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1 Understanding why Mobile is different … and how to take advantage.

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Presentation on theme: "1 Understanding why Mobile is different … and how to take advantage."— Presentation transcript:

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2 1 Understanding why Mobile is different … and how to take advantage

3 2 Welcome to the world of CONFUSION… WAP GPRS HSCSD Internet in your pocket SIM Toolkit 2G JAVA Stinger i-mode

4 3 Internet evolves Internet Fixed Internet Internet Mobile Internet Whatever the terms… facts remains the same…

5 4 “Cut the Cord” “Internet in your pocket” “Situation Centric” The Mobile Internet Waves

6 5 Mobile Internet vs. Fixed Internet? Limitations –Radio network issues –Many new different devices (also a benefit!) Opportunities –Enables totally new services –Reach your market instantly

7 6 Evolution of Mobile Systems cdmaOne Packet Data cdmaOne Packet Data GSM TDMA CDPD TDMA CDPD cdma2000 1X EDGE WCDMA WCDMA cdma2000 1XEV 2GFirst Step into 3G3G phase 1 GPRS PDC PDC-P PDC PDC-P Kb/s Evolved 3G 384 Kb/s - 2 Mb/s384 Kb/s - 8 Mb/s Time2000/ /  64 kb/s

8 7 Quality Volume Any access Mobile Internet Evolution Media Entertainment Capacity Messages Information Data Path Multimedia Conversation Real time We will talk more on applications…

9 8 Elements of a successful Mobile Internet application? Mobility Positioning Personalisation Transaction

10 9 The Rules of the game... Design for Mobility –Access anywhere … in town, on the train, overseas …. on the toilet! Accommodate new (unpredictable) user behaviour –‘Instant’ access on impulse –Personalise applications Design for new payment model –Volume or subscription based charging Keep it Simple and very easy to use

11 10 Applications cannot handle low bandwidth connections –Failure due to low throughput –Application freezes while trying to transmit/receive data –Application not optimised to limit data exchange Applications cannot handle a loss in connection –Application times out and does not try to recover Protocol stacks not generous to long delays and varying throughput –TCP, HTTP Latency in GPRS affects real time applications Wasted Bandwidth –Excessive chatter - HTTP Lessons learned from testing Why Applications Fail

12 11 TCP over Wireless Networks Lessons learned from testing Lost Packets = Congestion ? –The delay and packet-loss could be very High –TCP will think it’s a congestion and backs off –Reducing throughput –TCP makes a low bitrate Link even slower TCP reacts badly to high latency –TCP loves Handshakes –One TCP session => three packets are exchanged –Slowing data transmission due to delayed acknowledgements Slow start algorithm after interruptions

13 12 HTTP over Wireless Networks Lessons learned from testing HTTP –Opens a separate TCP connection for each object on a web page –Setup and shutdown of TCP connections usually cause the major delay –Size of objects to small to reach the full bandwidth of the link due to the slow start mechanism of TCP HTTP 1.1 –Uses a persistent TCP connection for multiple requests –No wasted time and network resources for multiple TCP handshaking –Will use the full bandwidth of the link –Supports compression of HTML files The amount of packets sent is reduced by 60% when using HTTP/1.1 instead of HTTP/1.0

14 13 Reduce unnecessary chatter Recovery/restart algorithm as fast as possible Know the protocols you are working with HTTP and TCP can be very inefficient WAP solves lots of problems for you Protocol Layer Protocol layer Tips to build a good Mobile application

15 14 Don’t take the connection for granted Design for Interruptions Use multi tasking, where possible Use middleware if appropriate Find the problems early Use caching (but don’t rely on it!) Protocol Layer App Layer Application layer Tips to build a good Mobile application

16 15 Keep the user in control and informed Progress meters, connection status etc Abort buttons Give the user choices between increasing persistency, cancelling and just keep waiting Pre-load data Protocol Layer App Layer User Interface User interface - Improving perceived performance Tips to build a good Mobile application

17 16 And importantly.. Testing Network performance tests Protocol / Standards conformance e.g. WAP, Parlay Device compatibility End-to-End testing

18 17 Related Technologies Bluetooth tm –Seamless connectivity –Split Device Enabler –Merging Technologies Camera’s Printer’s The Fridge...

