1. IP Multimedia Subsystem Impact on Billing Dipl.Ing. Tomislav LOVRIC mobilkom austria November 2005

2. page 2 DI T.Lovric mobilkom austria „ IMS Billing is a very complex Issue! “ Default Statement from all IMS Vendors

3. page 3 DI T.Lovric mobilkom austria What is IMS ? Engineers perspective

4. page 4 DI T.Lovric mobilkom austria What is IMS ? Marketing perspective Rich messaging IP Multimedia channel between terminals Content sharing Push to talk Chat Video sharing Messaging Presence 3G, ADSL, etc. VoIP Gaming

5. page 5 DI T.Lovric mobilkom austria Agenda Short Company overview Motivation for IMS mobilkom austria and IMS IMS billing issues & standards IMS billing at mobilkom austria

6. page 6 DI T.Lovric mobilkom austria Competition Market leader mobilkom austria Crowding out due to market saturation Intensive competition among five mobile service operators Combination of low call rates and high terminal subsidization Source: mobilkom austria, Market Research Status: 30. June 2005

7. page 7 DI T.Lovric mobilkom austria New technologies Best network quality (confirmed through testing by Vienna University of Technology) First full-coverage GPRS-network worldwide (2000) First network operator with WAP- Push technology worldwide (2001) First national UMTS-network in Europe (2002) First national network operator with PUSH-to-Talk technology (2004) First national EDGE-network (2005)

8. page 8 DI T.Lovric mobilkom austria UMTS – The 3rd Generation Data transfer rates: up to 384 kBit/s Population Coverage: 62% UMTS+EDGE: Full Coverage Multimedia-Network HSDPA: New 3G-Turbo (based on UMTS) allows data transfer rates up to 3.6MBit/s (End 2005) Status: 30. June 2005

9. page 9 DI T.Lovric mobilkom austria Innovations ÖBB MOBILE TICKET - World’s first actual m-commerce application (1999) A1 MOBILGUIDE - Europe’s first “Location Based Service” (2000) A1 GPRS DATAGUARD - Secure mobile access to company data (2001) A1 TELECOMMANDER - Control devices remotely using mobile and Internet (2002) Mobile payment of parking fees (2003) A1 SIGNATURE – Digital signature with the mobile phone (2004)

10. page 10 DI T.Lovric mobilkom austria Locations & Members mobilkom austria Mobiltel (Bulgaria) VIPnet (Croatia) Si.mobil (Slovenia) mobilkom liechtenstein mobilkom austria group (mag) has locations in 5 countries

11. page 11 DI T.Lovric mobilkom austria Operating Figures 3,625Employees -incl. Mobiltel 3,599 5,955 2004 1.HY 05 4.95 mCustomers -incl. Mobiltel 5.0 m 8.2 m

12. page 12 DI T.Lovric mobilkom austria 407.4 m EUR 765.4 m EUR 2004 2,125.5 m EUR Key Financial Indices excl. Mobiltel Revenues Adjusted EBITDA Operating income

13. page 13 DI T.Lovric mobilkom austria Agenda Short Company overview Motivation for IMS mobilkom austria and IMS IMS billing issues & standards IMS billing at mobilkom austria

14. page 14 DI T.Lovric mobilkom austria IMS is an evolution of GSM/UMTS The IP Multimedia Subsystem (IMS) was first introduced with 3GPP Release 5 and will be advanced by Release 6 (frozen) and 7 (work in progress). Source: 3GPP, 2004

15. page 15 DI T.Lovric mobilkom austria IMS is the vision of a NG mobile Internet During the first ten years... the Internet has been dominated by non real-time, person-to- machine... information services. The next major development will be realtime person-to-person communications, including voice and video. The IMS vision is to integrate mobile voice communications and Internet technologies, bringing the power and wealth of Internet services to mobile users. Source: UMTS Forum/Strategic Considerations for IMS, Feb 2003

