VOL 8 NO 5 2010

DIgITaL CONVErgENCE D i g it a l C onv e rg enc e VOL 8 NO 5 2010 Digital Convergence – Crafting the Future

Do you own music players, personal computer, TV or car? Do you use emails and mobile for communication? Do you withdraw cash from aTMs? Do you SETLabs Briefings Advisory Board shop online? If the answer is yes, then you are a citizen of the digital world. Innovations in digital space have touched our life to an extent where even the Gaurav Rastogi thought of looking back at the Paleolithic era can scare many of us. The invention Associate Vice President, of silicon chip triggered digital revolution and human race immediately boarded Head - Learning Services the digital technology bandwagon. Since then there has been no looking back. George Eby Mathew Senior Principal, Futurists predicted a 21st century world where the magic wand of technology Infosys Australia would touch all traditional forms of media, viz., books, photographs, movies, televisions, music systems, letters and telephones. Just as predicted, a Kochikar V P PhD plethora of digital gadgets continue to surface replacing the traditional forms. Associate Vice President, Education & Research Unit Mind boggling technological advances are taking place and futurists are left astounded. Digital technology is evolving rapidly and newer and smarter Raj Joshi devices and applications are rolled out every other day. Managing Director, Infosys Consulting Inc. Emergence of TVs, PCs, internet and mobile phones can be seen as key Rajiv Narvekar PhD milestones of digital revolution. TV was invented as broadcast medium in 20th Manager, century. The device combined voice capabilities of radio and video capabilities R&D Strategy of cinema. a few years down the line PCs combined data, voice and computing. Software Engineering & Over the next few years, internet empowered PCs with communication. Mobiles Technology Labs developed as easy-to-carry communication devices that combined telephony, Ranganath M computing, internet and live TV. The trend is indicative of consumer behavior Vice President & that is demanding a single device with multiple functionalities. Chief Risk Officer There is a growing demand for personalized devices and services that combine Subu Goparaju Senior Vice President & Head, voice, video and data to any device, at any time. Enterprises are investing Software Engineering & heavily toward development of such personalized and interactive applications Technology Labs and devices. This demand in turn is triggering industry, network, service and device convergence. The world of digitally converged devices is witnessing several turnarounds. With the help of innovative technologies new entrants are threatening to end the long term dominance of industry leaders.

In the last issue we discussed the importance of innovation and looked at several novel ideas to managing technological innovations. Here we bring you a collection of papers on digital convergence. The collection focuses on different challenges that exist in the digital convergence arena and the way digitally converged technologies are making a difference in healthcare, manufacturing and media industries. In the spotlight is an interesting paper that focuses on how advertisements can innovatively deliver multi-screen ads to target customers.

Let’s collaborate and grow in this digitally converged world.

Happy reading!

Yogesh Dandawate [email protected] Deputy Editor SETLabs Briefings VOL 8 NO 5 2010

Trend: : Digital Convergence: What’s in it for me? 3 By Akshay Raj Mathur Is it smart to jump into the digital convergence bandwagon without doing an analysis of one’s business needs? The author suggests a reality check to analyze the players in the digital convergence space and understand the interactions between the players.

Discussion: Convergence: Impact on Regulatory Policies 11 By Sunil Jose Gregory and Padma Kumar Growing access to content across devices gives rise to critical concerns around security, proprietary rights, local legal implications, etc. A true convergence in digital media should also include a convergence of regulatory policies to the right measure, suggest the authors.

Guideline: Device and Network Convergence: Enabling Lean Transformation in 19 Manufacturing Industry By Ajit Mhaiskar, Ashish Agarwal and Shettin Andrews Digital and network convergence are being adopted by the manufacturing industry rapidly to improve efficiency. Top line growth can be assured if innovative digital convergence can help power a manufacturing enterprise’s lean transformation efforts.

Architecture: Convergence Gateway 31 By Purushotham Mudireddy, Krishna Chaithanya Dhulipala and Sanjoy Paul PhD Seamless integration of content across devices is what consumers are asking for. The authors feel that a convergence gateway is the need of the hour that can help the user experience a smooth and secure transition from one device to another regardless of the number of devices used.

Practitioner’s Perspective: Conceptualizing, Building and Deploying Interactive 39 Applications for TV By Subha Mahesh and Narayan Balasubramanian Television technology has not kept pace with the innovations happening around in the digital world. A TV that interacts with its viewer has of late become a hygiene need. The authors draw from their practical experience to provide insights on how TV could be made interactive.

Viewpoint: Converged Digital Devices and Strategies for Hi-Tech Companies 49 By Ajit Mhaiskar and Sriram Kasthuri Hi-tech firms are outwitting competitors at every given opportunity. Redefined strategies around launching or upgrading products and technologies can bring in more focused business and therefore better returns.

Framework: Content Protection and DRM for Media Mobility 61 By Hari Venkatram Pedaprolu Media portability is a consumer demand that is growing by the day. With this demand digital rights management (DRM) issues get even more complex as content protection and DRM have their own intrinsic legal and ethical issues.

Practitioner’s Solution: Promoting Analytics Services on Converged Digital Data 73 By Sujatha R Upadhyaya PhD Non-availability of meaningful patient data is detrimental to perfect diagnosis. The author suggests a framework to capture converged digital data and analyze them to help care providers, patients and support teams feed into each others’ insights.

Spotlight: Integrated Personalized Context Aware Advertisement Presentation 83 over Multiple Digital Media By Anil Kumar Gogada, K Senthil Kumar and Anutosh Maitra PhD Advertisements on digital devices are commonplace. The issue though is customization of such advertisements across multiple digital devices. Context-aware personalized advertisements that are flashed across devices in a seamless manner is the need of the hour.

The Last Word: Convergence Defines the Future 93 By Sanjoy Paul PhD

Index “The biggest challenge in digital convergence is not in making one application talk to another seamlessly, but in bringing down the cost of such convergence to ‘near zero’ by building applications that render the same use multiple times.”

Sanjoy Paul PhD Associate Vice President and Head of Convergence Lab SETLabs, Infosys Technologies Limited

“In a world where agility and flexibility rule the roost, no innovation in the digital ecosystem can be effective if not backed up with a robust convergence architecture.”

Narayan Balasubramanian Delivery Manager Communications, Media and Entertainment Unit Infosys Technologies Limited SETLabs Briefings VOL 8 NO 5 2010

Digital Convergence: What’s in it for me?

By Akshay Raj Mathur

A detailed and objective analysis of the emerging digital convergence space will lead to informed and stable decisions

he digitally converged landscape is huge. analysis is based on the concept of analysis THow do we know what suits us best? How wherein the stakeholders and flow of resources do we know which business model to adopt? from the supplier’s supplier to consumer’s To understand the emerging trends better, it consumer is analyzed [Fig. 1 overleaf]. is important to do an objective analysis of the Activities like synchronization, device digitally converged scenario before business independence, programming in limited decision-makers zero-in on an option that suits resource(s) constraints, collaboration, them best. This paper analyses potential new convergence tools, etc., have opened a gamut stakeholders in the digital convergence arena of niche service providers who play a crucial and new business models that will emerge in role as primary service providers. System this space. This discussion will further attempt integrators, domain experts, infrastructure to do a SWOT analysis of the players in the providers form the other dimension of this digitally converged landscape. It is important multi-dimensional ecosystem. to do a what’s-in-it-for-me analysis and cull out Digital convergence will see the business benefits vis-à-vis different players in emerging ecosystem players abide by different the digital convergence (DC) landscape. rules like - transaction based revenues, mergers and acquisitions, strong vendor/partner/ DC VALUE SYSTEM: LANDSCAPE VIEW stakeholder negotiations, optimization in ANALYSIS supply and demand side value chain to bring The management of flow of material, fund in the best advantage for the consumer. and information from supplier’s supplier to End user is an important stakeholder customer’s customer is called supply chain in the value chain. In the near future other management (SCM) [1]. This landscape view players like consumer, enterprise, rural,

3 Value Supplier’s Digital Service Cosumer’s Supplier Consumer Chain View Supplier Provider / OEM Consumer

Infrastructure / Medium / Downstream / Revenue Primary Blended Delivery / Device / Supplementary Streams Service Service Support Channel Hardware Avenues

Service, Content, App, Service, Communication, Standard Bodies, Technology Customer Platform Infrastructure Media and Supplementary Vendors, Base / Use Providers, Open Providers, Entertainment, Services, System Case Developers OEM’s, Support Mobility, Consumer Domain Experts Integrators Services Electronics

Illustrative Airtel, Vodafone, Individual or Map My India Infosys, IBM Pizza Hut View Nokia Enterprise

Hi-tech, Healthcare, Retail, Banking, Insurance, Energy and Utilities, Semi-conductors and Verticals / Electronics, Media and Entertainment, Automotive, Transportation and Logistics, Demographic Industrial Systems, Consumer, Enterprise, Rural, Government

Figure 1: Value Chain of the Digitally Converged Devices Source: Infosys Research

government, industry vertical, healthcare, like Infosys, IBM, etc., who have the utilities, retail, banking, etc., will see traction technology and domain expertise to deliver and targeted digital convergence solutions this solution to service providers are needed. for their competitive benefit. This futuristic System integrators (SI) will help aggregate assumption is used to analyze the revenue flow and build the solution for the service across the value chain and value system. This provider’s needs. This solution will need is extensible to include new supplementary primary services like content providers and services/activities that will arise in this mobility platform from other suppliers who ecosystem. will operate in a niche area providing this A fitting example to assess the supply service. chain view of digital convergence is the mobility based solution. Downstream View: The consumer might avail this service to locate the nearest restaurant Service Provider and Consumer View: Mobile from her current location or the deals/offers service providers like Vodafone and Airtel in a shopping mall could also be pushed to her will be the providers of location based services mobile phone. The downstream avenues of (LBS) to their end customers. These could be revenue in the digital ecosystem are immense. individual or enterprise customers. This could be transaction based revenue from the restaurants for the service provider or Supplier View: To launch this service, service provider to mapmyindia.com for each technology partners and system integrators location search by consumer.

4 SWOT ANALYSIS OF PLAYERS IN THE DC strengthen their presence in these areas LANDSCAPE or accelerate their presence in other DC landscape has distinct areas of opportunities. technology areas. The presence of numerous players and a rapidly changing ecosystem makes it imperative for all A detailed SWOT analysis for the different players to have a thorough understanding of ecosystem players in the digital convergence the entire value chain. A few key points in this landscape has been done in Figure 2 overleaf. analysis are: KEY INDUSTRY TRENDS ■ Supplier’s supplier has the least These trends span across the entire value chain consumer view. Service provider is and impact individual industry value chains the first point of contact for customer’s as well. Industry has reacted to these changes feedback and the provider can re- in the DC landscape in many ways that are strategize as per feedback. disruptive. In some situations, M&As have shown the way and in few others, niche players ■ There is more stability and clarity in the have emerged taking the established players by middle of the value chain and varied storm. These business changes are all resultant opportunities/avenues of revenues are of fundamental techno-social changes in the still unchartered towards either end of digitally converged landscape. the value chain. The space towards either A few important industry trends are end will evolve at a more rapid pace in listed below. terms of players, models, etc. [Fig . 1]. Reduced Device Dependence: Service offerings ■ First mover advantage is growing to be of are becoming increasingly device-independent. prime importance to larger players. Thus, Services that are being delivered over-the-top, time-to-market and quick responsiveness (device-independent) are the norm of the day. will also be key advantages for service Customized content/services that are device providers, OEM’s and system integrators. or medium-independent like mobility-based services, IP TV, location based services, etc., are all ■ Formation or influence of industry moving towards a device-independent interplay. collaborations and consortiums of standard bodies will play a key role in Convergence of Enterprise and Consumer the DC landscape. Players will leverage Industry Features: Much of the innovation this for their offerings. Contribution in enterprise communication applications are of open source community towards being driven by rapid evolution in the power conceptualization, development and and usability of consumer mobile devices such support will be profound. as smartphones. Enterprise features’ list is being driven ■ Players in the DC landscape will focus by rapid innovations in the consumer space on one or two technology areas. Mergers and vice-versa. Features seen in the consumer and acquisitions will play a big role to space are soon migrating to the enterprise space.

5 Strengths Weakness Opportunities Threats

Supplier’s Supplier Numerous Players, Lacks Direct Operate in Niche Areas Low Investment Largely Industry Consumer Side View Vertical Target Solutions

Supplier Technology Partner Highly Scalable Lacks Focused Innovation for Service Providers, Low Margins System Integration

Service Provider / OEM Large Investments Touch Point with Technology Banking to Many Players, required in Technology Consumer, First to Launch New Services Highly Price Sensitive Space Revive Feedback

Consumer

Better Leverage Obsolescence of Enterprise Leverage / Fragmented Community Cost Benefits in case of Enterprise Technology / Medium

Downstream Avenues

Innovations in Largely Possibility of Replication Model / New Business Models Unchartered Territory Non-linear Revenue Approach not Viable

Figure 2: SWOT Analysis of Digitally Converged Source: Infosys Research Ecosystem

On the other hand, demands of reliability and story of VAS driving the network and device service assurance levels, business applications, capabilities. etc., will be increasingly visible in the consumer These trends will essentially drive three space. In effect, there will be a convergence of primary areas of convergence, namely - the enterprise and consumer feature list. ■ Industry Convergence - where norms Value Added Services (VAS) Driving like triple play (voice, video and data) Network Capabilities: Demand for VAS is and common infrastructure (network driving network capabilities, often resulting convergence) will bring the industry in drastic innovations on the network side. players to collaborate in many areas, while Organizations that are able to keep up with fiercely competing in many other areas this innovation will survive in this digital ecosystem. Be it location based services or ■ Service Convergence – Anywhere, anytime multimedia content on devices, it has been the convergence where location, physical

6 presence or platform does not impact a Cost: While considering this factor, direct and user’s ability to access, utilize or render indirect cost and revenue impact on the players a service will be analyzed. A key observation is the global optimization of the value chain to bring ■ Device Convergence – where device benefit to the end consumer. For instance, there configuration or characteristic(s) will has been a notable reduction in mobile and no longer be a constraint, as hand-off or internet usage price tags in the last few years. synchronization from different devices will happen seamlessly, allowing a user Responsiveness: This is a key element in this to start-off from where she left on a ecosystem. Real-time transaction, processing particular device. and access to information are the key (location- based services, mobile banking, etc.) to leverage IMPACT OF NEW DC ECOSYSTEM BASED this factor. This real-time information is a ON IDENTIFIED KEY TRENDS key element for various players and any Impact on the digitally converged ecosystem element (entity or transaction) that adds is to be analyzed based on the key industry additional latency is an overhead and presents trends identified in the previous section. These an opportunity for change in the system. For key industry trends when mapped to the e.g., a mobile platform that does not provide ecosystem view will translate to the emergence access to real-time information is redundant of new ecosystem players or a shift in existing in the system. positions of the ecosystem players and a change in the relationships between these entities. Variety: The digital market has become the The emerging trends will impact one of hotbed of innovation in terms of technology, the three factors namely - cost, responsiveness features and usability. Variety in terms of and variety. The ecosystem is driving towards features, richness and technology has increased the center of the axis [Fig. 3]. the user experience in this space.

Less Reduced Device Independence New Ecosystem Players / Shift in Impact Analysis

Variety Impact on existing positions of the based on Ecosystem Players Three Factors Enterprise Value Chain More and Consumer Cost Emergence or Change of the Relationship Low High between these Entities Fast VAS and Network Capabilities Responsiveness

Slow

Figure 3: Impact Analysis Source: Infosys Research

7 Industry Analysis Impact Trend

Reduced Device The service providers are delivering superior over the top services. New ecosystem players Dependence With this, new players are emerging who operate in niche areas, impacting cost providing specialized offerings, platforms that enable this device independence.

E.g., Presence information used across various devices for enterprise applications that require anytime availability.

Overlap in the roles of the various players in the ecosystem, e.g., open Change of relationship developers and business users contributing to application development impacting responsiveness (Nokia Ovi App store) along with ISV’s.

Emergence of new revenue share models across the value chain. With Change of relationship transactions driving revenue, transaction-based pricing will emerge impacting cost and as the primary model. Risk taking ability of service and solution responsiveness providers will become the basis of the commercial transactions in this ecosystem. Capex investments will be jointly shared with the service provider and other players in the ecosystem. Strategic mergers and acquisitions in the arena will emerge as one of the key business drivers to acquire technology/domain, market position and reach.

Strong vendor/partner/stakeholder negotiations will also emerge in this cost sensitive market.

Reduced device dependence, for consumer electronics, mobility, New players and personal entertainment, enterprise communications and mobility. relationship(s) impacting Currently services in Indian market enable TV content recording via responsiveness, cost and mobile, call integration in VoIP world, multimedia content integration variety. across devices and formats.

Enterprise and Service bouquet of enterprises and end consumer is converging. Change impacting Variety Consumer For e.g., being consumer smart phone features are moving to the enterprise space and enterprise and business features are being demanded by the consumers.

Industry vertical specific solutions with consumer demographics is New players and playing a major role in targeted service offerings to healthcare, retail relationship(s) impacting etc. Offerings specific to segments like youth, urban, rural, government responsiveness, cost and has spurred innovation not only in the service offerings, but also in variety. downstream revenue streams.

VAS and While value added services (VAS) are riding on the new wave of Change in relationship with Network network capabilities, it will increasingly become a paradigm in the new players, impacting cost, Capabilities digitally converged space for VAS to drive network capabilities. responsiveness. Convergence application requirements have pushed for higher bandwidth and better reliability.

Evolution of supplementary services in the ecosystem, right from New/change of players/ a mobile accessories vendor(s) to an open developer developing relationship impacting cost, applications to an enterprise managing and distributing digital content, variety and responsiveness. has opened up an interconnected web of new revenue streams in this ecosystem.

Table 1: Analysis of Industry Trend and Impact on Source: Infosys Research Ecosystem

8 Table 1 shows an analysis of the industry CONCLUSION trends and the impact it will have on the Digital convergence will evolve in future ecosystem. as an integration of specializations or niche areas. There will be larger players playing Allied Industry Impact the integrator’s role and will offer end-to-end The digitally converged landscape will be managed service collaborating with various an amalgamation of different industries as specialized service providers - all forming depicted in Figure 1. Individual value chains a complex ecosystem. Over the next few in each industry will be impacted in the years the technology world will witness a way they currently function. Some of the real paradigm of convergence in the form of allied industries that will be impacted are industry convergence, service convergence and telecommunications, media, healthcare, retail, network and device convergence in one of the automotive and various other aligned and most dynamically evolving ecosystem in the supplementary sectors. These industries need global arena. to align towards this converged landscape. Features that were considered a value-add are REFERENCES now becoming the baseline. As an example, 1. http://www.supplychainmanagement. media and entertainment industry has seen a in/scm/ drastic change in terms of opportunities and 2. Strasser, H., Digital Convergence. challenges in the digital entertainment space. Available at http://www. digitalconvergence.eu/ Key Success Factors in the Digitally Converged 3. Gartner Says Worldwide Smartphone Landscape Sales Reached Its Lowest Growth Rate Digital convergence will change the way With 3.7 Per Cent Increase in Fourth the telecom, media, entertainment, IT and Quarter of 2008 (2009). Available at internet industry operate. There will be a http://www.gartner.com/it/page. lot of overlapping areas to provide a unified jsp?id=910112 communication experience. Each of the 4. Tae-gyu, K. (2003), Digital Convergence supplementary services that digital convergence Shapes IT Industry. A v a i l a b l e creates will develop a value chain of its own. athttp://unpan1.un.org/intradoc/ Various industries that contribute directly and groups/public/documents/ indirectly will need to play by different rules APCITY/UNPAN015117.pdf and will have different success factors. A few 5. The Top 10 Industry Trends. factors are listed below. Available athttp://www. connectorsupplier.com/tech_ ■ Agile, flexible and scalable updates_5cs_5-20-08.htm ■ Enriched user experience 6. http://en.wikipedia.org/wiki/Value_ ■ Monetized information chain ■ Participative innovation from different 7. Sizemore, R. (2008), Ringback Tones players Drive Mobile Premium Content Market, ■ New business models. Nearly Tripling to $ 4.7 Billion Market

9 in 2012. Available at http://www. php?option=com_content&task=view& multimediaintelligence.com/index. id=122&Itemid=30.

