EVOLUTION OF NETWORK AND SERVICE MANAGEMENT



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EVOLUTION OF NETWORK AND SERVICE MANAGEMENT Prof. Janusz Filipiak, CEO Comarch Dr Paweł Łopata, Head of OSS Technical Consulting Piotr Machnik, EVP Product Management & Strategy Michał Mędrala, OSS R&D Manager Łukasz Mendyk, OSS Product Manager, Coordinator of Comarch SDN/NFV program telecoms.comarch.com

Comarch: why are we here Founded in 1993 as a university spin-off 1999 Comarch goes public - IPO at the Warsaw Stock Exchange Software house selling licences as a service in several industry verticals 4500 employees in 40 countries 250 million Euro turnover with 80% of added value 2013 growth of 8% (600 new jobs created in 2013) 2 telecoms.comarch.com Copyright Comarch 2014

telecoms.comarch.com OSS STORY

THE EVOLUTION Every five, seven years new communication technology appears, new business models come to the telecommunications and the software industry SDH/PDH, ATM, FR Open IT Systems 2G Mobile, WWW SMS, GPRS NGN 3G Mobile Broadband, Convergence IMS, VoIP 4G, All IP Networks, Internet of Things Software Defined Networking (SDN), Network Function Virtualization (NFV) 5G 1993 2003 2013 2015+ During the last twenty years Comarch has developed products encompassing those changes enabling new business models Today, the challenge is an integration of the telecommunication world and IT world into a telecom cloud a pillar of the new digital ecosystems 4 telecoms.comarch.com Copyright Comarch 2014

OSS STORY: Comarch comes into being in the postcommunist Poland 1993-1999 Booming IT, Major Investments in Telecom Networks, Digital switches Deregulation of the Telecommunication Industry in Poland Building telecom software from scratch Fault Management System for IT Network Inventory Management System for Telcos Expertise in SDH/WDM National Backbone Network Modelling and Management SEZTEL The biggest distributed data base system in Poland 5 telecoms.comarch.com Copyright Comarch 2014

OSS STORY: International cooperation 1993-1999 Booming IT, Major Investments in Telecom Networks, Digital switches Deregulation of the Telecommunication Industry in Poland Comarch Laboratory: Building software based on telco platforms (like TeMIP) Software design & development for Lucent and DSC Cooperation with NEC, Alcatel, GPT Investment in the latest IT technology: C++, ORACLE (PL/SQL, forms, CASE), later also JAVA, CORBA; Cooperation with market leaders: IBM, HP, ICL, DEC and challengers (SUN, Oracle) 6 telecoms.comarch.com Copyright Comarch 2014

OSS STORY: Product development 2000-2003 Mobile Access, Mobile Networks, VoIP, Featurephones Comarch Products (Commercial off-the-shelf COTS) Network Assurance (FM, PM) System for Telcos Network Inventory Management System for Telcos Umbrella approach based on FCAPS, etom, TAM, OSS/J, MTOSI Comarch Laboratory Marconi, Alcatel, Ericsson, NOKIA equipment Partnering and development for NOKIA Very strong competition in OSS/BSS and new technologies (Mobile, IP) resulted in global opportunities and high demand for new software product like Comarch OSS At that time the decision to maintain the strategy of developing our own products was not so obvious but we decided to follow that way 7 telecoms.comarch.com Copyright Comarch 2014

OSS STORY: Comarch: the European challenger 2004-2008 Mobile Broadband, 3G, NGN, Convergence, Market saturation brings service orientation in Network Management Service Inventory Management System for Global Telcos Common, multinational services for global companies True Multi-vendor Network Management System Service Assurance (FM, SM, PM, SLAM) E2E Connectivity E2E Configuration Management Germany Austria Difficult questions for the future: Process-driven operations? Telco operations outsourcing? Offshoring R&D? 8 telecoms.comarch.com Copyright Comarch 2014

OSS STORY: Comarch becomes a partner of Tier 1 operators 2009-2013 Best of breed NG OSS Suite: NGN/All IP, 4G, FTTx, Convergent Transport, New Services M2M/Cloud, SOA/REST interfaces, Open APIs, Cloud Computing Automation and simplification - looking for process optimization and cost savings NG Service Assurance (FM, SM, PM, SQM, CEM) NG Service Fulfillment NG Network Planning PDI (Process Driven Inventory) OSS Business Services (Transformations, Managed Services, End 2 End responsibility) Big Transformation Projects, New Players and Challengers in OSS domain (Equipment Vendors and Global Services Vendors) Comarch becomes a strategic partner for Tier 1 operators 9 telecoms.comarch.com Copyright Comarch 2014