16. page 16 DI T.Lovric mobilkom austria New Service Architecture Service 1Service 2Service 3 Network Functions Common Functions Applications Topics Application complexity Vertical Service Architecture Service 1 Service 2 Service 3 Horizontal Service Architecture Topics: Generic architecture Specific applications

17. page 17 DI T.Lovric mobilkom austria Communication Push-to-talk/Push-to-show VOIP Click-to-dial Instant/Multimedia Messaging Presence Multi-Party Chat See what I see (rich voice) Person-to-Person Multimedia Video conferencing Collaboration (Application sharing, Whiteboard) Entertainment Person-to- Person Gaming Interactive Shows and Events Multimedia Advertisement Audio and Video Streaming Combined basic services, simultaneously, dynamically controlled IMS allows all voice & data services to be integrated into a single proposition, allowing a variety of user experiences Enterprise and on the road Dynamic Info Services Interactive guidance Remote Facility Control IMS Services

18. page 18 DI T.Lovric mobilkom austria Agenda Short Company overview Motivation for IMS mobilkom austria and IMS IMS billing issues & standards IMS billing at mobilkom austria

19. page 19 DI T.Lovric mobilkom austria It‘s a long way... Research projects SIP, OSA, Web Services Next Generation Service Network concept Technology strategy & layered architecture blueprint IMS & other strategic platforms, e.g. NGIN Next Generation Service Network implementation plan Business framework System implementation 2002...200420052006... IMS preparation: research projects Next Generation Service Network concept Next Generation Service Network implementation

20. page 20 DI T.Lovric mobilkom austria Existing pre-IMS IP-based services Push-to-Talk, Video Conversion, WAP, Messaging (MMS, eMail) Pre-IMS infrastructure Built-in user & session management IPv4 Proprietary protocols IMS-like Internet services VoIP: Skype, SIPgate Peer-2-Peer file sharing: Kazaa, Napster Instant Messaging: MSN, AoL... in a complex environment... WAP Internet Telephony Messaging Streaming IMS

21. page 21 DI T.Lovric mobilkom austria... with many issues User management: Identities, Authentication Security Integration: IP versions, QoS, interworking Provisioning&Charging Service architecture for terminals & network Operations Depending on the service portfolio and system architecture, we&you should consider

22. page 22 DI T.Lovric mobilkom austria Agenda Short Company overview Motivation for IMS mobilkom austria and IMS IMS billing issues & standards IMS billing at mobilkom austria

23. page 23 DI T.Lovric mobilkom austria Charging Models I There are typically four main elements to a tariff: - Subscription - Events - Transferred Volume - Session Duration any or all of which may be used in combination ! QoS ??

24. page 24 DI T.Lovric mobilkom austria Synchronous communication (Voice, Videotelephony, Chat, Streaming) -> charged by duration or optional by setup charge or minimum increments per session Asynchronous communication (any kind of messaging) -> charged by event (volume classes) Active applications by known and authenticated user -> charged by event per download or by subscription Active applications by unknown user -> charged by duration or optional by setup charge or minimum increment per session Browsing & Content on-net (Content MMS, Content Streaming & Download) -> charged by event or in case of discovery/teaser by flat rate Browsing & Content off-net (the user content activity stays out of the control of the network) -> charged by duration or optional setup charge or minimum increments per session Peer-to-peer Services -> charged by duration or volume, thus application billing not applicable Charging Models II

25. page 25 DI T.Lovric mobilkom austria P-CSCF I-CSCFS-CSCF AS/ MRFC Servers HSS PDF/CRF BGCF MGCF MGW GGSN IMS : Billing sources G-CDR’s Bearer Volume PDP Session Volume CBB Info IMS Categorized IMS Session Info Application Id P2P Services Info.. IMS Application &Media Info Application_Id‘ Duration Volume..