10 SETLabs Briefings VOL 8 NO 5 2010

Convergence: Impact on Regulatory Policies

By Sunil Jose Gregory and Padma Kumar

A convergence of regulatory policies will enable secure and easy transmission of content across devices

espite a potential commonality in their enabling existing separate services such as Dcustomer base telecom, broadcasting and voice, data and video to share resources media industries have been operating in silos till and interact with each other, creating new about sometime back. Newspapers/magazines efficiencies. The key result of this convergence used to dominate the media/broadcasting is the merger of telecommunications and scene in the 17th and 18th centuries and many media/entertainment industries. As a result of thinkers predicted the demise of the newspaper convergence, telecom companies are gearing industry at the onset of telegraph and radio. The up to provide broadcasting and data services prediction never materialized. Over the years, and media/broadcasting providers are looking publishing industry, broadcasting industry for alternate distribution channels, bypassing and the communication industry flourished, traditional players. without cannibalization. This was primarily Convergence has thrown open multiple due to the way the sectors developed, with challenges before the regulators and policy each sector defining its own infrastructure and makers. The primary question is on the technology, creating a walled garden. Even the regulatory jurisdictional boundaries. However, consumer needs were defined in a sector specific jurisdictional limits are not the only debatable approach with telecom, radio/broadcasting and issues. From technology neutrality to licensing publishing industries focusing on specific, non- to content regulation, convergence throws up interchangeable needs of the consumer. new questions and requires a massive overhaul The rise of digital communication in in the current regulatory regime. This paper the late 20th century significantly altered the focuses on the challenges and opportunities market conditions. The advent of technology faced by regulators and policy makers across made the perceived Chinese walls redundant the world.

11 DEFINING DIGITAL CONVERGENCE innovations and market innovations that Digital convergence refers to the convergence of occurred in late 1980s changed the industry four industries, i.e., information technologies, landscape forever. New entrants began to telecommunication, consumer electronics enter the industry, creating and concentrating and entertainment in to a single, monolithic on new market segments like minicomputers industry. ITU describes convergence as and microcomputers, thereby sidestepping ‘the technological, market, legal or regulatory direct competition with industry leaders. In capability to integrate across previously separated order to speed up time-to-market, established technologies, markets or politically defined industry players also fuelled these trends and decided structures. Convergence also involves an important to source from companies like Microsoft and international component, as many services and Intel. They shared their operating system and information sources that were traditionally processor architecture with these companies, controlled on a domestic level are being provided effectively killing the source of monopolistic on a global basis [1].’ power. These developments led to creation Digitization and application of internet of bigger markets outside the control lines protocol (IP) have resulted in the emergence of the traditional companies, resulting in of convergence where delivery of different competition, innovation and leadership in services (voice, data and video) is possible horizontal segments like Microsoft in desktop over any type of network, for e.g., digital software, Intel in microprocessors,HP in subscriber line (DSL), cable or mobile. This has printers, Novell and Cisco in networking, lead to decoupling of services and platforms. Oracle Corporation in database software and In other words, any service can be offered Seagate in disk drives. over any network thus breaking traditional The shift in the computer industry is business models. Convergence and innovation graphically captured by Andy Grove as shown have strong implications for market structure in Figure 1 [2]. and competition. These open up significant As mentioned in the previous section, opportunities and challenges to the consumers, historically telecommunications encouraged service providers, regulators and policy development of unique, vertically integrated makers. silos to support mobile voice, fixed voice, data and media services using myriad technologies. CONSEQUENCE OF CONVERGENCE Due to technological innovations and Communication industry is undergoing the customer demands the dividing line between shift from a vertically layered industry to a telecommunications, information and media horizontally layered industry. This trend of industries is getting blurred to a point where horizontalization was first observed in the late it is becoming difficult to distinguish between 1980s in the computer industry. telecom, information and media services. The For a long period, the computer primary technology catalysts for this change industry was vertically ordered with a few are the dramatic rise of the internet and the companies like IBM, HP, NEC, etc., who use of IP based networks that provide a natural followed a vertically integrated strategy and infrastructure to introduce new services. owned the entire value chain. Technological The vertically integrated networks are being

12 Vertical Integration 1980 Horizontal Integration 1980

Sales and Sales and Retail Stores Dealers Mail Distribution Distribution

Application Application Word Word Perfect Software Software

Operating Operating DOS and OS/2 Mac UNIX System System Windows

Computer Computer Compaq Dell HP usw.

Chips Chips Intel Motorola RISCs

IBM DEC Wang

Figure 1: Transformation of Computer Industry Source: Only the Paranoid Survive: How to Exploit the Crisis Point that Challenge Every Company and Career by Andy Grove. dismantled and transformed into horizontally wider penetration will result in an accelerated interconnected function layers. service innovation in terms of applications over This horizontalization has not only the service-converged networks. undermined the economies of scale that was Convergence offers the telcos and previously enjoyed by industry sectors but multiple system operators (MSOs) potential to it has also reduced the capital intensity that leverage their existing network infrastructure was the entry barrier to keep out competition. to provide wider range of services at a lower Figure 2 shows the resulting shift that is slowly cost. It enables them to enter new markets and occurring in the communication industry. compete in new segments, leveraging their existing relationships with the customers that OPPORTUNITIES FOR CONSUMERS AND were hitherto not possible without huge upfront SERVICE PROVIDERS investments. Convergence is a double edged Convergence offers a plethora of benefits and sword as it lowers the entry barriers and has opportunities to the consumers and service a disruptive effect on the traditional business providers. An increased competition in the models practiced. market can result in the potential reduction in tariffs that in turn will increase the accessibility CHALLENGES FACED BY REGULATORY and quantum of information and communication BODIES AND POLICY MAKERS technologies (ICT) usage. The access and The objectives of regulations and policies penetration of various platforms can help in governing the telecom, communication and achieving the objective of universal access as ICT entertainment sectors can be grouped under services can be provided over non-traditional two major heads: platforms that have a wider spread and hence have the potential for a significant socio- Economic Objectives – like ensuring and economic transformation. Lower tariffs and encouraging investments, promotion of

13 Vertical Integration Horizontal Integration

Application Application Voice, Video, Data, IMS, Web 2.0, Messaging, IPTV, Gaming

Middleware Middleware Server Middleware

Operating Operating Server Operating System System System

Hardware Hardware Networks, End User Devices, etc.

Communication Companies Communication Companies of 21st Century of 20th Century

Figure 2: : Transformation of Communication Industry Source: Infosys Research

competition, prevention of monopolistic heavily regulated broadcasting sector where behaviors, economic and efficient allocation of the service provider’s responsibility of the public resources like spectrum, IP protection to content is significantly higher to the lesser ensure innovation and development. regulated telecom sector where the carrier provides the infrastructure with partial or no Socio Cultural Objectives – these include responsibility of the content riding on their maximizing ICT contribution to the socio- network. This variation exists in all walks of economic development of people, Universal business operations like market entry, spectrum Service Obligations (USO), consumer protection, licensing, numbering protocols, interconnection protection of minors and human and protection management and universal service goals. against defamation. Due to historical reasons and the way Asymmetric Regulation across Services - Simply various sectors developed, the regulations and put, this is the condition where different policies adopted to achieve these objectives vary services are regulated differently and has been drastically between the sectors. In a converged the hallmark of the communication industry. regime the main challenge for regulators and Table 1 captures the regulatory asymmetry in policy makers is to ensure that policies and the communications industry. regulations adopted complement each other. In a converged regime, the communication The main policy issues at stake are discussed companies show the characteristics of more below. than one sector and in many cases show the characteristics of all the sectors. The Regulation: Increase in Complexity daunting task before the regulators is to adopt Traditionally the philosophy behind regulatory these varying regulatory philosophies in a frameworks varied significantly amongst converged environment. In such a scenario, sectors. For example, in case of carriage the philosophy behind various regulatory and regulation we can see a gradation from a control mechanisms decide the development

14 Services Data Wireless Wireline Cable Broadcast Broadcast Networks Telephony Telephony Television Radio Television Market Entry Usually open Difficult due Depends from Depends on Difficult due Difficult due entry is the to spectrum country to jurisdiction to spectrum to spectrum norm constraints country constraints constraints

Focus of QoS Spectrum and QoS QoS Spectrum Spectrum Carriage QoS Regulation

Content Typically Typically Typically Variable: from Strict Very strict Regulation absent absent absent mild to strict

Level of Typically Oligopolies Monopolies or Monopolies or Monopolies or Monopolies Competition competitive oligopolies oligopolies oligopolies or oligopolies

Emergency No Yes Yes In some In some In some Service Access countries, countries, countries, one way one way one way information information information

Numbering IP address Phone Phone Channel – Channel Issues numbers, numbers, numbering numbering portability portability

Regulatory Features Spectrum Only in case Yes, with None None Typically Typically Licensing of licensed entry fees administered administered broadband and annual wireless, charges, market oriented often through markets

Interconnection Market-driven Regulated Regulated May be – – Management regulated

Universal Typically Yes Yes Free-to-air Public service Public Service Goals absent channels broadcasting service broadcasting

Table 1: Regulation Asymmetry across Communications Source: Regulatory Trends in Service Convergence, World Industry Bank [3]

path that the communication industry would and antitrust are to instruct firms on what not to eventually take. Based on the timing of their do. Ex-post control systems do not impose any action, these control mechanisms can be broadly specific obligations like ex-ante regulations but classified into — they can impose hefty fines and restrictions if the conduct of companies leave anti-competitive Ex-Ante Regulations – aims at checking the effect. incumbent from gaining an upper hand by virtue of its control of the essential facility - the Converged Regulatory Bodies last mile networks. Convergence of IT, broadcasting, telecom and publishing media poses the question of whether Ex-post Control Mechanisms - the focus of ex-post legislation and regulatory structures are control mechanisms like competition policies adequate to deal with the increased complexity

15 presented by convergence. A prominent supplied through different networks, a licensing thought is the convergence of regulatory regime used to define the rules of the game bodies regulating these sectors – i.e., a single and used to ensure the efficient usage of scarce regulator like UK’s famed Ofcom to regulate resources like spectrum. With convergence and the newly emerging communications sector the associated multiplicity of ICT services and that encompasses the characteristics of telecom, applications, the traditional licensing regime media, MSO and broadcasting sectors. There based on the type of service, facility or technology are multiple arguments in favor of and against provided has become redundant and irrelevant. a common regulator approach. Some of the modifications that are The most prominent argument in favor of emerging in the licensing regime are general a converged regulatory body is that a converged authorization, class license, facilities and service regulatory body will be able to apply the same based licenses, unified or converged licenses, principles across various players irrespective of etc. Unlike individual licenses, a general the technology and service they provide. A truly authorization is issued to service providers. converged regulatory body can take advantage The eligibility conditions, operating criteria, of the economies of regulation, especially conditions for provision of services, etc., are economies of scope as some of the regulatory defined in the general authorization. issues are the same across industry platforms. In case of class licenses, each country The counter argument is that convergence can decide to permit only a specific number of of regulatory bodies would result in more players under each class of general license and bureaucracy and a potential enlargement of may select them on the basis of any selection the regulatory body itself. The opponents process like first-come-first-served basis or on of a single regulatory body fear that today’s auction. All authorized service providers of the communication company is a very complex same class are subject to the same conditions. organization and a common regulatory might In case of facility based licensing (FBL) a not be able to comprehend the organizational general license is issued to service providers who complexity. For example, the investment have service based license (SBL) holders and own profiles of a telecom company significantly infrastructure. While FBLs may include service vary from that of a broadcasting company or a providers offering telecom services through publishing company and it is not feasible for a their own infrastructure, SBLs may offer telecom single body to understand and appreciate the services by leasing infrastructure from others. finer nuances between these. The licensing document covers items Different countries adopted different like bank guarantees, spectrum charges, annual approaches to respond to convergence. Some of license fees, numbering, interconnection, the countries like USA, UK, Malaysia and South roll-out obligations, sharing of infrastructure, Africa created fully converged regulators and direct inter-connectivity across service areas some others like Singapore, Brazil and Estonia and resale of services. In case of a converged converged carriage regulators. or unified licensing, an operator or service provider is permitted to offer more than one Licensing Principles service under a single license. In each country In an era where voice, video and data were the scope of such a unified license can be

16 defined in the licensing document or ICT policy Internationalization – Jurisdictional Limits guidelines by the respective regulatory bodies. of Regulation The pertinent question before the Convergence by nature is international and it regulators is how to treat services like radio throws up new challenges as the jurisdictional paging, internet services, etc., that are much boundaries are becoming irrelevant or proving lower in terms of their revenue potential with to be counterproductive as convergent services mobile voice services, IPTV and long distance are increasingly becoming geography and services. The options before the regulators are network independent. Country specific to consider the low revenue generating services frameworks on competition; interconnection, and new services that require low infrastructure importation and use of terminal equipment; under class license or SBLs and rest under FBL consumer protection; IP laws; privacy laws and or move entirely to a unified licensing scheme. content laws need to be relooked at that finally call for international co-operation between the Network /Technology Neutrality various regulators and policy makers. Convergence allows the provision of multiple services over different networks. Historically, Universal Access the legislation is technology specific and in a Policy makers use various mechanisms like converged regime, regulators should encourage USO on network operators or universal service technology agnostic licensing framework that will fund (USF) when there are multiple operators achieve efficient management of scarce resources, providing telecom services to a regulation in spectrum allocation, socio-economic impact and interconnection charges, to promote the case achievement of relevant public interest objectives. of universal access. With convergence across The primary argument in favor of network the world there is a significant reduction in neutrality is that ‘a bit is a bit is a bit’ irrespective the finance for USF as consumers and service of the fact that it is an audio or video bit. Those providers bypass the current tariff structure. in favor of network neutrality believe that The questions before the policy makers are network neutrality will ensure that broadband on the lines of what are the services that should be providers invest in developing applications brought under the purview of collection of USF? and thus rules out any future competition. How to account for rural connectivity? Should the While those opposing network neutrality universal service laws be different for incumbents believe that network neutrality legislation will and new entrants? Should USF be collected from result in network providers under-investing in multi-service operators (MSOs) who offer IP infrastructure and they believe that there should telephony and internet services? be a differentiation between the bits and not all bits are alike as the economic value generated by Content Regulation a video bit is different from an audio bit. Traditionally telecom operators were not From the regulators and policy makers’ responsible for the content that was transmitted perspective it is more important that different on their facilities, while broadcast and printing technologies compete on equal terms so that and publishing industries were held responsible technologies that give maximum allocative and for the content transmitted. Content transmitted economic efficiency are used. by the broadcast and printing and publishing

17 sector was self-regulated and was governed by that there exists an enabling environment for the copyright and intellectual property laws and the growth of converged ICT industry that can censorship laws specific to a country. achieve the economic goals of ensuring effective As a public utility, the mandate of and competitive markets, encouraging continued telecom service provider’s was to provide non– innovation and investment, promotion of efficient discriminatory access and the transmitter was allocation of spectrum, protection of intellectual responsible for ensuring legality of the content. property rights (IPR) and socio-political goals The fundamental question is whether the systems like universal service issues, promotion of and mechanisms that used to regulate the cultural diversity and national identity, consumer broadcast and print and publishing industry can protection and privacy, access, quality of be blindly translated in the converged regime. service, emergency calls, ICT penetration, etc. The challenge before the regulatory Implementing relevant policies will contribute agencies is to regulate the content that is to increased investment flows, greater returns illegal like - sedition, socially undesirable or on investment and sustainable economic growth. inappropriate content, pornographic content, racist propaganda, etc., without violating the REFERENCES principles of freedom of speech or access to 1. International Telecommunications information. The debate extends to the technical Union (1999), Trends in Telecommunica- approaches that can be adopted in an IP based tion Reform: Convergence and Regula- ecosystem to distinguish between acceptable tion (1999) and non-acceptable bit streams to monitor and 2. Grove, Andrew S. (1996), Only the regulate them like blocking access to certain Paranoid Survive: How to Exploit the Crisis network addresses and as also the cost involved Point that Challenge Every Company and and how the cost is to be apportioned between Career. the various players in the new ecosystem. 3. The World Bank, Policy Division, Global Information and Communication Technolo- CONCLUSION gies department (2007), Regulatory Trends The ICT Development Index (IDI) published by in Service Convergence. Available at ITU shows a strong correlation between the socio- http://siteresources.worldbank.org/ economic status of a country and ICT penetration. EXTINFORMATIONANDCOMMUNICA- Digital convergence presents the policy makers TIONANDTECHNOLOGIES/Resources/ and regulators a huge opportunity to improve RegulatoryTrends-ServiceConvergence.pdf economic efficiency and productivity, leading http://siteresources.worldbank.org/EX- to innovation, new business opportunities, TINFOR MATIONAND COMMUNICA- increased choice and lower prices. The regulation TION AND TECHNOLOGIES/Resources/ and polices adopted will have a significant role RegulatoryTrends-ServiceConvergence.pdf to play in the way converged communication 4. OECD policy guidance on Convergence sector shapes up. The primary focus should and NGN. Available at http://www. shift from that of control to competition. The role oecd.org/dataoecd/14/52/40869934. of policy makers and regulators is to ensure pdf.

18 SETLabs Briefings VOL 8 NO 5 2010

Device and Network Convergence: Enabling Lean Transformation in Manufacturing Industry

By Ajit Mhaiskar, Ashish Agarwal and Shettin Andrews

Mobilty-enabled manufacturing enterprises can completely re-haul the way they operate and reap more benefits

he last few decades have seen some time and flexibility without compromising Tsignificant changes in the way on quality, availability and customer service manufacturing industry operates. A prominent have also made it to the list of essentials. change has been the shift of locations from Similar such consumer demand is leading to high cost to low cost ones, resulting in globally mass customization of products in many other distributed facilities and complex supply sectors as well. This in turn is posing significant chains. Manufacturers have also improved production and supply chain challenges. Added efficiency levels with the adoption of industrial to these are dynamic market demands and automation and IT-enabled transformations. increased competition thus necessitating the However, the recent economic turmoil across need to figure out new revenue streams. the world has shrunk markets and has put To address these challenges, additional pressure on manufacturers to manufacturers have been focusing on lean streamline operations and reduce costs. initiatives to achieve greater efficiencies.Lean is Today, the industry is grappling with a term used to describe a sustainable and broad- some critical operational challenges. The global based approach of using less of everything economic crisis has resulted in workforce while producing more. Lean methodology rationalization and closure of non-profitable eliminates non-value added wastes in any manufacturing facilities. This has inevitably led process and thereby improves efficiency [1]. to an increase in pressure on existing employees The common solutions for leaner to improve efficiency. Demands to reduce and agile operations related to automation, manufacturing costs, improve in response waste elimination and IT initiatives have been

19 already adopted by most large and medium means to access pervasive internet. These manufacturers. These manufacturers are now smart mobile devices have the ability to struggling to further improve operations without run rich native as well as browser-based compromising on one of the three axes of cost, applications. These advanced features have quality and productivity. However, the current significantly reduced the gap between a recessionary market is putting increased pressure mobile device and a personal computer on manufacturers to further improve operations and thus have opened up a great new while paring down on capital investments. platform for building consumer and business Manufacturers can make use of an applications. Adoption of these smart excellent opportunity in building solutions devices has been very rapid across the world enabled by network convergence and smart and is bringing about massive changes in converged mobile devices available in abundance the way we live and work. A manifestation today. This convergence will improve operations of this is evident in a study carried out by by being lean enablers while being gentle on Morgan Stanley that predicts that we will capital investment. This will also help them have more users connecting to internet via differentiate from the stiff competition outside. mobile devices than desktop PCs by 2014 [2].

