak speed (30-256 kbps, with 128 kbps the most common). This downgrade is performed independently of the actual load in the network. The advantages of this solution are price certainty for the user, and potential revenue upside if user decides to reset the data volume count with extra payment. It also limits total data use for the user and releases capacity for others, although this is not specifically directed at peak periods or actual congestion points. The solution is also generally less useful if network performance is already poor.

The most common solution used by mobile operators today is the second option, additional charging. Here a user incurs a fee for excess usage beyond an allotted amount (for example $0.1 per MB). This results in tying revenue to traffic, producing a revenue upside for the operator. The downside is from a user point of view the potential for extra charges creates a fear factor that reduces the attractiveness of the service and discourages usage. This option is, however, effective at controlling usage.

Third, throttling with policy control downgrades a user's peak-speed during peak hours based on historical information. Like throttling its advantage is that it offers price certainty to the end-user but deals more directly with peak-period demand. However, it is based on historical information, rather than real time, where mobile broadband traffic can be unpredictable. Different policy control implementations can also be made based on various criteria. This solution is still emerging and the number of operators using it is small.

Finally there is lower-user priority where a user's traffic is tagged with a lower priority/QoS rating after exceeding the allocated amount. Therefore, if the service is used when there is congestion the user may receive lower speeds or in extreme cases no service at all, as traffic from other users is given priority.

The advantage of lower priority is that it is implemented according to the network load in real time. If there is no congestion, prioritization has no effect, but otherwise spare capacity can be used and network utilization increases. This solution is preferential for the user as the user may not even experience a lower-quality service, especially if the operator's network is well provisioned.

Limited upsell potential

The downside is that the user continues to pay a flat rate and has unlimited usage potential. There is, therefore, limited opportunity to upsell to a higher-value plan, which is an especially large negative if pricing is volume-based. However, there may be potential for extra revenues if a user wants to upgrade their priority.

The attractiveness to the operator is based on the assumption that incremental traffic costs in an under-utilized network are negligible, which is generally true but may not be the case across the entire network. For this and other reasons lower-priority may not be the best solution for all.

All options clearly have trade-offs and degrees of complexity of deployment and management - a combination of the approaches may be advisable. A combination of lower priority and throttling would lower usage overall, save peak-period capacity, and provide potential revenue upside and service differentiation. These outcomes should be among the factors that determine which solutions are implemented. However, as always, the best way to control heavy mobile broadband users will depend on the market conditions and the competitive environment.

Label: Mengendalikan Penggunaan Broadband yang melebihi quota