26. page 26 DI T.Lovric mobilkom austria Standards: Release 5

27. page 27 DI T.Lovric mobilkom austria Standards: Release 6

28. page 28 DI T.Lovric mobilkom austria IMS architecture – Overview

29. page 29 DI T.Lovric mobilkom austria Charging Interfaces to IMS network Charging Collection Function (CCF) ISC Ro SCF ECF BCFCF Rating Function Re Rc Rb BGCF Charging Collection Function [ CCF ] Billing System Billing System Rf SGSN GGSN Ga Online Charging System (OCS) Online Charging System (OCS) Ro CAP Bp MGCFI-CSCF P-CSCF S-CSCFAS MRFC Charging Gateway Function [ CGF ] Bi

30. page 30 DI T.Lovric mobilkom austria Problem: Billing for IMS Services Several charging layers in parallel: Several charging sources: IMS Session Bearer Content GGSNS-CSCFAS 1AS 2

31. page 31 DI T.Lovric mobilkom austria The bearer should be free-of-charge (apart form peer-to-peer services) No billing Info from the S-CSCF in case of application billing (Vendors !) Potential solution: How to charge for IMS Services ? Correlation ? In real-time ?? Only one IMS charging source !

32. page 32 DI T.Lovric mobilkom austria Impacts on Billing & Provisioning New User-Identities : User-ID as a charging key => mka is ready ! Rating against A- and B-Numbers for Data-Services Peer-to-peer services : how to find out what users are doing ? Roaming : H-GGSN vs. V-GGSN solution QoS AoC /Advice of charge

33. page 33 DI T.Lovric mobilkom austria Charging: Who pays? User identities for charging Different identities for bearer vs. session vs. application: MSISDN, IMSI, User ID, IMPI/IMPU, Credit Card,... Bearer or application may be provided by 3rd party Keep it understandable & simple Charging information handling Single point of charging information vs. correlation? Real-time charging for all users (pre- & postpaid)? Bearer: MSISDN Session: User ID Application: Credit Card  Operator: Define consistent and simple charging strategy  Standardisation: Define charging attributes for IMS enablers (e.g. PTT)  Industry: Implement correlation information (e.g. GCID/ICID)

34. page 34 DI T.Lovric mobilkom austria Agenda Short Company overview Motivation for IMS mobilkom austria and IMS IMS billing issues & standards IMS billing at mobilkom austria

35. page 35 DI T.Lovric mobilkom austria mobilkom: IMS Billing architecture GGSN S - CSCF App. Server (e.g. PoC) [ IPC ] Diameter Ro ORGA TID IMS OCF IN_tm_v 5.0 Online Billing Diameter AMDOCS CGF IMS CCF ADATA Offline Billing G-CDR Rf Diameter VF DCCA Post-Paid Billing Pre-Paid Billing

36. page 36 DI T.Lovric mobilkom austria Vendor Details TID/OCF – Transactional Integration Device Vendor: Openet, Active Charge Integrator: SIEMENS CGF/CCF – Billing Mediation Vendor: Metasolv MNM 5.0 Integrator: Kapsch Carrier Com GGSN – Nortel IPC Integrator: Kapsch Carrier Com AMDOCS – Postpaid Billing ORGA OPSC – Prepaid Billing ADATA – Postpaid CDR format, ASCII, modularly created with flexible length Design: internal development, design by T.Lovric IN-tm – Prepaid format

37. page 37 DI T.Lovric mobilkom austria Conclusio Essential criteria for successful IMS Billing launch: DIAMETER [Ro/Rf] as the mayor charging protocol ICID/GCID implementation ASAP Home GGSN/P-CSCF Solution to start with Single charging source for IMS Services

38. page 38 DI T.Lovric mobilkom austria Thank you – Any questions ? Dipl.Ing Tomislav LOVRIC mobilkom austria AG & Co KG Obere Donaustraße 29 1020 Wien www.mobilkomaustria.com E-mail: t.lovric@mobilkom.at