A smart converged mobile device can enable innovative solutions much needed for manufacturing industry personnel to stay connected

EMERGENCE OF SMART CONVERGED DEVICE CONVERGENCE AND MOBILE DEVICES MANUFACTURING Mobile devices have been rapidly adopted In the late nineties, large manufacturers made over the last decade. Today a modern mobile significant investments in building mobile phone allows us to talk to others, listen to applications, primarily to enable field force stored music and radio, click photographs, automation and sales force automation. A browse internet, etc. This phenomenon of few early adopters also made investments in multiple functions provided by a single device mobility solutions for warehouse management today - a feat which hitherto was provided by and track and trace operations. However, the different independent devices - is termed as legacy technologies available then, presented device convergence. limited automation opportunities in specific Today’s mobile devices like smart areas and have been difficult to maintain and phones and tablet/slate devices have extend. The smart converged mobile devices powerful processors, innovative user available in the market today present an interfaces, large storage capacity and a excellent opportunity to build highly efficient

20 enterprise-wide mobility solutions to enable reduced inaccuracies, improved decision leaner and more agile processes. making and new service offerings to customers. Manufacturers have typically been very Cost reduction through improved productivity conservative in adopting latest information and accuracy add further to the list of benefits. technology trends. After watching the huge Mobile solutions have to be deployed across transformation brought about by smart the enterprise including executives, functional converged mobile devices in industries like teams and shop floor personnel to achieve retail and banking, manufacturers have just these benefits. Key steps towards adoption begun making cautious investments in mobility of enterprise mobility can be (a) developing a based solutions by providing Blackberrys, business case for adoption of mobility solutions, iPhones and smartphones from Motorola, Nokia (b) defining usage guidelines for mobile devices, and other vendors to their middle-management (c) developing architecture strategy to develop employees. A survey conducted by Motorola in mobile applications, and (d) choosing the right 2009 shows that more than 60% of the surveyed solution components and strategy to comply manufacturing organizations have a mobility with applicable regulations and standards [4]. strategy and guidelines for employees [3]. Mobile infrastructure design and

Relevant mobile solutions can offer effective and quick ways to reach out to executives, floor personnel, functional teams, etc.

Enterprise mobility is the extension management should include software of enterprise systems to mobile devices by distribution to mobile devices and mobile eliminating constraints imposed by fixed asset management, security monitoring, backup infrastructure, through the use of wide- and recovery. In cases where legacy mobile area wireless communication and advanced technologies exist, mobile technology migration handheld technology. should include migration from proprietary Manufacturers can look forward to solutions or legacy platforms to the latest gaining lean benefits by adopting enterprise technologies. mobility solutions. A few key benefits are - Upgrading from earlier versions to newer increased productivity by turning downtime versions should include robust and secure into uptime, improving efficiency, effectiveness architecture, design for mobile application of mobile workers and facilitating better development and data synchronization to collaboration. More benefits can be seen in (a) develop high quality mobile applications enhanced revenue through faster turnaround integrated with enterprise systems, (b) maintain leading to improved customer satisfaction, transaction and data integrity in a distributed

21 and/or semi-connected environment, and Sales Force Automation: Manufacturers have (c) optimize information exchange based tried to build mobile-enabled solutions for on bandwidth and reliability of network sales force in the past but they have largely connection. been constrained due to legacy technologies Figure 1 shows the various levels of available during the times. The emergence application maturity that manufacturing of smart converged mobile devices allow organizations can reach in adopting enterprise building applications for sales force that can — mobility. Most successful mobile applications will be those that enable capture of operational ■ Simplify processes through mobile- information from any point, connect and enabled forms communicate the information seamlessly ■ Provide updates on competition, through the entire value chain and empower inventory, promotions and product better decision making. pricing ■ Maximize productivity by reducing Lean Transformation downtime and providing more customer To achieve lean transformation with low time investments, manufacturing organizations ■ Provide mobile-enabled business should look at building mobile enterprise intelligence that can help improve business applications for the following sales effectiveness through better operations – insights.

Workflows, data push, reporting, rich data entry, etc.

Data push, reporting, etc. Mobility extensions to ERP, CRM and SCM solutions provided by platform vendors

Push email, attachments, Mobile document support, Mobile Enterprise real time messaging, etc. Enterprise Business Mobile Data Access Applications Intranet Access Mobile, Email Messaging Mobile Voice

Figure 1: Levels of Application Maturity in Enterprise Source: Infosys Research Mobility

22 Repair Order Warranty, Product Inventory Details SLA Details

Customer Maintenance Customer Quote Details History Access Access information information on the go on the go Product Product Order Knowledge Receivables Specifications Status Base Work Data Driving Delivery Complaint Capture Directions Handling Schedule for Billing

Figure 2: Lean Transformation using Mobility-based Sales Figure 3: Lean Transformation using Mobility-based Field Force Automation Force Automation Source: Infosys Research Source: Infosys Research

Most of CRM software vendors are specifications or get GPS-based driving now providing mobile interfaces to their directions when out on a job. They can also applications. Figure 2 shows information that use mobile applications to capture data. All sales force personnel can access while on the such activities can improve productivity and go using a mobile-based sales force automation eliminate the need to call up base office or solution. This will help to achieve leaner carry bulky manuals and other documents. operations through improved productivity and Figure 3 shows how enterprise mobility efficiency. solutions can be used to enable leaner field service operations through increased Field Service Force Automation: Service personnel automation and efficiency. in the field can use mobile applications to access information on repair orders, warranty Shop-Floor Automation: M o b i l e - b a s e d information, SLA information, machine applications for operations related to SCADA, maintenance history, diagnostic routines, Kanban, shop-floor communication, shop-floor product knowledge bases and product material management, machine alarming,

Machine Mobile Reports KPI SCADA Alarming Dashboards

Labor Access Kanban Other Access Alerts Tracking Applications information information on the go on the go Data Material Data Capture Management Capture Workflows Communication Communication

Figure 4: Lean Transformation using Mobility-based Shop- Figure 5: Lean Transformation using Mobility-based floor Automation Solutions for Executives Source: Infosys Research Source: Infosys Research

23 labor tracking, etc., can be built to improve Logistics Management: GPS-based solutions productivity and simplify operations [5]. Figure for outdoor tracking and tracing of vehicles 4 shows how mobility based solutions can help with a web or mobile interface can help improve shop-floor automation and facilitate improve productivity and efficiency in leaner operations. routing of vehicles, planning warehouse or shop-floor operations and enabling leaner Productivity Solutions for Executives: Business operations [5]. intelligence applications can be extended to mobile devices to provide ubiquitous access Customer Service: Manufacturers can enhance to important information to executives. These and differentiate their customer service mobile-based applications can report on offerings too. This can be achieved through various engineering and operational metrics web-based customer tools on mobile devices and display KPI data in a variety of formats for functions like service request logging, like grid, graphs and maps. This can enable service request tracking, providing feedback executives to monitor business parameters and suggestions. while on the go and respond quicker to changes. Approval workflows and other transactional Partner Collaboration: Manufacturers can applications for key functions can also be enhance collaboration with partners extended to the mobile device. Figure 5 on Page through web based partner applications on 23 shows how mobility based solutions can help mobile devices like, mobile applications for improve executive productivity and facilitate service updates, pricing updates, marketing leaner operations. updates, etc.

Asset Management and Safety Monitoring: Data CREATING NEW REVENUE STREAMS capture devices and wireless sensor networks THROUGH MOBILITY AND IT (WSN) consisting of multiple nodes can be used Besides focusing on reducing costs, for asset tracking, maintenance planning and manufacturers can also look at creating safety monitoring. These networks can enable additional revenue streams by offering new capturing and analyzing data in real-time and services to customers enabled by mobility lead to insight-based decisions. Video can and IT. Manufacturers can offer customers’ also be added to an IP-based network and can connected services as well as a new breed of further be integrated with production control services called smart services. systems to enable remote monitoring and physical security. Connected Services Offering seamless services integrated with Inventory Management/Warehouse Management: products being sold allows manufacturers an Mobility applications aided by technologies effective way to monetize the services business. like RFID can enable improved productivity A combination of Apple iPod (product) and and efficiency for operations like warehouse iTunes (allied service) is an excellent example space management, inventory management, of a successful connected service offering. stock transfer tracking, etc. Manufacturers should look at building desktop-

24 based or mobile-based connected services for This can range from factory machinery to their products. field equipments to databases to business applications. Smart Services and Intelligent Device Wireless network through 3G and 4G Management (IDM) Services have already become suitable replacements for Harbor Research has coined the term smart wired networks in some geographies thereby services for a new kind of service offering enabling important user scenarios for GPS, enabled by the emergence of pervasive internet collaboration and monitoring. The emergence and products connected to internet. According to of pervasive internet is helping to provide an Harbor Research, service companies and product always on connectivity that can be used to build manufacturers with vision are using embedded wireless sensor networks (WSN) containing computing and networking technologies to thousands of nodes communicating among build smart and remotely monitorable products. themselves and sending the data to a sink. These products will support entirely new modes of service delivery and customer interaction [6]. Achieving Seamless Collaboration An offering similar to smart services IP-based networks that exist in corporate is intelligent device management (IDM) that offices and partner offices today can also be comprises of intelligent digital devices attached extended to factory locations, field locations and to other products enabling sophisticated product warehouses to enable seamless communication performance management and information and collaboration across the manufacturing analysis. value chain. This can enable executives on the Smart services and IDM services are move, sales personnel, shop-floor personnel and being piloted in a few sectors like automobile field-force personnel to access information on industry where auto makers are using telematics the go through IP-based wireless networks and to leverage vehicle performance and location mobile devices. data for improved service to customers. IP-based networks at the machinery or equipment level on the shop-floor can help in NETWORK CONVERGENCE AND real-time data collection and enable advanced MANUFATURING asset management solutions, advanced IP-based networks are fast emerging as a condition monitoring solutions and better standard across industries and their adoption planning of maintenance activities. This can is enabling easy and seamless integration of help reduce machine downtime significantly, disparate systems. This phenomenon of IP- simplify monitoring activities and lower based networks replacing legacy networking operational costs. Building such solutions using technologies and allowing seamless integration legacy industrial networks that were mostly of disparate systems is termed as network proprietary is either impossible or extremely convergence. complex and expensive. The key value proposition of IP- Figure 6 shows how a seamless IP- based networks for manufacturers lies in based network can be used for effective the enablement of standardized network communication and collaboration across the architecture across all enterprise levels. manufacturing value chain.

25 Plant Warehouse / Suppliers Distribution Center

Factory Executives on the move IP-based Networks (Intranet, City LAN, Internet, WLAN or Hotspot, etc.) Field Force Customer Sales Force Location

Retail Stores Logistics Provider

Figure 6: Seamless Communication and Collaboration Source: Infosys Research through Converged IP-based Networks

ADOPTION OF DEVICE AND NETWORK ■ Development platforms and kits to allow CONVERGENCE SOLUTIONS external developers to build mobile We pick a few sectors like hi-tech, automotive applications on their platforms and aerospace to provide an overview of various solutions enabled by device ■ Mobile-enabling business applications to convergence and network convergence. improve employee productivity and to This will greatly help in understanding our showcase benefits to potential customers contention that mobility-enablement has taken over the manufacturing sector very ■ Application storefronts to enable external strongly. developers to sell mobile applications

Hi-tech Sector ■ Innovative chipsets, displays, storage Hi-tech manufacturing clients have been and other hardware to enable new observed making the following device and gadgets with differentiated features. network convergence investments – Discrete/Industrial Manufacturing Sector ■ 3G and 4G high speed wireless networks Cautious and preliminary investments related to across the enterprise device and network convergence are happening in the discrete/industrial manufacturing sector. ■ Design and manufacturing of smart These include — innovative and converged digital devices like phones, tablets and other connected ■ Enterprise mobility strategy definition devices and solutions for executives

26 ■ Embedded wireless sensors to enable ■ Mobile applications for consumers to remote monitoring of appliances and request roadside assistance, schedule proactive condition monitoring service appointments, etc.

■ Adoption of IP-based networks in the Aerospace Sector factory to enable real-time data collection Aerospace sector has been making and improved decision making. significant investments towards simplifying processes by leveraging device and network Automotive Sector convergence – Significant investments towards building smarter automobiles enabled by device and ■ Innovative customer solutions like network convergence has been seen in the mobile phone check-in, m-ticketing and automotive sector. For e.g., mobile self-service to create a better travel experience ■ Smart cars with built-in navigation aids, ability to integrate seamlessly with ■ Remote monitoring of critical smart phones and music devices, custom infrastructure enabled by wireless applications and services sensors

■ Storefronts for automobile application ■ Mobility-enabled maintenance, repair development platforms like Ford’s Sync and overhaul (MRO) processes to and Daimler’s Smart Drive kit improve efficiency and reduce aircraft turnaround time ■ Innovative application ideas for electric vehicles. For e.g., Future Ford Hybrids ■ Mobile-enabled forms and workflows for could collaborate with Power Grid for key employees on the move to improve efficient and cost-effective power supply efficiency.

■ Telematics enabled solutions to monitor Process Manufacturing Sector vehicle performance and location data in Following trends are prevalent in manufacturing order to improve efficiency and response sector processes– time ■ Condition monitoring services enabled ■ GPS applications on mobile phones, by real-time data collection through IP- for instance, TomTom’s application for based networks iPhone and an accompanying car kit can provide turn-by-turn directions to drivers ■ Mobile and GPS enabled tracking applications for disaster management ■ Enterprise mobility investments to enable sales force automation and field ■ Mobile-enabled applications for field force automation service.

27 SUCCESS STORIES transmission and distribution. Field service Mobility Enabled Materials Management representatives (FSRs) of the client used offline Process hand-held devices. FSRs were able to dispatch A leading global provider of recycling solutions orders only at start and end of a day that in with subsidiaries in over 45 countries developed turn lead to delays. The process was prone a mobile-enabled application for materials to errors and inefficient with a lot of manual management. The application supports complete interventions. FSRs could connect to the field functionality in offline as well as online mode. order system with a wireless solution built for An application to push automatic updates to them. They had real-time access to the system mobile clients has also been built. This mobile- with very strict service level agreements. A few enabled application has significantly improved key benefits included faster turnaround time the efficiency and productivity of the materials from instant messaging, better utilization of FSR management process [7]. time and a fully integrated system [9].

MRO Process Remote Product Management A global corporation with over US $11 billion in A leading healthcare company has

A mobile solution for field service representatives (FSRs) can avoid manual and error-prone interventions and make communication more effective

revenues from their aviation business cut the time implemented intelligent device management for logging and processing inspection readings by (IDM) features in its MRI, X-ray and half, as they replaced their paper-based system diagnostic equipment. IDM allows to track with another run on wireless handhelds [8]. operating parameters, monitor devices, The value of mobility to the aviation provide proactive maintenance and support MRO business is also demonstrated in the and perform expert diagnostics. This has response time achieved by one of the world’s significantly improved the reliability and largest providers of MRO services where 90 serviceability of the products of the company. percent of all service calls are attended to within By reducing hospital repair times, the ten minutes or less [8]. healthcare organization has helped cut downtime of the equipment by as much as 40 Mobility Enabled Field Service percent, improved hospital productivity and A leading utility company in the US manages has added US $100,000 in revenue as a result multiple business units like nuclear and fossil of these new, value-added services enabled generation, non-regulated operations and by IDM [10].

28 Sensor Intensive Supply Chain REFERENCES CEMEX, a worldwide producer of construction 1. Spencer, D. P. and Plenert, G. materials faced the issue of huge transportation (2007), LEAN on IT: Applying LEAN costs and spoilage as customers changed orders Manufacturing Principles Across the IT and delivery schedules. CEMEX was able to Organization. Available at http://www. reroute trucks dynamically based on changing infosys.com/offerings/industries/ customer requirements, with the help of GPS discrete-manufacturing/white-papers/ sensors mounted on cement trucks linked to Documents/LEAN-on-IT.PDF a central control center. As a result of this, 2. The Mobile Internet Report (2009), CEMEX was able to reduce delivery time from Morgan Stanley. Available at three hours to twenty minutes, improve on- http://www.morganstanley.com/ time delivery and reduce the size of delivery institutional/techresearch/mobile_ trucks fleet by 35 percent. This helped in internet_report122009.html trimming operating costs by as much as US 3. 2009 Motorola Enterprise Mobility $100 million [10]. Barometer (2009). Available at http://mediacenter.motorola. CONCLUSION com/imagelibrary/detail. Rapid innovations in industrial IP-based aspx?MediaDetailsID=557 networks, RFID, GPS, wireless networks and 4. Enterprise Mobility (2007). Available at the availability of ubiquitous internet along http://www.infosys.com/offerings/ with converged digital devices is enabling IT-services/infrastructure-services/ building of new connected and smart solutions service-offerings/Documents/ for manufacturers. enterprise-mobility.pdf Manufacturers should adopt mobility 5. The Top Ten Mobile Solutions for Lean and network convergence solutions as a Manufacturing. Available at http:// means for reducing costs as well as for www.industryweek.com/articles/ competitive differentiation. These can also the_top_ten_mobile_solutions_for_ generate completely new revenue streams lean_manufacturing_20220.aspx through new innovative and differentiated 6. Harbor Research – Pervasive Internet service offerings to customers. Manufacturers and Smart Services Market Forecast can also use converged digital devices along (2009). Available on http://www. with the pervasive internet to reduce business the-infoshop.com/report/hr77842- travel, improve operations and build a more internet-svc.html sustainable business. 7. Tomra Integrates its Operations Finally, building innovative solutions with Infosys to Improve Efficiency, enabled by smart converged mobile devices Agility (2009). Available at http:// and network convergence is an excellent way www.infosys.com/offerings/ to achieve leaner operations with low capital industries/high-technology/case- investment. Manufacturers should also think studies/Documents/reverse-vending- beyond lean and build innovative solutions to machines.pdf generate completely new revenue streams. 8. Gupta, P., Dewangan, S. K. and Gade,

29 S., (2009), Time to Enable Mobility infosys.com/offerings/industries/ in Aviation MRO Software Solutions. utilities/case-studies/Pages/ Available at http://www.infosys.com/ automation-fieldforce.aspx offerings/industries/airlines/white- 10. Connected Manufacturing – Thought- papers/Documents/enable-mobility- provoking essays from Industry Leaders aviation.pdf – A Cisco publication (2006). Available at 9. Automation of Field Force Service http://www.cisco.com/web/CA/pdf/ Operations. Available at http://www. Cisco_Connected_Manufacturing.pdf.

