Menu

IoT FEATURE NEWS

Billing Charging Evolution Accumulates Higher Revenues for Network Operators

By

The telecom industry has continuously evolved during the past 30 years that GSM mobile technology has been active. However, Transferred Account Procedures, the mechanism for roaming billing and settlement, has not moved forward at the same pace as bandwidth or the speed of networks.

Operators are not able to effectively monetize the majority of IoT devices using their networks under the volume-based approach by TAP. Devices are frequently silent for long periods of time and generate minimal volumes of data while generating significant numbers of events in the form of location updates.

With Billing Charging Evolution, operators are enabled to implement an array of different charging models for roaming IoT devices, including threshold-based and differential charging. A new Kaleido Intelligence study found that network operators that implement BCE and target low-bandwidth permanently roaming M2M/IoT connections can generate more than $5 billion in additional revenues cumulatively over the next five years.

Kaleido’s new research, “The Future of Clearing & Settlement — BCE & Blockchain in Roaming 2022,” also found that nearly one-third of wholesale roaming traffic will have migrated to the BCE standard by 2027.

Kaleido’s BCE MNO survey conducted in Q2 2022 suggested an anticipated migration period of 2.5-3 years, with BCE and the legacy TAP systems running in parallel during this timeframe. The combination of sluggish short-term take-up allied to a substantial bedding in time for BCE means that even by 2025, most telcos surveyed will see less than 10% of their settlement accounted for by the new billing and charging mechanism.

“While this might suggest a fairly widespread dissatisfaction with existing clearing house processes, the survey also indicates that only a handful of operators would seek to go it alone with BCE with the remainder opting for either fully or partly outsourced solutions,” said Windsor Holden, report author.

BCE deployment will bring benefits for service providers. Companies are given flexibility and can customize their offerings based on what their customers need and charge on any basis.


Edited by Greg Tavarez
Get stories like this delivered straight to your inbox. [Free eNews Subscription]

IoTevolutionworld Editor

SHARE THIS ARTICLE
Related Articles

Minnesota Vikings Turn to Zebra for Player Performance Analysis

By: Greg Tavarez    9/21/2023

The Zebra MotionWorks Sport system RFID tracking technology captures player and ball data for each of the Minnesota Vikings' practice sessions this se…

Read More

Agenda Announced for 5G Expo at IoT Evolution, Fort Lauderdale, February 13-15, 2024

By: TMCnet News    9/20/2023

Driving Enterprise Adoption, Exploring New Connectivity Solutions and Fostering Partnerships

Read More

Technology for Good: ALE and Nokia Partner to Support Grand Paris Express

By: Alex Passett    9/19/2023

Alcatel-Lucent Enterprise and Nokia have partnered to support the Grand Paris Express, one of Europe's largest metro rail projects.

Read More

Quasar and PTC Establish a Data-Driven Partnership for IoT

By: Alex Passett    9/19/2023

Quasar is partnering with PTC to bolster TSDB and industrial connectivity capabilities.

Read More

Treon, Ready to Triumph: 5.5M Euros Series A Funding with Ventech to Power New US Expansion

By: Alex Passett    9/18/2023

Massive IoT company Treon successfully closed a new funding round to boost its international growth.

Read More