Cisco’s IoT solution to create new revenue streams

by CXOtoday News Desk    Oct 17, 2013

Internet of Things

With Internet traffic rapidly growing amid new waves of cloud, mobile, video and machine-to-machine applications, service providers are looking for more efficient ways to manage the network. Cisco’s new Network Convergence System (NCS) is designed to serve as the foundation of a scalable, smarter and more adaptable Internet and enable service providers to drive ‘Internet of Things.’ 

 

As per the Cisco Visual Networking Index (VNI) forecast (2012-2017), there will be 2 billion networked devices in India by 2017, up from 1 billion in 2012. VNI also projects India IP traffic to grow 6- fold from 2012- 2017 with a 44% CAGR, which is the highest growth rate across the globe. This unprecedented data and devices growth offers monetization opportunities for service providers but at the same time puts immense pressure on their networks.

 

Several leading global service providers – including BSkyB (Sky), KDDI and Telstra – are deploying the NCS to create new revenue streams, simplify operations and deliver exciting personalized experiences to their customers.  The system’s programmability and virtualization capabilities enable service providers to accelerate the transition to software defined networking (SDN) and network function virtualization (NFV).

 

“NCS will provide a competitive edge to service providers in India who are currently grappling with multiple challenges, and will help prepare their infrastructure to create differentiated consumer experiences in order to capitalize on market opportunities offered by the data/ video growth and device proliferation,” says Sanjay Rohatgi, Managing Director, Service Provider Sales, Cisco India and SAARC

 

The NCS’s industry-leading capabilities enable service providers to not only accommodate growing network traffic but also seize the opportunity created by trillions of programmable device-driven events generated by the Internet of Everything (IoE), the networked connection of people, data, processes and things. The IoE requires networks to scale not only bandwidth, but also compute and control functions to manage policies and to program responses with precise results in the expected timeframe.

 

The NCS is designed to facilitate such IoE events, which can be ongoing “conversations” creating strings of interactivity between people, applications and devices, such as wearable health monitors linking with personal information and cloud-based health portals or 4G LTE-connected automobiles signaling that a driver is almost home, prompting the home network to adjust home temperature and lighting.

 

With trillions of new “connected events” predicted to occur over Internet networks in the next decade, service providers have significant monetization opportunities during this timeframe, particularly in certain vertical markets, such as healthcare ($174 billion), manufacturing ($284 billion), and smart homes ($850 billion) (source: Machina Research)