30 SETLabs Briefings VOL 8 NO 5 2010

Convergence Gateway

By Purushotham Mudireddy, Krishna Chaithanya Dhulipala and Sanjoy Paul PhD

A multi-screen enabler for seamless user experience is what the next-gen is asking for

oday, telecom operators are in a severe to achieve such multi-dimensional objectives. Tcompetition to win over customers. This paper presents one such innovative Every inch of the consumer’s screen is being platform called convergence gateway (CGW). strategically planned and utilized to gain CGW provides flexible and open architecture business edge. In order to take a lead in the framework for the ease of integrating multiple race, tele operators are transforming their applications enabling end users to access and network and service infrastructure to provide experience contextually relevant user interface quadruple play in the form of voice, video, data on three screens - mobile, TV, web/PC. and mobile. Operators are gearing up to offer CGW platform enables communication an entire range of novel value-added services service providers to extend a single channel over their converged network to both enterprise application/service to multi-channel offering and retail customers. This can be achieved by by making it available over any combination of seamlessly blending three screens namely, TV, the three screens in a secure manner. mobile and web/PC in a synergistic manner while addressing the tremendous heterogeneity PROSPECTS OF 3-SCREEN APPLICATIONS in user interface, navigation techniques, screen Telecom businesses today are run in silos size, resolution, media handling capabilities and applications are developed in isolation of devices, heterogeneity in bandwidth, error for each channel (mobile, TV, web/PC) in rate and delay-jitter characteristics of networks. keeping with the business directives. As a Also, to monetize their investments tele result, this leads to duplication of effort and operators need interesting applications that can a significantly increased cost. Inconsistent be offered to their subscribers from anywhere user experience on different screens is yet and on any device. Most importantly, they need another consequence of developing the same to go to market quickly with novel services application for different devices with different while containing cost. capabilities, user interface and navigational New platforms/products are necessary techniques. Naturally these roadblocks and

31 asymmetry in terms of requirements and formats and exposes a single application specifications result in longer time to develop program interface (API) for the applications. and market new applications and services on API of CGW can be used for developing new multiple screens. 3-screen applications. In the context of rendering Since each device is handled in isolation, platform for existing applications, CGW uses the information is not available on the behavior of information available on device characteristics individuals across devices or channels. This to transform and format content in a form makes cross-channel personalization difficult, appropriate to the requesting device. As a if not impossible. Also, if content in the form of result, when web applications are accessed from music, videos, games, etc., is not shared across mobile or TV via CGW the content is delivered screens, service providers do not realize the full to the requesting device with optimal user return on investment (RoI) for the content they experience. have already paid for in licensing fees. A platform like CGW with abstract Based on the observations on complexities of rendering/navigation requirements, it is evident that there is indeed a and offering a rendering environment for need for a platform that enables development of applications across multiple screens in a applications regardless of the number of screens. seamless manner is one of the most desirable This will eliminate the drawbacks and enable a products in the space of digital convergence. faster go-to-market for service providers in the space of multi-screen applications. CGW FUNCTIONAL ARCHITECTURE In order to achieve the goal of multi-screen user WHAT IS CGW? experience development and rendering, CGW CGW leverages the ubiquity of mobile phones, needs to understand capabilities and constraints flexibility of the web and enhanced display of devices and accordingly render appropriate capability of TV to create seamlessly blended user experience dynamically across screens [Fig. 3-screen application [1]. 1]. As content and applications become accessible CGW has two sides of its utility. First, from multiple devices, security threats increase it can be used as a 3-screen rendering platform due to additional exposure. Therefore, there is whereby application developers can write their a need for a multi-screen security framework new application regardless of the number of to manage authentication and authorization devices and screens where it will run. Second, across screens and a requirement for digital it can be used as a rendering platform whereby it rights management (DRM) system to manage can help render an existing application that is entitlements for viewing content on one or more written for a specific screen on multiple screens. devices. The security framework also needs to In the context of the multi-screen rendering support fingerprinting and watermarking in platform, CGW abstracts the heterogeneity order to prevent unauthorized distribution and of screens in terms of form factor, display consumption of content. resolution, aspect ratio, differences of navigation Since screens differ in resolution and techniques such as QWERTY keypad, triple aspect ratio, and support different types tap and TV remote control and heterogeneity and formats of audio-video content, there of media codec, media containers and media is a tremendous need for transcoding. Only

32 Convergent (3-Screen) Applications

Media App Messaging App Transaction App

Application Programmers Interface (API)

Convergence Gateway Platform

Multi-screen Rendering / Multi-screen Multi-screen Media Navigation Framework Security Framework Transformation Framework

Abstract out the complexities of rendering / navigating, media / content delivery and security across multiple screens / devices in a platform and expose a unified API for application development and integration

Figure 1: CGW High Level Architecture Diagram Source: Infosys Research

then can the content be played in the desired Device Detection: This component has an end-user device with the best possible user exhaustive list of devices (mobile, set-top box, experience. CGW provides multi-screen PC browsers) and for each device it has an media transformation engine (MTE) that extensive list of capabilities including but not transforms media based on the capabilities limited to presentation standards and supported of display devices and delivery networks, interfaces. It provides the controller component pre-transcodes popular media into most with information about specific capabilities of commonly requested formats for each screen/ the corresponding devices, including width and device and stores the pre-encoded media for height of the screens, required style sheets and quicker access. suitable XSL plug-ins. CGW also provides a framework referred to as adaptive application feature configuration Presenter and Controller: This component receives (AAFC) for content personalization. Application request from a device along with details of features can be personalized based on the device the device. Then it processes the request and of choice and static/dynamic user profile. sends response to the requesting device in the presentation format that is supported by the CGW as Rendering Platform – New device. Applications The key functional blocks of CGW platform Configuration Files: These are mainly used to when used as a rendering platform for new store database connection details, limitations 3-screen applications are - of specific device support, caching of important

33 Web Server Consumer Devices

Application Additional Components CGW Convergence Gateway Logic Presentation Logic XML Configuration Adaptors for TV Files XML / HTTP / HTTP or HTTPS SOAP Presentation Logic XML User Interface Adaptors for PC Transformation Logic HTML / XML / XHTML HTTP or SOAP

Content Security

Device Detection

User, Device and

Business Logic Presentation Logic Media

Presenter and Controller Adaptors for Mobile XML Transformation Engine

Application CGW Database Database

Figure 2: CGW Functional Architecture for New Source: Infosys Research Applications

data, language support details and application UI elements and data to an XML format connection details. comprehensible to CGW.

User Interface Transformation: This component User, Device and Content Security: This component composes the user interface and saves it in is about digital rights management, secure the form of an XML document by applying content access and validation. Application is device specific XSLs and CSSs. Device specific enabled over secure SSL or https connection. pagination is also taken care of by this Moreover, user and device registration, user and component. device mapping, authorization, authentications and validation of entitlements are taken care of. Media Transformation Engine: This engine transforms media (images, audio and video) CGW as Rendering Platform – Existing from one format/codec to another based on Applications the capability of the display device, resizes the All the key functional blocks of CGW platform images based on screen real estate and delivers stated in the previous section are reused when media in fastest possible time. It is a standalone CGW is used as a multi-screen rendering pluggable component. The transcoded media is platform for existing web applications. stored in media cache so that the response time Figure 3 gives an architectural overview for the requested media is shortened. of CGW to extend existing web applications to mobiles and TV. The same key components are Presentation Logic Adaptors: This component used as shown in Figure 2 except the addition converts XML from applications containing of web services based solution where the device

34 detection and construction of device compatible to charge different amounts depending on the UI is added. number of devices an individual accesses the The basic difference between new and content from. In order to enforce such rules, it existing applications on rendering platform is not enough to authenticate just the user, as of CGW is that the presentation logic can the device from which the content is accessed be controlled within the existing web based also needs to be verified. This enables cross- application framework. Through extended channel entitlement management. Also, in web services solution of CGW, it detects order to prevent unauthorized distribution of the requesting device and uses adaptors for content, content needs to be watermarked and XML conversion to construct appropriate fingerprinted. CGW supports digital rights UI leveraging user interface transformer management (DRM) features as well. In short, component. the multi-screen security framework of CGW provides device and user authentication and CGW PLATFORM authorization over secure connection and CGW platform enables communication service manages entitlements for viewing content providers (Telcos/MSOs) to extend a single on one or more devices. It also provides screen service to a 3-screen service. In order fingerprinting and watermarking support for to achieve this, CGW intelligently figures protecting content across three screens. out the device constraints and dynamically CGW platform also enables ISVs renders appropriate user experience. Given to quickly develop 3-screen applications that a user can access the same content from shortening time-to-market and eliminating multiple devices, service providers might like duplication of effort, thereby reducing cost and

Web Server Consumer Devices

Application Additional Components CGW Convergence Gateway Logic XML / HTTP or SOAP Presentation Logic Configuration Adaptors for TV Files HTTP / HTTPS XML User Interface XML Transformation Logic HTML / XHTML

Logic for PC

Presentation

Business Logic

Content Security

Device Detection

User, Device and Presentation Logic Media

Presenter and Controller XML / HTTP Adaptors for Mobile Transformation Engine or SOAP

Application CGW Database Database

Figure 3: CGW Functional Architecture to Render Source: Infosys Research Existing Web Applications on to Mobiles and IPTV

35 generating revenue faster. Since personalized time as shorter images are transcoded ahead of user experience is of paramount importance, longer videos. Alternatively different slots are customization of user experience is provided allocated for different types of media. by CGW based on static and dynamic profiles of the users. ADAPTIVE APPLICATION AND FEATURE In order to provide full support of CONFIGURATION multi-screen rendering, CGW needs to support Adaptive application and feature configuration the most popular browsers, such as, Firefox, system (AAFC) provides service providers Internet Explorer, Safari and Microsoft Media with a mechanism to control configuration of room based IPTV browsers on most popular applications and their features for different platforms viz., Symbian, RIM, Mac and types of users and devices. For example, the Windows. The support for rendering is also features available to a premium customer on desirable for cable TV based standards such as TV will be different from the features of the OCAP/EBIF. same application for a non-premium customer on TV. Furthermore, the features will also MEDIA TRANSFORMATION differ between TV and mobile. AAFC system Media transcoding engine (MTE) of CGW provides this flexibility to the service provider. performs offline transcoding of content into Another vital purpose of the AAFC system is to popular media formats for three screens when provide a customized, user specific UI display content is uploaded by an application. The to the subscribers, based upon their interests, transcoded content is stored in a local cache, profiles and their usage behavior. So if some so that content in any one of the transcoded users are more interested in sports and movies, formats can be retrieved very quickly. This then their pages will be customized in such a results in better quality of experience for end way that the links related to sports and movies users. would appear at the top. This will help them MTE supports user-based transcoding to access links of their interest more easily. where users at the same subscription level are Similarly if a subscriber is more interested in given equal priority and slots are allocated in watching music videos on TV, then the music a way that the same user does not always get links would appear higher on their TV. The preference over others. same TV screen will look different for another MTE also supports subscription based user with different interest and usage behavior. transcoding where slots for transcoding are A conceptual architecture for AAFC can allocated based on the level of subscription. For be depicted using the following notation: Ai is example, premium users can be given higher an application developed for TV, mobile and web/ preference so that they have a higher quality PC and Fij is a feature available in Ai. of experience. Consider three applications A1, A2 and A3

In addition to user-based and with features F11 and F12 for A1, features F21 and subscription-based transcoding, MTE supports F22 for A2, and features F31 and F32 for A3. AAFC media-type priority-based transcoding where provides an administrative capability to map higher priority is laid on images compared to these features to premium and non-premium audio and video. This ensures better response subscribers, so that when the applications are

36 and applications from anywhere using any Start device (mobile, TV and web/PC) is growing. Also, customers are requesting seamless transfer receive configuration information related to the of content and service as they move from application and features in the application one device to another. Convergence gateway

store the configuration information platform, as described in this paper, is a unique in a central data repository solution for service providers to meet two most important requirements from the perspective of receive requests initiated by the user meeting the needs of their customers as stated above. First, it is desirable that the application store the request in the central data repository developers be able to develop their application in one go regardless of the number of devices assign a rank to user based on the requests in which they would be rendered. Second, the service providers would like to render their determine personalization information existing applications/content, typically meant for one screen (say web/PC), on multiple screens render a customized application based on the personalized and configuration information. (TV and mobile) without incurring the expense of re-writing the applications for each of the Stop other screens. As a result of deploying CGW by a service provider, consumers will be able to access their content and applications from their Figure 4: AAFC System Functioning Source: Infosys Research most convenient channel/device at a specific instant of time - PC at office, TV at home and mobile during transit. CGW can seamlessly accessed they are rendered on the respective extend application rendering on variety of devices of the respective users in accordance mobile devices and various browsers on PC and with the rules configured in AAFC. The TV. The unique ability to build once and render key module of AAFC responsible for user multiple times, across multiple screens ensures experience customization based user behavior the value for CGW platform. is ranking engine. The ranking engine analyzes the requests coming from a subscriber through REFERENCES different channels (e.g., web requests from 1. Paul, S. and Jain, M. (2008), Convergence PC and mobile, SMS requests from mobile, Gateway for a Multichannel Viewing channel browsing requests from TV, etc.) Experience, A n n u a l R e v i e w o f and determines the level of personalization Communications, Vol 61. needed for the user. The complete algorithm is 2. Television, Internet and Mobile Usage presented in Figure 4 in a flow chart. in the US. Enterprise A2/M2 Three Screen Report Vol 5, 2nd Quarter CONCLUSION 2009. Available at http://blog.nielsen. Digital convergence is happening and com/nielsenwire/wp-content/ expectation of customers to access their content uploads/2009/09/3ScreenQ209_US_

37 rpt_090209.pdf 4. Media Transcoding Datasheet. Available 3. Achterberg, G. J., (2006), Fixed Mobile at http://www.rhozet.com Internet Convergence: Technology Trends 5. XHTML™ 1.0 The Extensible Hypertext and Market Dynamics. Available at Markup Language (Second Edition) (2000). http://www.telecompaper.com/ Available at http://www.w3.org/TR/ reports/leaflets/FMI2601_info.pdf xhtml1/.

38 SETLabs Briefings VOL 8 NO 5 2010

Conceptualizing, Building and Deploying Interactive Applications for TV

By Subha Mahesh and Narayan Balasubramanian

Open development platform is a catalyst to converged customer experience

ver since it was invented, television (TV) Though there is a tremendous demand Ehas consistently been the most popular for interactive applications on TV there are medium of entertainment. A survey conducted multiple challenges in developing the same. by A. C. Nielsen indicates that an average It is not easy to migrate existing lean forward American watches more than four hours of applications to a lean back medium and there television each day, translating to nine years is also a lack of standardization in hardware of watching television in an average 65 years and software used in this area. Devices like of life [1]. While there have been tremendous set-top boxes (STBs) are available only in technological advances in the TV device and closed markets and not in retail markets. Thus, the number of channels available for viewing, service providers wish to minimize their spend the device has been left far behind in the on infrastructure. It complicates more for the digital convergence race. Digital convergence providers as they are unable to develop and enables a consumer to access voice, video, launch applications quickly. Also, the devices data through multiple networks and devices. of interactivity like the remote control are still On a personal computer, the converged primitive. The device misses out on reaching experience is far advanced and in the last few at individual levels as the medium is a shared years the mobile has also seamlessly become one compared to computers and mobiles that a means of entertainment and information are personal devices. access. In order to extend a similar seamless To address all the key concerns and and enriched experience, consumers today challenges of the device, interactive TV (iTV) wish to have digital convergence on TV as applications for multiple TV technology well and this has been enabled by interactive platforms like open cable application platform TV applications. (OCAP), enhanced TV binary interchange

39 format (EBIF) and internet protocol television consumers are more likely to go for these (IPTV) have been developed. While developing, applications as a large chunk of consumers have the research effort led to a thorough analysis already invested in this medium with home of the prospects of iTV applications. In this theatres, multiple TVs and home networking. paper a SWOT analysis of iTV applications has been presented and a view of iTV application Weakness landscape provided. The paper also provides a Consumers perceive TV to be an entertainment detailed view of implementation that facilitates device, thus a shift of perception will need a rapid development of iTV applications. some time and effort. Also, the TV segment is The SWOT analysis highlights the trend dominated by a closed community of service in the interactive TV application ecosystem. providers and related hardware/software The analysis indicates that while the strength vendors. The existing technology is restricted and opportunity in the TV interactivity space by proprietary standards and application is immense, the weaknesses and threats pose development standards are still evolving as a challenge in converting the opportunities. high cost of application development tools Nielsen’s survey indicates significant increase prove to be entry barrier. There exists low in viewership of timeshifted TV and online & bandwidth or non-existent return path where mobile video [1]. Also, there is an increase in most customers are currently provided with simultaneous usage of internet and television. low end STBs with primitive remote controls. Other popular surveys indicate an increase in number of TV viewers who would be willing Opportunity to switch to a competing service provider who Large and growing viewership across the globe provides interactive TV applications. is an opportunity to grab. Next generation of users are demanding more interactivity on SWOT ANALYSIS TV. Multiple TVs in an average household Strength is gradually making the device work like a TV offers lean back experience over lean forward personal one and viewers are keen to use experience of the PC. There is a possibility of personal applications like social networking on richer user experience in the form of better these. As the device moves to personal device quality of video and audio. In these applications segment, context-sensitive and addressable interactivity added to entertainment lends advertisements will lead to better ROI. Also, full control of the experience to the user. providing self-care on TV is sure to increase up Applications can also render information sell/cross sell opportunities and better customer contextual to the program. The trend today experience. There will also be a potential for an is towards timeshifted viewing over linear Appstore ecosystem for developers to come television viewing which leads to a possibility up with more innovative applications. Value of three screen convergence – TV, mobile and added services (VAS) are making it a revenue PC. Viewers’ adoption of existing interactive enhancer for service providers. Further, there is features like electronic program guide (EPG), an increase in reach of broadcaster to consumers video-on-demand (VOD) is high. Today, when using bound applications that broaden the high downstream bandwidth is available, opportunity in this field.

40 Threat and operators inform viewers with news PC and mobile already dominate the field of and weather updates or television program interactive applications. High quality high schedules with channels and descriptions. definition (HD) content through online channels Some instances are EPG, weather services, news accessible on PC and mobile are already service and game service. available. There are established and emerging competitive consumer devices like tablets, Interact: In this model and phase, broadcasters gaming stations, internet TV devices, etc. and viewers interact with each other by These competitive offerings lead to low or free exchanging information through a return pricing for new interactive features. Also, STBs channel. The television acts as a communication are not available in open market and service and transaction tool in addition to a source providers are dependent on original equipment of entertainment and information. For e.g., manufacturer (OEM) vendors. internet access, SMS and voting services.

DIFFERENT MODELS OF TV Transact: In this model broadcasters can INTERACTIVITY generate solid and recurring revenue streams Interactive applications for TV need to be by enabling secure transactions using the return defined to understand how interactivity channel deployed in interact model. This final operates amongst the large base of viewership. phase establishes a complete development There are different models of interactivity that infrastructure. For e.g., T-commerce, video-on- can be implemented in phases [Fig. 1]. demand, etc.

Inform: This model or the first phase does VIDEO AND APPLICATION LANDSCAPE not require a return channel and can be To make interactive applications available, implemented with minimal investment as channels need to be identified to reach the interactivity happens at STB. Broadcasters right audience. There are four key categories of

Multi Service Inform Set Top Box Operator Television EPG, Weather Services, News Services, Game Headend Services, etc. Client Side

Multi Service Set Top Box Operator Television Interact Internet Access, SMS, Voting Services, etc. Headend Client Side

Bank Interact Transact Multi Service Set Top Box Television Transact Authentication Operator and Banking Server Headend Transact Client Side T. Commerce, Third Party Services Video-on-Demand, etc.

Figure 1: Different types of Television Interactivity Source: BES Expo Conference [2]

41 Video Flow Application Flow

Creation and Distribution Carriers Consumers

Broadcasters Studios Cable Home and Networks

Advertising Direct Advertisers Office Agencies Broadcast Satellite

Retailers/ Telco Hospitality Manufacturers/ Services

Vendors/Partners Hardware/ Application Software Vendors Developers

Figure 2: Video and Application Landscape for Television Source: Infosys Research

players comprising the interactive TV landscape applications such as interactive content like [Fig. 2]. Video on TV uses only the downstream choosing different viewing angles while path, while interactive applications need a two- watching games, choosing different storylines way path and facilitate interactions with other of a movie and so on and bound applications like players as well. request for information (RFI) ads (interactive advertisements embedded in the ad video), Creation and Distribution impulse-buy options and context-sensitive There are multiple players involved in creation applications. of content and studios have traditionally been the creators of video. Broadcasters and networks Carriers license the content from studios and distribute While over-the-air broadcast still exists, them using their channels. Advertising is primary providers of connectivity are cable, another major form of content. Advertising DBS (DTH) and Telco. Traditionally, they agencies function as an intermediary between have supplied only video from the studios or advertisers, studios and broadcasters. Retailers, broadcasters. iTV applications are proving to be manufacturers and other service providers such a key differentiator by providing interactivity as as email providers, social networking sites, etc., value added services to the consumers. Apart also reach out to the consumers through iTV from bound, context-sensitive applications, applications. Traditionally, this segment could they also provide applications such as unbound reach end-consumers only through the carriers. applications that are not bound to the channel Interactivity enables this segment to reach and continue to remain in context even when out directly to their consumers via innovative the channel is changed, for instance, caller-id,

42 tickers, alerts, e-mail, social networking, etc. is needed to formulate and drive standards Full screen applications are those that take up adoption. In US, the cable industry has taken a dedicated channel. This has an advantage of a lead with Cablelabs in defining standards complete channel bandwidth. Most existing iTV such as EBIF and OCAP. STB cost can only be applications are full-screen like, media sharing controlled by making it a retail device. applications. It is also important to plan pilot rollouts Even when there are tempting benefits, of intuitive and popular applications followed there are challenges faced by carriers too. by large scale commercial rollouts. Service Consumers would not like to pay more for providers can use their triple-play infrastructure STB. Since STB is not available in retail, its to provide cross-platform and converged cost is not dictated by market forces and is services. controlled by a closed group of vendors. Also, as TV has predominantly been a broadcast Consumers medium, the two-way return is not stabilized. Customers for video content include residential Current infrastructure does not support high and other segments such as businesses/offices bandwidth requirements of the return path. and hospitality. The consumers face a lot of In most providers, the return path is a shared challenges too. End-consumers may not want to medium and thus more investment in security pay for hygiene applications and/or complete infrastructure is needed. Current consumers package. Using an interactive application on are not willing to pay for simple interactive TV may not be very easy with the traditional applications, since they are considered hygiene remote control. Since TV is a shared device, factors now. There is a multitude of proprietary the consumer might feel an inhibition or standards already deployed in the markets. It have security concerns in accessing personal is difficult to get a common, open standard applications. Also, end consumers would like adopted by all due to infrastructure changes to have a variety of iTV applications from which needed. Hence, multiple sets of interactive they have the option to choose. applications get created to cater to all customer There are some solutions to the segments, leading to increased cost. Carriers challenges faced by consumers. They need are also challenged to get the applications to provide a storefront interface where the developed and rolled out fast to the market. end user chooses only applications of need The challenges discussed in the previous and pay based on usage with an easy mode section have some solutions too. All carriers are of payment. User-friendly user interface trying to enhance bandwidth on the return path. (UI) with minimal text entry and usage of Cable TV providers have their data over cable shortcut keys, easy installation of applications, service interface specification (DOCSIS) enabled localization in terms of language and relevance integrated cable return path platform. Satellite of applications are ways to overcome the TV providers use regular telephone lines and mentioned challenges. Further ease can be broadband as return path. IPTV providers also provided through personalization where use fiber and the digital subscriber line (DSL) as user profiles are setup to access personal data the return path. A common forum of hardware/ with secure pin protection ensuring network, software manufacturers and service providers application and data level security.