Today, innovation and flexibility place Comarch OSS as a challenger among Top OSS Providers (Gartner MQ, 2013) Comarch OSS products are highly configurable and characterized by ample and out-of the box functionality, yet allow easy customization according to customer needs and interoperability with assurance and fulfillment legacy systems. The three-layer application architecture (based on the Model-View-Controller software architecture pattern) enables flexible and easy system data model changes and configuration, without requiring new custom developments Comarch has a strong product road map and vision that address key CSP initiatives to grow revenue, improve operational efficiency and customer experience This graphic was published by Gartner, Inc. as part of a larger research document and should be evaluated in the context of the entire document. The Gartner document is available upon request from [insert client name or reprint URL]. Gartner does not endorse any vendor, product or service depicted in its research publications, and does not advise technology users to select only those vendors with the highest ratings. Gartner research publications consist of the opinions of Gartner's research organization and should not be construed as statements of fact. Gartner disclaims all warranties, expressed or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose 10 telecoms.comarch.com Copyright Comarch 2014

OSS STORY: The future 2013 + Digital Services, Cooperation with Over the Top players (OTTs) Software Defined Networking (SDN), Network Function Virtualization (NFV) 4G Rollout and Use Policy based Quality End 2 End Customer Experience Simplification and Automation Virtualization and openness End-to-End Inventory Planning and Optimization (RAN/Fixed Access/Transport/Core) Service Assurance and Quality Management Customer Experience Management (customer centric OSS) Catalogue Driven Fulfillment and Charging (click and buy) Runtime OSS driven by Customer Policy, supporting SDN/NFV Virtualization and Umbrella SON function Real time decision support and forecasting (big data in OSS) OSS migration from back-office systems towards OSS runtime systems, Enabling NFV Controlling and Orchestration for future telecom clouds 11 telecoms.comarch.com Copyright Comarch 2014

telecoms.comarch.com EVOLVE WITH COMARCH EXAMPLES OF TRANSFORMATION PROJECTS

Evolution from network planning tool to planning and inventory automation Convergence in Resource Inventory Management: full scope of radio, fixed access, transmission and core Complete network/service lifecycle management Optimization built into the solution (Processes, SON support) Closing the loop between Planning, Assurance, Fulfillment and Customer Experience (Network and Business Intelligence) Dynamic Capacity Management supported with network topology updates and optimization algorithms Unified Support for future Virtualized and Non-Virtualized Infrastructure 13 telecoms.comarch.com Copyright Comarch 2014

Standarization Simplification & Automation 40 applications 120 interfaces 7 applications less than 20 interfaces 110 processes 65 processes with 800 automatic steps 14 telecoms.comarch.com Copyright Comarch 2014

Evolution from legacy, reactive Fault Management to Runtime Service Monitoring and Service Assurance 15 telecoms.comarch.com Copyright Comarch 2014

Time in seconds Evolution from legacy, reactive Fault Management To Runtime Service Monitoring and Service Assurance OSS is a source of consistent information about network topology and services OSS monitoring runs in nearrealtime mode 1600 1400 1200 1000 800 600 400 200 0 1 0 2 4 0 6 Action1 Action2 Action3 1 st alarm received Root cause analysis and Customer Impact calculated. Customer notified or problem solved automatically 8 Action4 3 10 Action5 4 34 14 Action6 list of correlated alarms ready to use 24 50 55 Action7 754 Action8 994 ABOUT 26 1594 Action9 OLD reactive, back-offce NEW proactive, on-line 16 telecoms.comarch.com Copyright Comarch 2014

Evolution from Service Provisioning to Catalogue driven Fulfillment & Order to Cash automation Product Management Service Management 17 telecoms.comarch.com Copyright Comarch 2014

Implementation for T1 customer in europe (B2B Transformation) Solution had been verified and measured against legacy systems Major improvements when compared to legacy setup +85% for Business Internet order & delivery +90% for Payment Terminal order & delivery Significant savings on human work Largely improved automation in order capturing Huge automation improvements in order delivery Significant savings on time to order In legacy not possible to handle order with customer on phone (process taking around an hour) In new system handled with customer on phone with ease 18 telecoms.comarch.com Copyright Comarch 2014

THE NEXT STEP EVOLUTION FROM HARDWARE CONFINED TELECOMMUNICATIONS TO ELASTIC SOFTWARE BASED NETWORKS, CLOUD AND DIGITAL ECOSYSTEMS telecoms.comarch.com

Network Function Virtualization (NFV) and Orchestration of Network, Computing and Storage resources Virtual IT (computing, storage) - commodity Virtualized IT (IaaS, PaaS) VMWare, vcloud, Amazon EC2, OpenStack, Cloud Applications, Connected Apps and Devices - AppMarkets Content Delivery Networks Akamai, Maxcdn, Amazon CloudFront, Software Defined Networking (SDN) in routing control and mediation, SDN Control Function OpenFlow v 1.3 (supported by openflow.org) Network Function Virtualization (NFV) for better optimization of infrastructure and computing resources through reallocation of virtual function and dynamic allocation of computing resources within the entire network (supported by ETSI.org) Virtual(ized) Network Infrastructure - Open Daylight over OpenFlow and OpenStack (linux.org) Virtual(ized) Network Functions e.g. virtual S-GW/PDN-GW, virtualized CDN NFV Orchestration and Virtual Network Function Management New OSS 20 telecoms.comarch.com Copyright Comarch 2014