19 18 Conclusion Many enablers exist already today GPRS is a foundation and a key concept shift - it prepares us for 3G Applications must be carefully designed. They must be robust and carefully tailored to suit the mobile user

20 19 Always Connected, Always On-line …thinking is free GPRS Overview

21 20 What is GPRS? (Consumer Point of View) GPRS is a new mobile network service that offers a permanent data connection to it’s subscribers. For the first time, subscribers could be Always Connected, Always Online Subscribers are seamlessly connected to their ISP, service providers and corporate networks. Is a complement to the GSM network, upon rollout, GPRS will enjoy the full coverage of GSM today.

22 21 GPRS – Technical Point of View GPRS is a packet service for GSM Specially designed to work within existing network (not a completely new system, but rather an upgrade that empowers existing network) Co-exists with existing circuit switched services Packet data transmission all the way to user Interworking with data networking (e.g. IP) Multi slot (8 TS) gives ~ 115 kbit/s

23 22 Circuit-switched data vs... Single timeslot supports single user...

24 23 … vs Packet-switched Data …now the same number of timeslots for circuit-switched can support many more users.

25 24 BTS BSC MSC/VLR HLR Internet SGSN GGSN SGSN - Serving GPRS Support Node GGSN - Gateway GPRS Support Node GPRS/GSM Network

26 25 GPRS – Network Architecture GGSN – Gateway GPRS Support Node –Interface towards external (packet) data networks –Packet routing to SGSNs SGSN – Serving GPRS Support Node –Packet routing to/from SGSN service areas –Control, session mgt, mobility mgt, ciphering/ authentication –Signaling exchange with MSC/VLR

27 26 User perspective Internet Service Provider Transparent Permanent IP Connection WAP, SMS,WWW, IP, , Messaging

28 27 What do you need as a GPRS user? Devices that are GPRS equipped, such as: –Mobile Phones –PDAs - Symbian, Psion, Palm, Windows CE –Laptops - GPRS Modem / GPRS Modules Appropriate subscription, ie a SIM that is data enabled ISP provider (probably your network provider)

29 28 Welcome to JAPAN

30 29 The answers soon…

31 30 The Success of DoCoMo – i Mode More than 20 million subscribers. On average, i-mode user is paying an extra 15$ / month Service starts on February 1999 At first, i-mode was actually aim for corporate user, but it was then the young culture who absorb the concept Soon enough, applications are aim to the YOUNG market, such as : games, ringtones, screensaver, , etc. The most favorable applications : virtual fishing, cosmo nova (intergalatic strategy simulation), Word Neverland (virtual life), and GP car racing. Women are the most advanced users of i-mode Starts to take-off when rate is affordable The working culture in Japan support the success of i-mode. Many people spend their time on the road.

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36 35 With 100 Yen, you can’t afford a meal in Japan. Case Study : Bandai Carappa Character Distribution Service - Hello kitty, etc. - 1 image per day yen / month 10% of i-mode users subscribe - 10% of 20 million = 2 million How much the revenue? - 2 million x 91 yen = 188 million yen (1.7 million USD) How much is the cost? - Few persons, server systems, etc. - It doesn’t matter the number of subscribers Bandai just up-date new images

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38 37 - Great Marketing !