43 Vendors/Partners faced by various stakeholders in the interactive Suppliers of hardware equipment and software television landscape. Now, we provide a are improving their products to facilitate iTV detailed view of our implementation that applications. Application developers and incorporates the solutions listed. Carriers independent software vendors have a huge benefit by a robust architecture and streamlined opportunity to develop innovative applications. process for faster iTV application development. Challenges faced by vendors include This would help them with faster time-to- many issues. One such issue is of proprietary market. The implementation provides a hardware and software. Irrespective of the mechanism for faster development and rollout device, most of the vendors work on proprietary of applications and also an interface for retailing hardware and software. There is a constant applications. Application developers benefit by pressure from service providers to keep the a standard developer kit, processes and tools cost of STB devices low. Thus, the vendors are for faster development. forced to optimize the processing power and Considering the different aspects memory that they deploy on the hardware. described in earlier sections a representative Apart from the consumer end devices, there is n-tier architecture for iTV applications is being head-end equipment that has not undergone presented as shown in Figure 3. standardization as well. Even though equipment complies with DVB standards, one vendor’s Technology equipment does not easily interoperate with The technology or architecture that is adopted another. Limited access to developer hardware/ for the implementation includes - software for application developers is yet another challenge that needs to be addressed. STB Client: This has multiple layers - OS, native Solutions for some of the challenges layer and middleware. The middleware can be faced by vendors/partners can be in the form proprietary or based on open standards. An of steps like standardization. There has been open-standard middleware in the client stack is standardization in hardware via the DVB set advantageous, since the application developer of standards. In middleware, there has been an need not worry about the lower layers and attempt at standardization (MHP, OCAP), but needs to develop the application only once. large scale rollouts have not happened since This implementation provides a they need better STB hardware. Most of the STBs container that resides on the middleware in the field still rely on proprietary middleware. and functions as a controller for multiple Standards bodies (like Cablelabs) need to client applications. The client applications are address interoperability standards. Regulation simplified and componentized. A manager to enforce standards is also important. The application resides on the STB that ensures that proposed approach also provides developer the applications are loaded only on demand kit, process and tools for faster development. and also removes applications when not in use. A client monitoring application monitors ITV APPLICATION DEVELOPMENT – AN all client-side parameters and acts when IMPLEMENTATION threshold values are reached. The interactions The previous section outlined the challenges between client and server are made light

44 STB Client

Application

Database Middleware Business Data Access Presentation Logic Layer

Native Layer External Systems Hardware and OS

Figure 3: Representative Architecture for an Interactive Source: Infosys Experience TV Application

by providing multiple levels of caching and ■ Logging and Tracking: System and optimal utilization of the upstream bandwidth application status logging. Track taken care of. Applications have the ability application usage metrics. to maintain their context so that they can be minimized and the user can switch between the ■ Monitoring and Fault Management: System TV program and applications. and application health monitoring. Raise alarms and send alerts. Server Side Architecture: The client is backed up by a scalable and robust platform. The ■ Reporting: Provide usage reports, interface to the client is provided in the form of infrastructure reports and fault reports. servlets and web services. The application logic involves service creation and orchestration in Application Development Stages the platform. The platform also provides: PC and mobile environments have had an explosion of applications due to the large scale ■ Authentication and Authorization: participation of the developer community and Authenticate users, associate services easy availability of well established development to applications, integrate with product tools. iTV application development needs a catalog system and enable entitled similar ecosystem. applications. At present, it is difficult for a new iTV application developer to obtain development ■ C a c h i n g : Cache support for all tools due to a closed community. The high applications with dynamic cache update cost of these development tools remains an and refresh feature. entry barrier for large scale participation of developers. This implementation defines a ■ Security: Provide transport, network and developer software development kit (SDK) for application level security. development and testing of new applications.

45 The SDK provides APIs for both the client side ■ Step 4 - involves pre-deployment validation and the server side components. Figure 4 depicts of the application in a production-like the stages in iTV application development and environment using a production STB. the hardware, software and tools required in each stage. Steps 1 and 2 will be done by the iTV application developer, while steps 3 and 4 ■ Step 1 - involves complete development would be done at the application platform of application by the developer. This provider or service provider’s facilities. includes stages from requirements definition, design and development. Best Practices for Application Development Application development standards and ■ Step 2 - involves testing of application guidelines are still evolving for interactive by the developer in his PC based television applications. Some best practices are environment, using a simulator. shared here.

■ Step 3 - involves validation of the User Experience: Since television is primarily a application in an actual developer STB, lean-back medium, applications should not affect mostly available with the platform the program viewing experience. In general, the provider or service provider. following primary UI styles are used:

Step 1 – Application Development

PC Environment – Editor, Compiler, Simulator, Application Developer Debugger, Middleware SDK, Service Provider SDK

Step 2 – Application Testing

PC Environment – Standard and Application Developer Application Test Plans, Test Tools

Step 3 – Application Validation Developer STB Environment – Application Application Platform / Service Provider Load Tools, Standard and Application Test Plans, Test Tools and Equipement

Step 4 – Pre-deployment Validation

Production-like Environment – Headend Equipment, Application Platform / Service Provider Application Streaming Tools, Validation Plans, Test Tools

Figure 4: iTV Application Development Lifecycle Source: Infosys Experience

46 ■ Overlay – this includes caller-id, SMS, ■ Scalability – Architecture should handle alerts, chat, voicemail, call logs, tickers, horizontal and vertical scalability. advertisements, social networking, etc. ■ Availability – These are expected to be ■ Scaled Down Video – this includes available 100% of the time. telescoping advertisements, email, self care, T-commerce. Remote Control Interfaces: One of the key barriers to large scale adoption of interactive ■ Full Screen - Media sharing/viewing, applications is the remote control device itself. classifieds While remote controls themselves have evolved to provide more functions, navigating using UI Standards and Guidelines: A good set of UI the standard remote control buttons is not very standards and guidelines includes instructions user friendly. on safe colors to be used and safe television area. This implementation provides intuitive Guidelines for intuitive navigation and short virtual on-screen keyboards for all text/data keys, consistency and intuitiveness of screens entry fields. A plan for a custom physical remote and minimum number of UI controls should control including a full QWERTY keyboard is also be in place. The guideline should provide in the offing. This implementation also uses a localization and style sheets and encourage use mobile phone as a remote control especially for of wizards as much as possible. text/data entry fields.

STB & Headend Related Performance Challenges: CONCLUSION Application developers need to be cognizant Digital convergence in television is at an of deployment environment limitations and inflexion point. We believe that the environment develop applications addressing the following is ripe for rapid adoption of converged aspects - interactive applications on TV. Most of the players involved in this ecosystem need ■ Memory – Both program size and run- to launch interactive applications for their time memory usage has to be kept low. survival and growth. We feel that the race is There is very little non-volatile random between service providers and over-the-top access memory (NVRAM) available vendors to rapidly increase the interactive for persistent storage. Smaller client content available for consumers. Service applications and mechanism to load providers have an inherent advantage that applications on-demand are needed. their interactive offerings can be relevant to the programming content. Over-the-top vendors ■ CPU utilization – Use threading optimally have greater flexibility since they do not have to share the CPU time. to worry about backward compatibility or installed infrastructure. To facilitate speedy ■ Less Upstream Bandwidth – Optimal time-to-market, implementations should client server request-responses and provide a standard architecture, processes caching. and SDK. A roadmap towards a complete

47 AppStore ecosystem would go a long way in Industry, Infosys paper presented at BES spurring innovation and rapid launch of these Expo Conference 2009 applications. 3. Ciciora, W., Farmer, J., Large, D. and Adams, M. (2003), Modern Cable REFERENCES Television Technology, 2nd Edition, 1. Television, Internet and Mobile Usage Morgan Kaufmann in the US. Enterprise A2/M2 Three 4. DVB Standards. Available at http:// Screen Report, Vol 5, 2nd Quarter www.dvb.org 2009. Available at http://blog.nielsen. 5. Interactive TV today. Available at com/nielsenwire/wp-content/ http://www.itvt.com uploads/2009/09/3ScreenQ209_US_ 6. Cablelabs. Available at http://www. rpt_090209.pdf cablelabs.com 2. Chelliah, R. and Muthuswamy, B. (2009), 7. Interactive TV Web. Available at http:// An Insight into Interactive TV in Cable www.interactivetvweb.org.

48 SETLabs Briefings VOL 8 NO 5 2010

Converged Digital Devices and Strategies for Hi-Tech Companies

By Ajit Mhaiskar and Sriram Kasthuri

A little innovation and thought can help a hi-tech firm lead the race

oes your cell phone act as your camera, Several game-changing digital Dmusic player and audio/video recorder? consumer devices and related services have Do you browse the internet on your IP TV? been launched in the last decade by various Are you streaming a movie on your handheld hi-tech companies [Fig. 1]. Manufacturers device? Surely, we are in an age where we have plugged in intelligent features to these are witnessing a complete change in the devices to make them smart devices. Features way we use our personal gadgets. The most powerful like processors, attractive interface rapidly changing industry that caters to the and huge storage space amongst many others gadget needs of corporate customers and characterize such smart devices. Adoption individuals is the hi-tech industry. Devices of these smart consumer devices has been very that had individual functions are increasingly rapid across the world and is bringing about merging into a single device to provide ease massive changes in the way we live today. The and continuous connectivity to users on the magnitude and pace of change is akin to the move, across the world. one brought about by a tidal wave. We believe The driving force behind convergence that rapid innovation in digital consumer in digital consumer devices is the thought devices will continue to happen over the next process of converging computing devices and decade with smart connected devices powered digital media. This will maximize technology by the pervasive internet. Importance of the value to the end users while lowering the opportunity in converged consumer devices overhead required for maintaining and can be gauged from a few trends seen in the combining different technologies. Owing market. For e.g., to this convergence, the difference between primary and secondary functionality of ■ Some estimates say that by 2013 there digital consumer device is beginning to will be a $93 billion market for linking blur [1]. gadgets to wireless networks [2]

49 ■ Apple had blockbuster sale of iPods and while Microsoft’s success has largely iPhones even in a highly recessionary been in the enterprise segment. market [3] CONVERGED DIGITAL CONSUMER ■ BlackBerry, dominant in the enterprise DEVICES: KEY CHALLENGES market, introduced smart phones The world of digital converged consumer targeted at the consumer market to devices is witnessing a phenomenal opportunity produce record breaking results in a as well as fierce competition. Several new recessionary market [4] players have caused disruptive changes over the last decade. Apple and Google entered the smart ■ Nokia continued its dominance over phone market taking on deeply entrenched the low and medium end smart phone players like Nokia, Motorola, Palm, Microsoft market with increased profits [5] and Research In Motion (RIM). Relatively new entrants from Asia like Samsung, HTC, Acer ■ Apple’s newly launched iPad sold more and LG have become major players in the design than two million units in less than two and manufacture of digital consumer devices, months [6] taking on entrenched players like Sony, Philips, etc. Similarly, Apple has made a foray into the ■ The increasing focus on consumer segment TV market with Apple TV and Google has also manifested in Apple surpassing Microsoft put together plans for this market. in market capitalization recently [7] There are also several recent stories where highly respected companies have ■ Over the last decade, Apple has had struggled to capture mindshare in the digital spectacular success in consumer segment devices market.

Launch of Sony PS2 Launch of Launch of Pulse Digital Audio Radio SlingBox Smartpen, OLED TV

Launch of Sony PS3, Launch of Google Launch of BlackBerry Nintendo Wii, NexusOne, Apple iPad Smart Phone Nike+ Sports kit Apple BookStore

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Launch of Apple iTunes, Launch of Apple iPhone, HD Radio, Blu-Ray DVD, AppStore, Amazon Kindle, HDTV PVR Google Android

Launch of Apple iPod, Launch of Xbox 360, Launch of Google Voice, Plasma TV IP TV, MotorolaRazr Palm Pre, Zune HD, Motorola Droid

Figure 1: Major Digital Consumer Devices and Related Source: Infosys Research Services Launched Over the Last Decade

50 Sales of Google’s NexusOne, dubbed on providing differentiated customer as the best Android-based smartphone in the service to retain loyalty. market were slow [8]. With sales of the DS and Wii gaming platforms taking a hit in a ■ Sustainability Related Challenges: recessionary market, Nintendo reported a 23 There is an increased sustainability percent erosion of its profit [9]. Sony, once a focus worldwide resulting in the need high performer in the digital consumer market, to build environment-friendly hi-tech is struggling to regain lost glory. By closing 18% products and adopt practices that focus of its manufacturing facilities and cutting 20,000 on conservation of resources, prevention jobs worldwide, Sony finally posted a profit in of pollution and adherence to applicable 2010 [10]. Palm slashed its earnings guidance regulations. owing to slower than expected adoption of its products [11]. Subsequently, Palm has been ■ Challenges Posed by Emerging acquired by HP. Markets: Per-capita income in the This paper lists and discusses the emerging market is very small and there challenges that hi-tech companies are grappling is a demand for consumer devices with with in the consumer digital devices space. rich functionality at significantly low Some of them are listed below. price points. In addition to this, there are challenges related to infrastructure ■ Significant Risk of Product Failure: availability primarily in the areas of Consumers are hankering for new, energy, logistics and manufacturing. innovative products that are game- Serving the emerging markets profitably changers in their category and not requires a strategy re-think. just incremental upgrades to existing products. However, introducing new To address these challenges, hi-tech products is fraught with significant companies should make investments that risks wherein new product launches enable stronger innovation, faster time-to- have a very small time window to gain market, improved operations, adoption of mindshare and about one-third to one- sustainable practices and improved customer half of new product introductions fail in service. Table 1 shows the key challenges for the market [12]. hi-tech companies and strategies they can adopt to respond to these challenges. ■ Supply Chain Challenges: Mass customization of products and need ADDRESS CHALLENGES: BUILD GAME- for quick time-to-market due to intense CHANGING PRODUCTS competition is leading to significant Recent times have seen a sharp increase in production and supply chain challenges. competition in the digital consumer devices space and the era of stable product portfolios ■ Customer Service Challenges: In that keep evolving incrementally is clearly over. addition to launching game-changing Hi-tech companies have to simultaneously devices, hi-tech companies have to focus respond to competition, changing market

51 Challenge Strategy concept to market. However, for most hi-tech Building successful Co-creation, industrial companies the ability to innovate constantly game‑changing product design focus and rapidly is diminishing. It is in this context that hi-tech companies should keep a few things Reduce time-to-market, Global sourcing, supply improve operations chain initiatives in mind while planning new products. They need to focus on co-creation of products in Customer service Focus on customer co-operation with customers and partners and management experience, improve operations ensure a strong focus on industrial design with

Building safe, sustainable Robust processes and best the right operational support. products and processes practices

Faster Innovation through Co-creation Succeeding in emerging Competitive cost markets structures, reverse Infosys defines innovation as not just the innovation eureka moment but executing on that moment Table 2: Addressing Key Challenges Faced by Hi-tech with a series of supporting innovations across Companies processes and technologies [13]. In the past, Source: Infosys Research innovation in hi-tech companies was primarily confined to silos within the enterprise and took conditions and customer demand. Successful long cycle times. In the eighties and nineties, companies have relied on rapid innovation and companies like Sony innovated deep within quick time-to-market to launch game-changing the enterprise bringing out game-changing products. consumer products. Since the year 2000, However, innovative products and competition has become much stiffer and features are quickly replicated by fast followers, customers are demanding newer products with leading to the need for new innovation and greater customization. To build game-changing quicker time-to-market. Recently, there has products that consumers are waiting for, there is been a flurry of lawsuits by hi-tech companies a need to move towards sustaining innovation fighting hard to protect innovations and across enterprise boundaries. Co-creation with preserve the head-start gained over competition. partners and customers for launching new Nokia sued Apple over patent infringements. products or evolving existing ones will provide Apple counter-sued Nokia with its own patent hi-tech companies a distinct competitive edge. infringement claims. Apple also sued HTC Figure 2 shows how co-creation of products can for infringing multiple iPhone patents. In help achieve faster innovation. yet another incident a federal court upheld a judgment citing infringement of TiVo’s patents Innovation through Co-Creation: Success Stories and awarded significant damages to TiVo. Dell engages with communities on Facebook Many companies are looking at new and uses its website (Ideastorm) to enable a products for greater percentage of overall collective design approach [14]. revenue and some companies are targeting Nokia had an interesting initiative called revenues as high as 30 percent from new Concept Lounge where designers were invited products [12]. The only way to achieve this is to to share their ideas and design for the next speed up the process of product evolution from trendy mobile phone. The concept of the Wrist

52 investments. In 2008, HTC acquired One & Co., Customer expectations rise with each new innovation in the market and the company a San Francisco-based industrial design firm struggles to stay ahead of expectations. that has created products for Nike, Apple and Dell, among others [16]. Industrial design focus is absolutely critical for hi-tech companies and the product has to be aesthetic and pleasing in addition to meeting customer requirements. Company Innovation Cycles Innovation cycle is long, and time-to-market can be slow However, hi-tech companies should not Customer Expectations overlook the operational aspects while designing their products and should take into account Customer Co-creation the considerations related to manufacturing, Companies can no longer afford to fall below the line sourcing, support and maintenance, and of customer expectations. So they speed innovation cycles packaging and distribution. It is necessary and get customers involved. to break down barriers between product development and supply chain management teams so that they can work together. To

Company Innovation Cycles achieve synergy between the engineering and

Customer Expectations manufacturing arms of the organization hi-tech companies should put together organization Figure 2: Faster Innovation through Co-creation [13] Source: Infosys Research structures that support collaboration. One way to approach this is through setting up of councils.