SND/NFV business impact: EXPECTATIONS Better optimization of the infrastructure and computing resources through reallocation of virtual network functions and dynamic allocation of computing resources in the network Standard, simplified hardware (switches), Lower CapEx Lower OSS OpEx (no vendor specific mediators, adapters, APIs) Easier configuration, operations and maintenance High flexibility software-based (API) not configuration-based Centralized computing reduced power consumption while switching nodes More efficient testing of new applications improved TTM for new services Lower risk of faults and theft of IPR Easier 4G network monetization Openning a new market to software suppliers and innovative services moving competition from hardware layer to software layer to boost innovation 21 telecoms.comarch.com Copyright Comarch 2014

COMARCH SDN/NFV PROGRAM telecoms.comarch.com

Comarch SDN/NFV Program (1) - SDN Using Comarch OSS capabilities in the SDN Controller Layer Comarch solutions can be used by the Controller Layer to get the E2E view of the network for smart decisions push -> pull, dynamic, run time access to BSS/OSS by SDN controller Network Inventory for an end-to-end view of the network with a complete topology Service Inventory to provide insight into the customer service view of the network, thus letting the controller make customer-centric decisions Service Fulfillment to translate customer orders for e.g. VPN/M2M-specific business services into orders for virtual networks Service Assurance with SQM and CEM to enable the SDN controller to pro-actively reshape the network and provide good quality of service, and even implement a SON self-healing function Network Planning to plan the physical infrastructure in accordance with the virtual network s needs in a cost-effective way 23 telecoms.comarch.com Copyright Comarch 2014

SDN Using runtime functions of BSS/OSS Getting E2E view of the network for smart decisions SDN architecture (patterned on Open Flow Foundation materials) 24 telecoms.comarch.com Copyright Comarch 2014

SDN and Runtime OSS on ETSI NFV reference architecture Runtime OSS SDN 25 telecoms.comarch.com Copyright Comarch 2014

Comarch SDN/NFV Program (2) NFV Using capabilities of Comarch OSS (PaaS) in NFV Management and Orchestration OSS traditional role: Orchestration of EMS in transparent way no matter if NF is exposed by virtual EMS or non-virtual (VNF or PNF) EMS New Real-time OSS part of NVF: Managing of new virtualized entities with configuration, monitoring, fulfillment and complete life cycle management - Insight into physical and logical nodes Consistent Monitoring of Performance Colocation of NFV with applications OSS to assist in dynamic decision thanks to end-to-end view of the network, and service and policy management 26 telecoms.comarch.com Copyright Comarch 2014

Comarch OSS in the SDN and NFV context New OSS SDN 27 telecoms.comarch.com Copyright Comarch 2014

References (SON/SDN) Comarch publications and reference architectures Software Defined Networking how BSS/OSS tools can help unleash innovation http://www.comarch.com/telecommunications/resources/white-papers/contact-form-software-defined-networking-tb/ Employing the Self-Organizing Network concept for LTE rollout http://www.comarch.com/telecommunications/resources/white-papers/contact-form-son-for-lte-wp/ Towards Self-Organizing Networks http://www.comarch.com/telecommunications/resources/white-papers/contact-form-son-wp/ NFV + SDN network in the cloud or cloud in the network? http://telcosphere.comarch.com/nfv-sdn-network-in-the-cloud-or-cloud-in-the-network/ Customer Experience-centric Network Planning & Optimization https://www.comarch.com/telecommunications/resources/white-papers/contact-form-ngnp-customer-experience/ Comarch Technology Review: Issue 2/2013 The Exciting world of Digital Services - a new accelerator for telecoms How to differenciate your M2M offering to ensure a competitive edge Do EU regulations support or hinder digital service adoption in Europe? Software Defined Network - how BSS/OSS tools can help unleash innovation http://www.comarch.com/telecommunications/resources/technology-review-magazine/technology-review-issue- 2/2013/ October 22-24, 2012 at the SDN and OpenFlow World Congress, Darmstadt-Germany. This white paper is available at the following link: http://portal.etsi.org/nfv/nfv_white_paper.pdf Network function Virtualization Use cases ETSI GS NFV 001 v 1.1.1, (2013.10) 28 telecoms.comarch.com Copyright Comarch 2014

Thank You 29 telecoms.comarch.com Copyright Comarch 2014