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40 39 Project Inspector Gadget is a small quantitative research conducted during IITELMIT (27-31 May 2001), to help determining the right pathway towards the success of Mobile Internet in Indonesia. 350 questionnaires are analyzed Why? because, there are no documentation on our local market concerning the issue of Mobile Internet. To gain better understanding of local market behavior. Project : Inspector Gadget

41 40 Respondents Profile Mostly Male with 70 : 30 comparison Aged above % on and 65% above 25 Most of the female respondents failed in completing the items asked in the questionnaire Most of them (62%) are employee from private sectors

42 41 Respondents Profile 66 % earn a bachelor degree (S1), 58 % spend 1-3 million / month on household expenses, 47 % travel out of town 2-5 times / month, Car is the main transportation vehicle (62 %), They spent 1-3 hours on the road daily (54 %). YES, they all have Cellular phones!

43 42 Cellular Phone Usage and Habit - SMS The basic form of mobile internet is very popular! Messaging (SMS) is hitting high, even for this profile. SMS is not just belongs to the YOUTH. Almost all respondents Have experienced SMS. Other Services like Internet, and Fax, are not appealing.

44 43 Cellular Phone Usage and Habit - SMS Half of them sends more than 5 SMS per day.

45 44 The Internet Trends

46 45 Global Internet Trends Reports Research in 27 countries resulted : 420 millions people have access to the NET. US and Canada is the no.1 internet population with 41% global share. Asia Pacific has 20% of the share. Korea is dominating Asia Pacific with 45% share of the region. South Korea, Australia and Taiwan account 86% share of the region. Home access is more a common source for internet access rather than work-based access. Percentage of people with internet access is age 16+

47 46 Internet Usage and Habit – Inspector Gadget Almost all of them have access to Internet (93%), but only half of them (57%) own an internet account. They take internet access and information for GRANTED. Of course then, source of access is from the office (71 %) 92% spent less than / month for internet. 78% surf the net more than 1 hour each day. 35% surf the net for more than 3 hours! Messaging ( ) again contribute a significant role. 71% received more than 6 s per day.

48 47 Internet Usage and Habit

49 48 Preferred Applications or Sites – M Commerce There’s a prospect for M-Commerce. 35% of respondents used web-commerce, with limited number of transaction and small value. We are on trial phase for e-commerce

50 49 Preferred Applications or Sites – M Commerce Reasons for not using Web-Commerce : Security More convenient to ‘feel’ the items Doesn’t own a credit card Questioning the quality of product Net-Banking : 35% of the respondents have experienced Net-banking. BII, KlikBCA, Panin, HSBC, Niaga, Bali, etc.

51 50 Preferred Applications or Sites - Messaging Again, messaging ( s) plays a significant role. It is the most frequent accessed by respondents. The top 4 applications are : , Information, entertainment, and search engine.

52 51 Preferred Applications or Sites What about applications on mobile device? The top 4 applications are : Information, , Search engine, and entertainment.

53 52 Expected Cost As most of the respondents take Internet for granted, so do how they expect the cost for mobile internet.

54 53 Mobile Internet in Indonesia Currently, Indonesia is very much a voice-oriented market. WAP services is delivered through independent service companies which create more costs. WAP fail because of : slow, difficult and expensive, whilst the technology was introduced as Mobile Internet (reality is far low than expectation). On the other hand, there are more than enough contents and applications to run! Availability of WAP phones (very limited models). The low penetration of Internet itself. Currently only paid internet users and 1.3 million internet freebies, totaling 2 million users (source : Komputer Aktif, Magazine). The small numbers is also because of very low numbers of active PC distributed in Indonesia.

55 54 Mobile Internet in Indonesia Fax and data is rarely used, but the potential is massive. Cellular will overcome fixed by Q2, SMS (known also as data service) is rapidly taking up. We might see the same pattern with the Philippines. Average 5-6 million messages sent/day. Internet users is not boom yet in Indonesia. Internet usage is still low but also growing. The slow growth of internet users is due to unavailability of necessary equipment (only 2.5 million PC’s) and internet charging. Mobile Data is an alternative to access the internet world if it can fulfill these aspects : pricing, ease of use, content / applications, and of course attractiveness of the product. MOBILE DATA ERA WILL COME !

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