Band Style Nokia 888 phone, which is yet to be Industrial Design: Success Story launched, was the winning entry [14]. Apple’s iconic products like the original iMac, More than 35% of the company’s iPod, iMac G4 and iPhone have all had cutting- innovations and billions of dollars in revenue are edge paradigm-shifting industrial design. generated from Procter and Gamble’s strategy of Jonathan Ive, Apple’s senior vice president of open innovation with customers and partners[15]. industrial design, was awarded the National Mattel reduced development time by Design Association’s 2007 award for Product 20% by connecting its designers directly with Design. The selection panel honored him for factories [15]. bringing design into the public consciousness in an unprecedented way by creating some of Strong Industrial Design Focus with Right the most innovative products ranging from Operational Support the iMac and iBook to the iPod and for making Most of the game-changing consumer devices complex technological devices user-friendly, over the last decade like iPod and iPhone have sculptured and highly desirable objects [17]. had excellent industrial design. Apple has been famous for having best-in-class industrial design Reduce Time-to-Market and Improve for all its consumer products. New players like Operations HTC have already realized the importance of Hi-tech companies can reduce time-to-market industrial design and are making significant through global sourcing. The focus should be

53 on designing and producing products where it Supply chain execution 36% is most cost effective and selling them where system implementation it is most profitable. Hi-tech companies can Business intelligence reporting and analytics 35% collaborate with outsourcing partners in Supply chain planning product design, engineering and manufacturing system implementation 32% activities to reduce time-to-market significantly. Internal supply chain / data integration 31% Figure 3 shows various levels of global sourcing Transaction system maturity that can be achieved for collaborative collaboration projects 31% with partners device design and engineering activities in an ERP system 30% outsourced model [18]. implementation While achieving higher levels of sourcing Master data management maintenance processes 30% maturity, hi-tech companies should also focus Supply chain portals on improving operations by using information (internal and external) 29% to its full capacity. External supply chain data integration 26% Hi-tech companies should build IT (multi-enterprise visibility) Unstructured collaboration systems and supply chain networks that help capabilities with supply 21% chain partners manage operations using information on a real Key Performance Indicator 16% time basis and monitoring operations globally. dashboards

Figure 4 shows the top supply chain initiatives Figure 4: Top Supply Chain Improvement Initiatives that that hi-tech companies are driving to improve Hi-tech Companies are Driving Source: Infosys/Microsoft High-Tech Manufacturing operations. Supply Chain Survey 2009 – KRC Research [19]

Improved Operations: Success Story A consumer electronics company increased invoice verification and payment collection. It working capital efficiency and collected also helped reduce associated costs and avoided inventory payment faster by integrating its incorrect charge backs thereby leading to higher systems with Walmart’s Retail Link™ system. working capital efficiencies [12]. This helped achieve significant improvements A hi-tech OEM client accelerated the in the processes like invoice reconciliation, order cycle and cut costs by 50% through a comprehensive solution that improved effectiveness and lowered costs. Average

Level-3: Partnering to productivity increased by 10-15% across drive the D&E agenda multiple order processes. The order cycle was Level-2: D&E ownership + enhanced product operations reduced by 25% releasing up to US $30 million (process and technologies) in working capital and a 50% reduction in

Level-1: Engineering annual business process costs [12]. smarts for product design and engineering

$ Impact (Revenue, Costs, ROI) Customer Service Management Scope of Outsourcing Partner Role Developing greater customer intimacy can help Figure 3: Global Sourcing Stages of Maturity for Product digital consumer device manufacturers provide Design and Engineering [18] Source: Infosys Research differentiated customer experience as well as

54 stimulate device adoption and customer loyalty. integrated with products being sold. For An effective customer service setup should instance, a combination of Apple iPod leverage a wide range of channels and knowledge (product) and iTunes (allied service). management technologies to empower both customer-support agents and customers. Today’s ■ Metrics based tracking to encourage customers are very well informed and have right employee behavior with focus on plenty of public avenues like personal blogs, improving customer satisfaction ratings. Twitter or social forums to vent their frustration with product vendors. An example of this ■ Closed-loop feedback process to help the phenomenon is Google getting panned in various product team incorporate changes based internet posts for poor customer support for on customer feedback. Nexus One [20]. Managing digital reputation is critical for device manufacturers. ■ Product quality early warning system to To provide differentiated customer identify issues early by analyzing service service and gain loyalty, hi-tech companies delivery and product repair data and should make investments in areas like – offer timely solutions to customers [22].

■ 24/7 customer support capabilities In addition to providing differentiated through multiple channels with uniform customer service, there is also a need to experience – web, voice, self-service reduce associated costs. To reduce customer channels, etc. Reinforce the brand value service costs, hi-tech companies can look at the with every customer interaction. Go the following solutions. extra mile to create additional touch points with the customer. ■ Improved Service Cost Management: Hi-tech companies can reduce service ■ Highly personalized and innovative cost by minimizing revenue leakage due services to customers. For instance, to poor service entitlement management Apple opened its own stores and and malpractices by service providers. introduced Genius Bars within the Costs can be managed further through store to provide personalized technical metrics based analysis of service delivery support to customers. performance and financial performance.

■ Creating a strong digital experience. ■ Collaborative Service Networks: A 97% of consumers say their digital flexible process and system infrastructure experience influenced their buying to better utilize service value chains by decision, whether or not they eventually increasing the speed and accuracy of purchased a product or service from that service transactions, close monitoring brand [21]. of service network performance and capacity consumption, and adopting a ■ Offering connected services aligned with flexible approach to service partner on- customer lifestyles and seamless services boarding [22].

55 Improved Customer Experience: Success Story Hi-tech companies should adopt robust A major telecom service provider broke the processes and best practices to build sustainable value curve by helping reduce customer calls products and processes that meet regulatory by 5000 through process reengineering and needs and are safe for consumers. Figure 6 customer education [23]. shows a green product lifecycle management (PLM) framework that can aid hi-tech companies Building Safe, Sustainable Products and in achieving this [25]. Processes In addition to sustainability requirements, One of the major ill-effects of globalization and hi-tech device manufacturers also have to development has been the rapid deterioration consider international product safety guidelines of the environment over the last fifty years or given by bodies like International Commission so. Hi-tech products have contributed partly on Non-Ionizing Radiation Protection (ICNIRP), to this through dangerous components and the Federal Communications Commission (FCC), rest had been undone by raw materials making UK Health Protection Agency, The International their way into landfills and groundwater Commission for Electromagnetic Safety. basins. Restriction on the Use of Certain Sustainability: Success Stories Hazardous Substances (RoHS) and Waste AMR sustainability award was won by Dell in Electrical and Electronic Equipment (WEEE) 2009. The company won the award for striving are directives that necessitate manufacturers, to incorporate sustainability into every bit of OEMs and related businesses to bear the costs of their business and operations. Dell integrated collecting, recycling and redesigning regulated materials. The cost of non-compliance can be far greater than the compliance cost. Owing to this, the traditional cradle-to-grave approach Reuse Low Energy Process used for hi-tech products has now evolved Alternative Techniques t n M into a cradle-re-cradle approach, as shown in e a m Design / Logistics t n Reduce e Figure 5. In this approach not every product o Produce r r i i Recycle Weight / a v Reprocess Volume l component can be put back into a new life cycle n

E Materials Low Energy Redesign, Packaging and hence has to be disposed in a responsible Rethink Efficient Logistics manner [24]. Concept End of Life

Re-manufacture Cleanse Material Direct Reuse

Cradle Green Governing Factors

Cradle “Re” Framework Principle Produce products using green compliant materials Grave which require less energy and have significantly Refine, Reuse low impact on environment Redesign, Retrofit Repair, etc. Figure 6: Green Product Lifecycle Management Figure 5: Product Lifecycle Approach Framework [25] Source: Infosys Research Source: : Infosys Research

56 design for environment into its products, highly competitive cost structures to offer rich services and operations and accounted for end- functional consumer devices at significantly low of-life products. AMR also mentions that over price points. Multinational hi-tech companies the past twelve months, Dell has succeeded in also need to build differentiated product being the first operational carbon-neutral high- offerings for emerging markets and simply tech company [26]. selling products designed for developed Nokia India launched its ‘Take-Back’ markets will not help. To compete effectively awareness campaign in 2009 in select Indian with well-entrenched local giants and to open cities to educate mobile phone users about up new customer segments in developed the importance of recycling e-waste. As part markets, multinational corporations can look at of this, Nokia encouraged disposition of used reverse innovation, that would mean developing handsets, regardless of the brand, at any of the products in emerging economies like India or recycling bins set up at their stores, dealerships China or Brazil and then selling them globally. and service centers. An overwhelming response Companies like GE are making significant to this campaign resulted in a collection of over investments in reverse innovation to create 3 tons of e-waste in just 45 days [27]. winning solutions for the emerging markets [28].

Focusing on innovative ways to succeed in emerging markets is required to sustain in the race

SUCCEEDING IN EMERGING MARKETS As per-capita income is low in the Despite the financial volatility and crisis that developing world, conditions are ripe for engulfed the world, emerging markets like innovations that offer good quality at a lower China, India, Brazil and Russia have been price, something like a 50% solution at a 5% relatively unscathed and have witnessed price. At the outset, the 50% solution may tremendous economic growth in the past be unattractive in developed countries but decade. At the same time, growth in developed eventually, performance will rise to the point countries in America and Europe is slowing where it is attractive in developed countries down. Consequently, emerging economies as well. To achieve reverse innovation, right are attracting large investments from hi- organization model with appropriate governance tech companies in manufacturing, services, and investment will have to be set up [28]. innovation and building market share for products. CONCLUSION To gain market share in emerging The converged digital consumer devices economies, device manufacturers have to build tidal wave will continue to create disruption

57 well into the next decade with abundant www.engadget.com/2009/12/18/ opportunity and fierce competition. Hi-tech blackberry-shipments-break-record-in- companies should embrace collaborative q3-rim-profits-jump-59-per/ innovation to build best-in-class products 5. Nokia Surprises With Mammoth 126.9m with right cost structures and remain globally Units Shipped and Profits Increase competitive. They should also focus on (2010). Available at http://gizmodo. building excellent customer experiences and com/5458595/nokia-surprises-with- highly efficient supply chains. Finally, hi- mammoth-1269m-units-shipped-and- tech companies should provide differentiated profits-increase offerings in emerging markets to gain from 6. Apple Sells Two Million iPads in Less the huge consumer base, albeit, with low Than 60 Days (2010). http://www.apple. per-capita incomes. com/pr/library/2010/05/31ipad.html 7. Apple Overtakes Microsoft in Market REFERENCES Capitalization (2010). Available at 1. Murphy, J., Kjeldskov, J., Howard, S., http://www.businessweek.com/ Graeme, S. and Hartnell-Young, E. news/2010-05-26/apple-overtakes- (2005), The Converged Appliance: “I love microsoft-in-market-capitalization- it... but I hate it,” Proceedings of the 19th update3-.html Conference of the Computer-human 8. Nexus One Sales Continue to Lag: Just Interaction Special Interest group 80,000 in First Month. Available at (CHISIG) of Australia on Computer- http://gizmodo.com/5465326/nexus- human Interaction: Citizens Online: one-sales-continue-to-lag-just-80000- Considerations for Today and the in-first-month Future, Vol 122, Canberra, Australia. 9. Nintendo Q3 Report: 23 Percent Profit Available at http://portal.acm.org/ Loss. Available at http://gizmodo. citation.cfm?id=1108416 com/5458567/nintendo-q3-report-23- 2. Crockett, R. O. (2009), AT&T’s Designs for percent-profit-loss the Wireless Market. Available at http:// 10. Sony Returns to Profitability as www.businessweek.com/magazine/ Core Electronics Business Struggles. content/09_28/b4139064361012. Available at http://www.engadget. htm?chan=magazine+channel_ com/2010/02/04/sony-returns-to- top+stories profitability-as-core-electronics- 3. Apple’s Blockbuster Quarter Includes business-strug/ 8.7 Million iPhones and 21 Million iPods 11. Palm Slashes Guidance, Stock Sold. Available at http://gizmodo. Tanks. Available at http://www. com/5456612/apples-blockbuster- businessinsider.com/palm-slashes- quarter-includes-87-million-iphones- guidance-2010-2 and-21-million-ipods-sold 12. Murphy, J. V. (2008), W h a t a 4. Savov, V. (2009), BlackBerry Shipments Bright Idea: Innovation Stems from Break Record in Q3, RIM Profits Jump Convergence of Design, Supply Chain 59 Percent. Available at http:// Excellence. Available at http://www.

58 supplychainbrain.com/content/ InfosysMicrosoftHigh- headline-news/single-article/article/ TechSupplyChainSurvey2009.pdf what-a-bright-idea-innovation-stems- 20. Infosys and Microsoft launch Supply from-convergence-of-design-supply- Chain Visibility and Collaboration chain-excellence/ Solution. Available at http://www. 13. Winning in the Flat World, Infosys infosys.com/microsoft/supply-chain- Annual Report (2007). Available at visibility/Pages/index.aspx http://www.infosys.com/investors/ 21. Razorfish Digital Brand Experience reports-filings/annual-report/annual/ Report 2009. Available at http://feed. Documents/Infosys-AR-07.pdf razorfish.com/downloads/Razorfish_ 14. Innovation through Collaboration: FEED09.pdf Addressing Flat World Challenges in the 22. Integrated Customer Service Hi-Tech Industry. Available at http:// Management (ICSM). Available at infosysblogs.com/oracle/2008/11/ http://www.infosys.com/offerings/ innovation_through_collaborati.html industries/manufacturing/industry- 15. What is Faster Innovation? (2008). offerings/Pages/customer-service. Available at http://www.infosys.com/ aspx flat-world/business/why-think-flat/ 23. BPO Services for the High Tech Pages/whatis-faster-innovation.aspx Industry. Available at http://www. 16. Ganapati, P. (2009), Strapped to Android, infosys.com/offerings/BPO-services/ HTC Takes a Dizzying Ride to the Top. Documents/BPO-Services.pdf Available at http://www.wired.com/ 24. Singh, J. and Kansupada, H. (2009) gadgetlab/2009/12/android-htc- GreenPLM - Not just another database profile/ solution …! (Series 2 of 2). Available at 17. Jonathan Ive Wins NDA Design http://www.infosys.com/offerings/ Award (2007). Available at http:// industries/consumer-packaged- www.macobserver.com/tmo/article/ goods/white-papers/Documents/ Jonathan_Ive_Wins_NDA_Design_ green-product-development.pdf Award/ 25. Singh, J. and Kansupada, H. (2009), 18. Bhatia, A. and Dey, R. (2007), GreenPLM - Going Green the PLM Way Globalization of Product Development: (Series 1 of 2). Available at http://www. The Inevitable Next Stage. Available infosys.com/offerings/industries/ at http://www.infosys.com/global- consumer-packaged-goods/white- sourcing/white-papers/Documents/ papers/Documents/green-PLM.pdf globalization-product-development- 26. Dell, HP, Better Place, Tririga Earn part1.pdf Sustainability Awards. Available at 19. Hi-Tech Manufacturing Supply http://www.environmentalleader. chain Survey (2009). Available at com/2009/05/29/dell-hp-better- http://download.microsoft.com/ place-and-tririga-earn-sustainable- download/7/4/3/7438FC0B- leadership-awards/ 0D95-4107-AF73-480D1D3F0EAE/ 27. Take-back and Recycling Awareness

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60 SETLabs Briefings VOL 8 NO 5 2010

Content Protection and DRM for Media Mobility

By Hari Venkatram Pedaprolu

A robust DRM framework is just what the consumer electronics sector needs now

cquiring, managing and using digital and frameworks for media transfer and Amedia on multiple consumer devices sharing and compares the interoperable DRM has become a regular phenomenon today. frameworks - Coral and Marlin. Carrying and transferring data, business Today, a consumer is able to watch and entertainment files from one device to high quality videos on personal computers another effortlessly has become a common and and on smartphones while on the go. 3G/4G mundane activity in today’s world. The success technologies for macro networks and Wi-Fi N of iPod as a portable media player (PMP) and for WLAN allows download of digital content other connectivity and media sharing solutions to smartphones and PMPs. The broadband such as digital living network alliance (DLNA) revolution and faster internet speed enabled and other middleware media sharing solutions video distribution through IP network is changed the habits of consumers and now it generating a new business model for online is natural that they demand the transfer and video distribution through internet. On sharing of all premium content to all devices. the other hand, success of Apple iPod as a Traditionally service providers hosted premium PMP created a new trend for consuming the video content on broadcast network and now digital content. Computers, mobile phones the challenge is to provide the same premium and portable players like iPod and Microsoft content to IP enabled devices. Transferring Zune have suddenly become possibilities for this content to IP enabled CE devices requires consuming digital content. content protection during transfer, streaming Traditional service providers monetized and storing. While content gets transferred premium video content delivery through digital rights have to be looked at while moving broadcast network to traditional television. to other devices. This paper discusses different Retail distribution of digital content through digital rights management (DRM) technologies optical disks is still being used by consumers.

61 But digital content from broadcast network and content across all these devices is becoming optical disks is not easily consumable on new extremely important for consumers. Often, the generation media players. Service providers same content is distributed through different are severely challenged when it comes to channels like internet, home entertainment, online video distribution or supporting users and handheld devices. The combination of on multiple consumer electronic (CE) devices. internet and home entertainment systems is Some ventures towards reaching consumers creating a new generation of connected home can be seen in some instances, like, Verizon entertainment devices. allowing streaming internet video to a set-top Table 1 shows the media delivery and box (STB) through FiOS; Comcast joining online consumption ecosystem components and video distribution through Fancast; and AT&T describes the popular DRM frameworks with supporting video streaming through Uverse. the CE devices. It is not possible to truly support the Content owners want to provide content portability of premium content to multiple CE without piracy so that maximum revenue is devices without compromising on protection generated for its value. In order to generate and rights management of high value digital revenue, content providers or distribution content. CE manufacturers like Intel, IBM, channels must be careful about securely Apple, Motorola and Microsoft are supporting delivering the content. Each CE manufacturer and offering new DRMs for different media wants to provide device capabilities to ensure players. To keep up with the rapid changes, a that the required content protection and rights generic framework and solution may have to be management is supported so that content adopted to influence the content protection and owners and providers provide content to CE DRM ecosystem that will work across devices, devices. In this scenario, DRM systems have platforms and content types. become increasingly important tools for content owners interested in protecting copyrights and MEDIA TRANSFER AND SHARING retaining the value of their digital property. ACROSS CE DEVICES However, a consumer will be more As more and more devices are enabling interested to consume and use the media consumption of digital content, portability of content from all devices capable of playing

Media Delivery and Consumption Ecosystem DRM Technologies Components

Service Provider Network Conditional Access and Separable Security, (Traditional Broadcast Network or IP Delivery Network) CCI Flags, WMDRM, Fair Play, DTCP-IP

CE Devices and Smartphones Connected to Macro WMDRM, Fair Play, OMA DRM Wireless Networks

Media Storage Devices CSS, AACS, CPRM

Open Content DRM-free and Copy-free Without Content Protection

Table 1: Media Delivery and Consumption Ecosystem Source: Infosys Research Components

62 content and not just a particular one that is for the CE device. Otherwise, there are other meant to play the content, in conventional solutions to host the appropriate media format terms. At the same time, a consumer will not in a database and deliver the required format be interested in purchasing the same content to the end device. through multiple distribution channels for multiple devices. Typically, a consumer wants Interoperable Rights Management: The to be the real owner of the content to use it across biggest challenge for media portability is multiple devices. Till now, content providers the interoperable DRM frameworks. CE and CE manufacturers were able to drive a manufacturers and distribution channels consumer to purchase the same content on support a multitude of DRM and content multiple devices. But now, content providers protection technologies and use as a key to have to support the availability, transfer and control the content and generate revenues. sharing of the same content across multiple Even though these technologies help content devices. distributors to control content delivery and The obstacles to media portability and generate revenues, the consumers are not adoption are numerous from business models to happy to live with this DRM content. There technology challenges. There are three technical are multiple instances of hacking the DRM issues associated with media portability and of premium content so that it can be used on adoption. another media player. Only 5% of users use iPod for watching Connectivity and Bandwidth: Connectivity video based on a research from Park Associates between multiple CE devices can be achieved [1]. Even though this low number is attributed with IP and media sharing can be achieved to the small screen of the iPod, one major with open standard protocols such as DLNA problem is that of rights management and that or other industry protocols like Windows of freely using premium content purchased Mediaroom, MiView TV, etc. All the leading through other distribution channels on the CE devices (PMPs, smart phones, STBs, TVs, iPod. etc.) are expected to be IP enabled in next 2-3 years. Today, Panasonic ships a TV with IP DRM CONTENT VS DRM-FREE CONTENT connectivity and allows watching YouTube. Content owners and content providers have The next generation set-top boxes (STBs) come built business models around DRM content to with IP connectivity. It is safe to assume that all generate more revenue. CE manufacturers are the new CE devices will support IP connectivity building devices capable of working with DRM and a media sharing protocol. technologies. However, consumers who form the centre of the ecosystem have problems with Appropriate Media Format for CE Device: close-ended DRM with different technologies There are multiple hardware and software for different CE devices. An interesting debate transcoding applications and solutions to of DRM content versus DRM-free content transcode the media content to be suitable to opened when Apple offered DRM-free iTunes play on a media player. The content owner on Apple devices. Some critical issues that may also provide the media in a suitable format emerged from the discussion were-

63 ■ DRM can never be perfect. There can have been developed to cater to consumers’ and will always be a way to crack up demand to move content between devices such DRM. Content can be protected only by as personal computers, DVD players, set-top guarding key secrets, but these secrets boxes and digital televisions. have to be on the CE devices to unlock Content providers and CE manufacturer the content that allows cracking these support different DRM technologies for secrets. different distribution channels and CE devices. The next section provides some of the ■ Illegal users will not be affected by DRM. important technologies and briefly describes them. ■ DRM will impose restrictions that in turn triggers gathering unrestricted music Conditional Access (CA) – Separable security illegally. conditional access is protecting content where certain criteria are to be met before one is ■ Music on CDs can be easily imported granted access to content. CA for broadcast TV to CE devices and majority of music is distribution is provided by CableCards. Media sold via CDs. players such as TV or STBs can have integrated CableCards or have provision to insert the ■ Licensing the DRM to other competitors CableCards (separable security). may create operational issues and may not solve the problem of content Windows Media DRM protection. Windows media DRM is designed to provide secure delivery of audio and/or video content However, most of the other CE over an IP network to a PC or other PMP manufacturers and content providers including that can be controlled by the distributor. The Apple corporation (Apple uses FairPlay DRM current version of Windows Media DRM, for ebooks on its new iPad) are fully convinced popularly known as DRM 10 (or Janus), has with DRM-free content. For a foreseeable future, two components - one for portable devices there will be DRM content. But consumers and one for network devices. DRM 10 supports are not happy if DRM content is not portable the protection of content for playback such as across the devices. The industry has to evolve start and end times, playback duration, single a generic and open DRM framework to develop or limited play options, etc. Windows Media content protection and DRM ecosystem while DRM provides DRM specifications for portable supporting all the three important actors of the devices, network devices and Microsoft device portability ecosystem – content owners, content bridge for Windows Media DRM. There have providers and consumers. been multiple attacks to hack Windows Media DRM. However, Microsoft’s Windows Media DRM TECHNOLOGIES DRM 10 (PlaysForSure) has not had more The desire to protect content grows as more security breaches than Apple FairPlay despite and more content enters the digital domain. the fact that it has been licensed to dozens of A variety of content protection technologies companies.

64 Apple FairPlay consumers across CE devices. Proprietary DRM FairPlay is a DRM created by Apple Inc., and is technologies were developed from the leading used by all the Apple devices such as iPhone, CE manufacturers to monetize the content iPod, Apple TV, iTunes, iTunes store and App distribution schemes. store. FairPlay digitally encrypts AAC audio Beyond seeking to reduce all open files and prevents users from playing these files and DRM-free content, there was not much on unauthorized computers. While it is a great of co-operative development work between way to combat piracy, FairPlay has enough the leading CE vendors. Microsoft does not critics on the technology. One prime concern support Mac on its Windows Media Player or affecting the consumer is that, it gives Apple Zune versions of DRM. Sony’s products mostly the ability to restrict access to media files from support Windows and Apple iTunes songs non-Apple devices, making the content non- cannot be played on non-Apple CE devices. portable. If Apple allowed iPhone to download Microsoft’s PlaysForSure and Zune music directly over Wi-fi or EDGE, iPhone aimed at a business around subscriptions and would have to handle DRM and its own media service plans. But, most consumers have a lot library as well. This would complicate both the of music in a variety of formats in their music devices and the FairPlay security model. libraries in the form of CDs and MP3s. They In contrary to open or industry accepted ask for a player or a framework that plays their DRM, Apple continues to use FairPlay DRM music from the music library, not a player that to provide ebooks on its newly launched iPad. charges them for new music. This is why much There were multiple attempts to hack of the music is not sold online anymore. FairPlay. Some of the content providers also tried to port their DRM to Apple but Apple DRM FOR STORAGE DEVICES nullified all these attempts. The primary reason While the industry is moving network why Apple maintains FairPlay is to preserve connectivity between devices, consumers are access to licensed content from the music labels still using the physical media to transfer video for its devices and platforms. With all this, there and audio across the devices. are some critics who point that Apple has a It is expected that the general public will negligible benefit with DRM but is required to eventually take hold but people have not yet convince the content owners to provide content. adopted a network-centric media distribution paradigm at home. Rather, physical media, FairPlay Vs Janus through CD or DVD is the accepted method To support downloads on demand, iPod will either for distributing content across devices. The SD have to adopt Microsoft’s Janus DRM or modify card is an enabler of simple evolution to easily its own FairPlay to make it closely resemble writable physical media at home. Janus, which does not suit the competition or business models. Advanced Access Content System (AACS) Sometime back there existed a AACS aims towards managing content stored competition between Real, Sony and Microsoft. on next generation of pre-recorded and Each tried to gain an upper hand in DRM and recorded optical media for consumer use with made sure that their format will be used by most PCs and CE devices. AACS uses 128 bit AES for

65 encryption for content protection of HD Video. Now with advancements in flash It supports key management and revocation technology, solid state based USB storage using advanced media key block technology devices also became popular for storing digital [15]. A successor to Content Scramble System content. CPRM is a content protection scheme (CSS) - the DRM mechanism used by commercial that works in conjunction with USB storage DVDs - AACS was developed to enhance the devices. design of CSS by addressing gaps that had led North America and Asia has witnessed to the total circumvention of CSS in 1999. launch of CPRM mobile DRM schemes by some However, there were concerns around key operators. The trend is expected to continue the success of AACS technology in wider with the rise in production of of solid state USB technical forums. Concerns were around the based storage in mobile devices. One good approach that had similarity to past systems example of using solid state storage devices such as CSS and the inability to preserve for storing content and CPRM for content security against attacks once compromised on protection is e-books such as Amazon Kindle. a large number of players. However, AACS is picking up the momentum and is being used DTCP-IP in the next generation optical disks across the Digital Transmission Content Protection industry. (DTCP) specification is a cryptographic protocol to protect audio/video entertainment content CPRM from unauthorized copying, intercepting Content protection for recordable media (CPRM) and tampering as it moves through digital is a copy protection system that is used to control transmission mechanisms like high-performance copies of recordable media (such as blank serial bus that conforms to the IEEE 1394-1995 DVDs). CPRM specifications specify a renewable standard. Only legitimate entertainment cryptographic method to protect entertainment content delivered to a source device through content recorded on physical media. another approved copy protection system will CPRM is a method to control copying, be protected by this copy protection system. moving and deletion of digital media on a DTCP ensures integrity of embedded CCI. Only host devices like a PC or digital media player devices capable of processing the content can developed by 4C Entity (www.4centity.com), process this form of CCI. The DTCP protocol comprising of IBM, Intel, Panasonic and does not allow more than three router hops Toshiba. CPRM is standard on all SD cards and does not allow more than 7 milliseconds and can be easily adopted to e-book reader of latency. It handles a rotating cipher with 128 devices. The CPRM specification was developed bit AES encryption. to address the requirements like robustness DTCP was developed to protect high and renewability of content owners while value digital content to be transmitted over also balancing the implementation needs. Firewire, USB, MOST (an automotive bus) and The system depends on key management for TCP/IP networks. DTCP specifies encryption interchangeable media, content encryption and of high value content, mutual authentication, media-based renewability to accomplish the key exchange mechanisms and repudiation requirements. of devices that have been compromised.

66 Initially DRM capabilities thrived on inter- Coral connection technologies such as Firewire The Coral consortium is a cross-industry and USB but now they have included most group that promotes interoperability between automotive applications and TCP/IP for DRM technologies. Coral’s aims to develop a broader deployment in home networks based common technology irrespective of the DRM on Ethernet and/or Wi-Fi. DLNA allows technologies used. Coral consortium has content to be distributed across a local network developed a framework that allows multiple using DTCP-IP to safeguard the content. But DRM systems to coexist to provide consumers DTCP-IP is not a digital rights system. It with the kind of interoperability that they does not provide the semantics to describe require. the length of time the media is valid, number Coral defined specifications that allow of plays allowed and the devices that may secure communications between different play it. However, this is the primary content entities in the digital content distribution value protection standard available in the industry chain. Coral also identified the home network today to transfer audio/video to the devices and rights management functionalities that connected over a network. There are other exist in media value chains and defined a set alternatives such as WMDRM-ND for network of standard interfaces between them. components. Coral framework supported DRM systems would derive the DRM licenses from OPEN DRM FRAMEWORKS the common policy artifact known as rights With multiple DRM technologies for different token. When a consumer obtains access to devices and platforms, it is extremely difficult content the consumer is given a rights token to provide true media sharing. It requires a that the Coral technology handles. To use the unified effort from all the players in the DRM content the consumer’s rights token is translated ecosystem to satisfy the requirements of content into an appropriate DRM license managed by owners and content providers and yet support the DRM that protects the content. A fairly all the use cases demanded by the consumer. complicated mechanism is involved in the There may be several interoperable DRM content delivery mechanism between content frameworks to convert or map the content provider and the device to make this happen. protection rights from one DRM to another But the end result is that the consumer gets DRM. to use the content without being aware what Each of the end devices will support happens behind the scene. respective DRM protocol. There may be a DRM Other DRM systems map the rights bridge or a framework to convert the DRM token to the native DRM formats for devices to other DRM required including transfer of to store or play the content as per the rights, copy protection flags and protection content rights. The rest of the Coral system during transfer. manages consumer’s media ecosystem, service There are multiple initiatives in the providers and content. It also defines their industry to develop an open and interoperable domain of devices, using rights tokens for DRM framework. Two such frameworks are their media rights and rights lockers to enable Coral and Marlin. those rights.

67 Coral specifications provide a framework Marlin DRM to construct ecosystems of devices, services and Marlin is a content sharing technology content that operate under a well-defined set of platform. It was created by an open-standards usage models and support many DRM systems. community called the Marlin developer The Coral framework can also be used to allow community (MDC). Marlin is based on a interoperability between such ecosystems. concept that interoperability and openness Coral ecosystems are assumed to be part are required to sustain commercial success. of content distribution solutions created by Marlin’s approach toward content distribution firms interested in supporting multiple DRMs. services is contrary to proprietary technology This group may include content companies, approaches or the ones controlled by single- service providers, infrastructure providers and entities. Marlin‘s mission is “Any source, device manufacturers. Any Device, Anywhere.” Marlin provides Few interoperability approaches attempt unique capabilities to manage the connection to mingle technologies by adjusting them to fit between devices, network services and digital a single model. But Coral interacts with native content, from the perspective of the consumer. software interfaces of each DRM and provides This approach results in competitive business

Marlin was developed by an open-standards community with a purpose to enable interoperability of content from consumer’s perspective

an interoperability layer on top. models that lay stress on accessing,using and Coral technology’s largest impact is sharing content intuitively. in content fulfillment where licenses are Marlin simplifies user experience of distributed with the content. It is easier to consumer devices as it allows import from disseminate where consumers will not be able multiple independent services. Marlin also to distinguish between simple business models enables flexible content distribution models using Coral technology and proprietary DRMs. and accommodates P2P interactions that But, once the Coral ecosystem is populated, expand beyond PC-centric models. Marlin is many interesting scenarios become practical. based on a general purpose rights management Coral consortium has designed effective architecture (Octopus). This architecture technology for interoperability and integrated allows enough flexibility and control in with Windows Media DRM. However, the implementation. The service based framework biggest challenges are the proprietary nature of that defines service interfaces and access content distribution systems and adaptation by policies among distributed entities is defined by big players like Apple. NEMO. Marlin controls the devices a customer

68 uses and necessitates that the device is properly Marlin represents an approach to DRM authenticated and authorized before it can play adopted by CE manufacturers to compete and anything on it. Marlin specification defines the complement with other DRM communities – protocols, components and domain models Microsoft, Apple and mobile phone makers. to enable the interoperability between Marlin Marlin JDA is an extension of standards being enabled devices and services. created in the Coral consortium and is an Marlin forms the basis of national IPTV interoperable and open digital content sharing standard in Japan. Marlin has been deployed system placing the consumer at the centre of by Actvila - a web-based TV portal that was the services and devices. launched in 2007. Actvila service portal was created by partners Hitachi, Panasonic, Sharp, Rights Management in Coral and Marlin: Sony and Toshiba and it included a roll-out of Marlin is based on a rights management internet-enabled TVs. Verimatrix demonstrated architecture. It can translate back-end business MultiRights DRM with Marlin, Sony uses logic into Marlin Rights objects and create/ Marlin in its PS3 and other companies are manage licenses and end user registrations. developing DRM bridges for Marlin. With the Marlin’s Octopus is an open specification,

Coral and Marlin are rights management frameworks that define and facilitate interoperability in digital media devices

support and partners growing, Marlin is the not a black-box implementation that allows true interoperable DRM as of now. However, a choice of operating system, cryptography, major players like Apple have not yet joined implementation and business models to the Marlin and may reduce fast adoption of this adopters. Octopus can be extended to any framework across the industry. type of digital content in-addition to digital multimedia. Octopus can also be implemented MARLIN VS CORAL in systems as small as smartcards and as large Coral’s goal is to enable interoperability as enterprise servers that power e-commerce between disparate DRMs used in consumer back-end systems. media ecosystem. The Coral framework aims Coral has a standard framework to to develop a set of specifications for secure, define rights for these to be transmitted between trusted interfaces and core services to solve different DRM systems. Rights are conveyed the disparities that result from using multiple through a token that is translated into the DRM systems that do not communicate with right DRM license managed by the underlying each other. DRM on a particular device. When a consumer

69 tries to access content the token created by Coral specifications are with reference to the Coral determines whether it is possible. This devices, systems and DRMs. is achieved by Coral roles - rights mediators, rights registries and principal identity managers. Interoperability and Growth In such cases, consumer does not need to know Marlin offers a dynamic ecosystem for content about DRM systems and device makers. Content distribution services. This allows many complex providers are equally free to choose the one that paradigms to support making members to best suits their needs. dynamic domains for authentication. Majority of the CE companies are supporting Marlin User-centric vs. Device-centric DRM initiative and have started implementing the Ecosystems: With Marlin, the relationships frameworks and the ecosystem. among devices, network services and digital To cater to varying requirements, Coral content will appear to be from the perspective allows different DRMs for different stages of the consumer. User is the primary node of of the distribution chain. It is not required authentication in Marlin. In a series of links that to specify end user rights like the number of connect a device through a user to a subscription, times the content is viewed, while content the device has rights to content authenticated is under production. There has to be some by subscription. Marlin’s authentication is compatibility between business models for user-centric rather than being device-centric. interoperability to work. It is tough to inter- User authentication with portable devices operate if one DRM system implements a can be an expensive proposition that in turn subscription model and another is a one-off poses a problem. It requires adding hardware/ purchase model. This could encourage the software to devices to establish identities of standard Marlin DRM that includes aspects of users. To register with Marlin, each device Coral interoperability mechanism. However, should be connected to a device through which Coral attempts to address mismatches resulting a user can register. Marlin device companies from incompatible DRM systems within its need to develop devices that can connect to framework. This framework is the basis of registration services as well as store user identity Coral interoperability mechanism, comprising information securely to ensure that users are a set of specifications for secure interoperability not concerned with identity theft and content among applications and services. owners are not bothered with cloning hacks. Coral translation may not be implemented In the Coral framework, trust across all DRMs. This translation is not easy management has two sides - certified identities without the approvals from the respective and trusted roles. Every device or system that DRM owners. adheres to the Coral framework receives a unique, certified identity that can be used as HANDLING OF DRM AND SECURITY a basis for other Coral systems. Each Coral Coral does incorporate a certification process complaint system or device must be certified and trust management infrastructure within to take a role in the framework. this framework. But neither it nor any other So, the basic difference is that Marlin interoperability mechanism can ensure security relationships are with respect to the user while of content and the rights associated with it

70 during transit between devices. This lies within that allow freedom to choose DRM technology the DRM domain. So, the question persists on that is most appropriate for their business needs. how to ensure security when there are many There are multiple frameworks being developed DRM systems? Coral is not a DRM system, in the industry. Success of a DRM framework but provides the means to interoperate with depends on the support from big players like different DRM systems. Only trusted DRM Apple and Microsoft. However, these tiny steps systems, services and related devices and of interoperable DRM ecosystem will go a long applications may acquire content access rights. way to provide a content portability ecosystem However, Marlin offers a full solution. satisfying the demands of the consumer while Marlin allows developing and deploying still satisfying the requirements of content interoperable multimedia distribution owners and content providers. As of now, the systems across all networks within Marlin flexible and open specifications based Marlin offering significant control and flexibility has an advantage gaining wider adoption in the in implementation. Marlin enabled devices CE industry. The support and involvement from and services are governed by independent major players will influence the success of this trust services that enforce compliance with interoperable DRM framework. the standards as well as manage revocation and renewal services in the event of security REFERENCES breaches. In Coral, this has to be handled by 1. August 2008 - Parks Associates Blog. the respective DRM systems. Available at http://parksassociates. blogspot.com/2008_08_01_archive.html CONCLUSION 2. http://www.microsoft.com/windows/ Recent trends in consumer electronics are windowsmedia/forpros/drm/tutorial. enabling consuming digital content using aspx a plurality of devices. The increase in data 3. http://wmdrm.com/ rates with communication networks and 4. Jobs, S. (2007), Thoughts on Music. ubiquitous Wi-fi are allowing to stream and Available at http://www.apple.com/ download content anytime anywhere on any hotnews/thoughtsonmusic/ device. Consumers expect content sharing 5. Intel and CPRM/CPPM. Available at and consumption across devices. However, http://www.intel.com/standards/ the current DRM silos are not allowing easy case/case_cp.htm portability of content. Selection of a security/ 6. Content Protection for Recordable DRM system that is future-proof is critical as Media. Available at http://www. it is too early to know which DRM system will discretix.com/DRM/CPRM/index.html be the ultimate industry standard. As more and 7. CORAL Consortium. Available at more CE devices are available, it requires an http://www.coral-interop.org/ interoperable DRM framework to allow easy 8. Forming a Coral Ecosystem (2007). portability of content. In the interoperable DRM Available at http://www.coral-interop. framework, content consumers need not bother org/main/news/Coral_Eco_Formation. about the chosen DRM to protect content. But pdf they would rather focus on the content providers 9. http://www.marlin-community.com/

71 10. Cloakware Security. Available at http:// volume06issue01/vol6iss1_hyper_ security.cloakware.com/products/drm- threading_technology.pdf solutions-specs.php 12. Digital Transmission Content Protection 11. Magro, W. and Petersen, P. (2002), Specification, Vol 1, Revision 1.6 (2010). Hyper-Threading Technology, Intel Available at http://www.dtcp.com/ Technology Journal. Available at http:// documents/dtcp/Info_20100319_ www.intel.com/technology/itj/2002/ DTCP_V1_1p6.pdf.

72 SETLabs Briefings VOL 8 NO 5 2010

Promoting Analytics Services on Converged Digital Data

By Sujatha R Upadhyaya PhD

Healthcare will see a complete makeover in the system with digital convergence

igital convergence has brought about a scenario. Medical social network is chosen as Dparadigm shift in business functioning in an example to substantiate this concept. service sector impacting the business-to-customer connect significantly. The multi-channel approach DIGITAL FOOPRINT – A LEAD TO YOUR leaves the customer with many options to reach IDENTITY business even as his footprints get spread across Just as footprints are left behind while walking channels. Traditionally, analytics on customer on sand, people leave digital footprints as they data is used to add value to the system by gaining transact online, make phone calls, draw cash from insight into user needs. The benefits are more ATMs, reach out to friends on social networking promising in a digital convergence context as sites, view programs on their IPTV, etc. This converged data is likely to be larger, cleaner and digital footprint consists of one’s personal have fewer gaps. However, use of converged data information such as name, phone number, email need not get limited to understanding customer id and behavioral information viz., kind of preferences, but can also be used to provide clothes one buys, services chosen, etc. A primary certain analytics service to the customer in order difference between the two is - normal footprints to improve service experience. get washed away, whereas in the absence of a This paper explores the where and proper mechanism to wipe them away, digital how of analytics to be employed in a digital footprints might stay for long. These footprints convergence context and specifically looks at can build one’s personal history of transactions/ aspects involved in providing analytics as a movement or even indicate behavior. It also service. It also lays out guidelines for handling makes a valuable resource to learn one’s personal data without giving a leeway for misuse. This preferences and behavioral patterns. discussion will lead to an approach for adopting Digital footprints are associated with analytics service in a digital convergence four aspects or core themes - data, business

73 model, value and dependencies [1]. Data deals is exemplified by a site that displayed the list of with issues concerning storage and analysis empty homes at any point in time [2]. The simple of data. The business model aspect deals with idea was to decipher data of people away from usage of business footprints for a business home by sensing the current location of the house purpose. Who owns the data, how does one owner through web presence. In the wake of intend to use the data, levels of trust between such threats, one has to exercise enough caution user and the creator of business footprints, etc., before disclosing personal information on web. are some of the concerns attached to this aspect. Value and dependency factors are important from ANALYTICS IN DIGITAL COVERGENCE the analytics point of view. Digital footprints CONTEXT get restricted by security, risk, trust, law and The word analytics typically refers to certain regulation. Finally, the footprints might be methods or tools (mostly statistical/data incomplete or broken but even these bits of mining techniques such as trend analysis, information are not negligible as they can pose classification, clustering, trend analysis, threat to identity (digital and physical) and variance analysis, correlation analysis, impact privacy. analysis, forecasting, etc.) used to analyze data

Digital footprints can have security threats and hence it is important to mask data before analytics is done

Links between Footprints and Identity and derive insights from it. However, in this Identity gets established when personal and context the word analytics refers to any process behavioral data are linked. The future might of analysis including analytics. This is because, see digital footprint as a valid identity proof, simple analysis of data that includes report where one can use digital footprints to register generation, visualization, ranking, filtering and properties, open bank accounts, enroll in voter’s drilling down helps users to make better sense list, etc. While building digital identity may help out of data. However, complex analytics tools to build a digital reputation, tracing the same to help experts to examine data thoroughly. The physical identity could be a cause of concern as objective here is to serve both the purposes: (a) this can lead to misuse of information. providing better user experience by allowing a user to see a comprehensive view of other users Threat to Privacy in the system, and (b) providing analytics tools While digital footprints can be used to provide to experts to understand data better. the best customer experience, it is possible that Digital convergence happens in three forms it may hurt one’s privacy. A bad case of damage - device convergence, fixed-to-mobile convergence

74 and service/application level convergence - need will in turn increase customer loyalty, though there is no clear demarcation separating decrease churn and give pointers for acquiring the three. Analytics on digital footprints is of much new customers. Personalization would be the significance in the third form where businesses basis for such services. benefit from analysis of digital footprints. Fixed- The second situation is about allowing to-mobile convergence too stands to gain from the users to understand what other users did. analyzing the digital footprint as it is possible to For example, in a money lending/borrowing build a digital history that would have been (not site, analysis of types of people who lend/ always) absent otherwise. borrow money in particular contexts can help Making use of analytics in a convergence user decide whether or not he is making a context largely depends on who owns the data. judicious decision. The service provider can Mostly, it is the service provider who owns the provide simple tools to customers to run their data in most cases and so this paper goes with analysis and get better insight into associated the same assumption. services and products. In certain contexts, it is Data can be used for analytics in three expected that a customer would be willing to ways. In the first way, a service provider can pay for such service and could also be expected

Digital convergence allows data from different devices and services to be used for thorough consumer analytics

perform analytics on data and discover service to give away some of her personal information needs or preferences of a customer. The second in order to facilitate this. method is to allow the customer to analyze data Lastly, convergence provides an ideal and thus helping her to make better decision platform for analytics as it brings data across while opting for a service. The last one comes services and devices to a single source. from the virtue of owning data that can be of Typical problems associated with data such as great value for research and analytics. Here incomplete data, broken links may still be there the service provider looks at opportunities to and may require some amount of data cleansing. provide data to third parties or experts who But data quality is much better compared to that need not be participants in the system but of the one collected from different sources. A simply need quality data for analysis. service provider who offers multiple services Providing better services to customers and provides good safety measures to protect based on their digital footprints is something privacy thereby ensuring good participation that has been explored for quite some time now. from consumers is sure to own huge volumes Understanding preferred services, channel and of quality data. This data can be of great value

75 to researchers and analytics service providers. a platform for patients, physicians, guardians/ The trend of selling data with masked personal caregivers to ensure good quality of life information is already in and expected to roll for patients [Fig. 1]. The service is enabled in a big way in near future. on mobile devices and on computers. This This discussion will focus on a context, platform is patient centric and patients can where analytics services are provided to get in touch with other patients, doctors and members of the social network to improve caregivers by sending invites to them to be on quality of service by allowing them to query the their network. The users (patients/doctors/ social network data. At the same time, it also caregivers) are allowed to join communities facilitates researchers and domain experts to dedicated to particular health concern such deep dive the data and spin out insights. as Diabetes, Alzheimer’s disease, cancer, heart diseases, etc. All data that is shared on HEALTH RELATED SERVICES ON the network belongs to the service provider MEDICAL SOCIAL NETWORKS who is permitted by users to employ the Social networks are a fine example of traditional data to provide analytics services. However, services being digitally converged. Along with no data will be shared with another service the evolution of social networks, medical social provider without taking proper measures (data networks too have come into existence. The term masking) to hide personal information and Health 2.0 is being used to refer to healthcare neither can data be exposed to unauthorized initiatives based on web 2.0 technologies such users. as social networks to bring about better health care collaboration. Most of them, such as Sermo, Profiles: The network constitutes of members Doctorshangout, SocialMD and Ozmosis are trusted belonging to three user profiles namely, physicians networks that allow professionals patients, doctors and caregivers. Caregivers to share information, new research findings, include parents, relatives and friends who are personal experiences and recommendations with closely associated with the patient and take care each other. Some of them such as Patientslikeme of the patient on a daily basis. The profiles come connect patients suffering from similar diseases with data levels and privileges that are devised and help them live a better life by exploring specially for the specific profiles. They in turn newer options and proven methods to improve define the data levels for sharing personal quality of life. Medical social networks such information, analytics levels and service as Healthnex promote close physician – patient requirements. Like other social networks, partnerships. Trust is an important ingredient members can connect with other members of of such social networks. A rigid definition of any profile on invitation. participation to ensure safe and fearless sharing To ensure that only actual patients and of information should also get due attention. professionals participate in the network, every physician profile will be verified against the A COMPREHENSIVE MEDICAL SOCIAL practitioner’s registration and will be ready NETWORK – CONNECTNEXT to use after verification. Every patient profile ConnectNext is a conceptual framework for needs to be endorsed by a practitioner (who building medical social network that provides may or may not be part of the network) and

76 Social Network Level

SN

Community Level

CM1 CM2 CM3 CM4

Individual Level

D3 C3 P3

D2 C2 P2

D1 C1 P1

Data Layer

Experiences, Preferences, Clinical Data, Experiences Experiences T Recommendations

S Contact Data, Specialization Contact Data, Health Concern Contact Data, Health Concern

P Basic Information Basic Information Basic Information

Doctor Profile C – D Connection P Primary Data CM Community Patient Profile C – P Connection S Secondary Data SN Social Network Caregiver Profile D – Connection T Tertiary Data Trust Level Definitions

Figure 1: ConnectNext: A Conceptual Framework in Source: Infosys Research Healthcare Sector

post endorsement the patient profile will be activities in the network. It is mostly used accessible. for differentiating the contact types. The profile page shows three types of connection Connection Types: As there is no restriction distinctly using color codes so that the users on members of a certain profile type to connect can be aware of the type of profile they are to another profile type, we have C-C, D-D, connecting to. P-P, C-D, C-P and D-P kind of connections. Connection type is not of much consequence Data Levels: Data level determines the kind of and does not affect other parameters or data shared with the other connections. Each

77 profile has primary, secondary and tertiary to other users. At the secondary level doctors levels of data. Information that is shared on can selectively share information about their these levels for each of the profiles can be contact, specialization and services offered. The different. Profile of connection type patient third level allows them to share their experiences can share only name and area at a primary within a closed community. Similarly, caregivers level, for e.g., for instance, James Heiden, NY can share their information on primary (name – USA. At secondary level, contact details viz., and area), secondary (contact, health concerns) address, email, phone numbers and primary and tertiary (experiences) levels. health concern can be shared. However, even when the interface opens the secondary level of Trust Levels: There are two types of trust information to a particular contact, it can still level definitions - between self and first level hide some of the information from the viewer. (primary) contacts and between self and other Members of patient profile have tertiary data contact levels. The first type of definition helps level where they can record the clinical periodic user to decide what kind of data should be data regarding their health condition, diagnosis, shared with each of their direct or first level treatment, results, connected hospitals and contacts. This enables people to connect with

Trust levels of networking can be custom-defined for the user based on her comfort level

doctors. Formats specified by the service each of their primary contacts with different provider will be used to share the information. trust levels. This is for the purpose of gathering network The second type of definition helps data in single format. Service providers can people to define the data level that may be opt to share this information with other highly exposed to specific level contacts. For instance, trusted connections. Clinical data is only shared one can set the trust level in a way that the by patients as regulations prohibit others from second level contacts may see only the data sharing someone else’s clinical data, even if in the primary and secondary level. However, they are in possession of it. Regulations do not third level contacts see only the data in primary prevent patients from sharing their clinical data level and fourth level contacts do not see any with others. details about this user, even on search. This The other two profiles, namelydoctors and helps them remain truly anonymous to a caregivers will also have three levels of data that portion of the network. can be shared. Primary level will permit them Since it is not possible to specify to expose their name and area they come from individual trust level definitions with second

78 level and beyond, a general purpose trust DEPLOYMENT OF ANALYTICS SERVICE definition has to be specified. This definition FOR MEMBERS describes what information in primary, ConnectNext framework provides a platform secondary and tertiary levels can be shared for providing analytics services. Question with contacts at different levels. to be answered is presented as query that is Data levels help users to specify the specified using an interface. User has to choose trust level. It is possible to maintain same the analytics level, depending on which the level of trust by opting to share or not share query interface displays appropriate options particular information, which might be rather to specify the queries. cumbersome. Proper handling of data levels allows the users to maintain different levels of Analysis at the Primary Contact Level: Queries trust with each user. Advantage being, even if could be of three types - list, number and the complete data is shared with the website, percentage. Only in primary contact level, one one can limit the information the contacts can can choose to list personal information such view depending on the contact levels and also as name, phone numbers, etc. However, if by opting within the primary contact level. particular information sought is not shared with the person who is querying the database, then Analytics Services and Levels: Simple that particular record will not be considered analytics services are provided to users to for analysis. However, the questions that seek make sense out of the data within and outside numbers/percentages will consider all data their network. Analytics can be performed at present within the individual network. The data three levels – for analysis is gathered from network level and results may be presented as graphs/charts as ■ personal network level or primary specified by the user. contact level ■ community level Analysis at the Community Level and Network ■ complete network level. Level: All three types of queries namely - list/ number of/percentage of - can be specified at Every member can use network level this level. However no personal information is analytics service without paying. However, listed. Data that is not typically shared with the analytics at larger levels will be paid services. user is also brought into the context of analytics. At every level all the data available within the As a result, doctors and caregivers can also specific analytics level will be used to bring use clinical data as parameters in the analysis. out the results of analysis. But no data will Depending on the level of analytics specified, be exposed to the user. Only the results are all data available within the level is used for produced. analysis, even though it is not available to them Paid services are provided to enable unless it is shared by the owner himself. doctors, patients and caregivers to research on This practice helps in obtaining same extensive data. No analytics results reveal analytics results for all analysis done at the personal information. All results will be shown community and complete network levels in terms of statistical parameters or numbers. with same parameters, irrespective of the

79 Allowed, List the patients who have taken therapy Y Not Allowed Not Allowed Result Restricted

List drugs subscribed for BP level above 140-90 Allowed Allowed Allowed

List mobile phone numbers of care givers Allowed, Not Allowed Not Allowed for cardiac patients Result Restricted

How many care givers are associated with Alzheimer’s? Allowed Allowed Allowed

How many cardiologists recommend 8 hr sleep? Allowed Allowed Allowed

What percentage of physicians in my network Drug A? Allowed Allowed Allowed

What percentage of heart patients are from Europe? Allowed Allowed Allowed

What percentage of physicians in the community are associated with super speciality hospital B? Allowed Allowed Allowed

Analytics at Analytics at Analytics at List Queries Primary Network Community Social Network Level Level Level Number Queries

Percentage Queries Community Social Primary Network Network Network Data Data Data

Figure 2: Query Structure in ConnectNext Source: Infosys Research

user seeking the service. However, the results set of caregivers and doctors are sent an alert may vary if analytics is performed at the message to their cell phones and mailboxes personal network level and depends largely on indicating the current location of the patient. The connections built by the user. current location is sensed by the mobile device or Analytics services at community and the computer used to send the communication. network levels are paid services and so available to only those who have sought such services. Emergency Search: This is used in emergency situations when it is not possible to connect to EMERGENCY SERVICES another member because of a certain trust level Emergency services are made available to users definition. For instance, a patient is looking for who have subscribed to such services. These doctors who can help with certain therapy but services include the following - is not able to get in touch with them because of the trust level definition set by them. However, Emergency Alert: This service is to be called the patient can clearly see that there are such when the patient needs help when she’s experts within the community. In such a case, physically away from the doctors and caregivers. one can invoke a list query on the community When this service is invoked the predetermined level analytics service as emergency search.

80 However, this query too will not list the CONCLUSION personal information, but send an emergency Social network as an enabler of convergence note to the concerned person/group with a of digital data can be used to establish request to connect. various purposes across verticals. This paper exemplifies this scenario through a conceptual DEPLOYMENT OF ANALYTICS SERVICE framework of medical social network called FOR PROFESSIONALS ConnectNext. ConnectNext allows non-members (professionals For a service provider, analytics on top and researchers) to use the network data for of customer data can reveal a good insight medical research. The data that is employed into customer preferences and concerns. This in this context is the network level data. paper shows that, it can also be used to provide However, to protect personal information of more comprehensive services to the customer, network members, the data is masked before through providing analytics services. This it arrives at the interface. The interface will paper outlines a novel method by which the also provide complex analytics tools that are members of a medical social network benefit capable of employing statistical and data from the combined footprint left on the mining techniques. Users are also allowed to network. Even as they learn more about the download masked data. medical conditions, drugs, therapies, patient experiences, doctor and caregiver experiences/ ConnectNext: A COMPREHENSIVE recommendations, they can guard their privacy MEDICAL SOCIAL NETWORK successfully. Being part of the community of ConnectNext is conceptualized on the principle people with similar needs is a great source of of ensuring participation of those instrumental strength to patients and caregivers. They get to in ensuring good quality of life to patients. This know more, understand complexities better and in turn ensures that the data collected reflects a learn to ensure greater comfort. holistic view. While it does allow users to share The aspect of building a quality data most sensitive information, it makes sure that for medical research is quite interesting as the data is well protected. availability of data has always been a great Provision for emergency services makes concern. It takes time, keen participation, strong ConnectNext a truly helpful network during privacy preservation methods and very efficient emergencies. While alert services are helpful in data management to make this a success. calling the attention of caregivers and doctors, emergency search makes treatment information REFERENCES across the globe accessible to the needy. 1. Fish, T. (2009). My Digital Footprint. Gathering a good quality database for Available at http://www. analytics is the other motivation to build the mydigitalfootprint.com/footprint-cms/ medical social network. Eventually, this will DIGITAL_FOOTPRINTS.html build a key resource for medical research. A 2. http://pleaserobme.com comprehensive research platform can be hosted 3. Otamendi,D.R.(2006), D i g i t a l on this, which will make ConnectNext key Convergence and Future of Web Analytics. provider of quality data for medical research. Available on http://webanalytics.

81 wordpress.com www.ofcom.org.uk/research/tce/ 4. www.patientslikeme.com report/ 5. http://www.healthnexus.com 7. Cobler, K. (2008), Fixed to Mobile 6. Ofcom: The Consumer Experience – Convergence: New Challenges for Network Research Report. Available at http:// Operators, Engineer IT.

82 SETLabs Briefings VOL 8 NO 5 2010

Integrated Personalized Context Aware Advertisement Presentation over Multiple Digital Media

By Anil Kumar Gogada, K Senthil Kumar and Anutosh Maitra PhD

Cross medium advertisement needs to be user and context sensitive

d targeting is very important to drive is needed to dynamically model the user Abusiness, where any product or service behavior as exhibited on each media over is taken to the most relevant and potential a period of time. With changing times, the customer. However, online advertising often focus of advertising is gradually shifting to relies on rotation of a number of ads to different individualization of contextual advertisement target groups at different time instances. This over multiple media in a seamless manner. usually results in the advertisement reaching The target set of potentially successful a larger audience while incurring additional advertisements are selected based on the cost without focusing on the actual interest of users’ interaction with the available content the potential customers. As a result, the return and services through different media. In this on investment (RoI) on advertisement dollars age of digital convergence, advertisers possess spent is low. Today, when personalization holistic information about the behavior of an technology is applied to identify contextual individual. Every time the individual uses any ads, the process often restricts ad targeting digital medium or concurrently uses multiple to a single medium of content delivery only. digital media, this information is leveraged Every individual behaves differently in terms for a complete personalization of ad targeting. of consumption of services and content on In this discussion, the term context different media viz., mobile phone, desktop refers to a set of facts or circumstances that PC and IPTV. Recommending ad on one surround a situation or event. In the area medium based on the behavior exhibited of ad targeting context refers to who, what, on another medium demands an adaptive where, when and how of circumstances. decision system. Such a decision system Context awareness is the understanding of

83 the situation a particular person is in or the ■ Personalization, that coincides with behavior that an individual is likely to exhibit the actual delivery of advertisements in a given situation. Personalization refers tailored to the profile of target user. to the act of creating or changing content to suit personal needs of an individual. Literature available in this area indicates Personalized advertisement enables the four major approaches of traditional attempts content users to access the right, relevant and toward personalization. interesting advertisements only. Context-aware personalized ad targeting deals with presenting Solutions based on Manual Decision Rules: advertisement to an individual based on Manual decision rule systems apply fixed the person’s content consumption habits on adaptation rules to static user profiles. different media as well as the current situation Typically, these profiles are obtained during the user is in. user registration. There are some prominent limitations to such solutions, for e.g., PERSSONALIZATION: STATE-OF-THE-ART considerable effort required to define and Personalization is a fertile research area update these rules; progressive degradation where methods and techniques are sought of accuracy in personalization due to the to enhance users’ interaction with content aging of such static profiles; and diminishing providing media [1]. The idea is to exploit involvement of end users in providing their users’ browsing behavior to infer a model preferences over a period of time. of their distinct peculiarities indicating their requirements, tastes and preferences. Content-based Filtering: Content-based This allows advertisement providers to filtering systems first learn a model of user tailor both delivery and presentation of preferences in different content and then try to products, services and information to the estimate users’ interest in unseen content on the profile of their target users. This idea has basis of content similarity and inferred profiles. materialized into a number of different A major drawback of such an approach is the solutions addressing personalization in inherent difficulty in capturing true semantic different ways viz., recommender systems similarity between the content. and adaptive websites. An intelligent system that addresses personalized advertisement Collaborative Filtering: Collaborative filtering presentation consists of three main steps: systems do not rely on any a priori knowledge of content. These systems guess visitor interests ■ User categorization that aims at grouping in a specific item by detecting a neighborhood users into homogeneous clusters from a of users. The neighborhood’s preferences in behavioral point of view; that specific item are then correlated to that of the user to predict interests. However, ■ Behavioral modeling which is the act of users with no explicit interests do not benefit learning reliable models of preferences, from recommendations. Also, the outcome of requirements and browsing behavior of personalization is affected by the correlation the users within each cluster; step, that penalizes visitors with few interests.

84 Finally, efficiency and scalability limitations is to target effective and relevant ads to the emerge with large numbers of users and items. right customer at the right time irrespective of the delivery medium an individual is using at Web Usage Mining: Systems relying on web an instant. The right set of advertisements are usage mining methods apply machine learning selected based on an adaptive decision made and statistical techniques to capture visitor in that instant that combines both real time clickstream data to automatically reconstruct contexts. This can include attributes of the user browsing activities. Thus, a model based on the like - activity, location, static and historical user’s requirements, preferences and tastes is behavior amongst others at a given point in built without any user intervention or a priori time. knowledge of the specific web setting. It is important to note that personalized Extant literature states that the content presentation does not have to be limited effectiveness of different personalization to the user’s activity on a single portal or even varies with different types of applications. For to a single medium only [2]. However, modeling example, rule-based techniques usually do not user behavior based on browsing pattern on apply to publish/subscribe type of services, but multiple portals and devices is more involved apply well to the business-to-business content and has rarely been attempted. providers. To gain a different perspective, Creating a simplified model that captures the case of Amazon.com can be considered. all attributes starts with using the static profile Content-based filtering would require excessive of registered users for an initial categorization. effort given the volume and attributes of In the next step, sub-classes are built based on Amazon’s objects, the reason why such filtering the dynamic browsing pattern on different would not be considered effective. mediums of communication. Genre information Considerable effort has been seen in the of available advertisements is used and one area of personalization. Many advertisement processor algorithm identifies user preferences presenters adopt the mechanism for the sake from behavior information before training the of providing richer user experience but context user model. Then, a predictive recommendation awareness has hardly been incorporated in the system maps the user interest to a particular ad targeting mechanism. The reason can be genre of available advertisements. Individual safely assumed to be the lack of means to know preference for a certain medium of content the user environment. However, identifying consumption is a guiding factor for targeting context and making a context based decision ads on another medium for that individual. For has become much simpler and easily deployable example, someone encouraging a transaction with the advent of location based services, on automobile loans through a mobile website increased awareness amongst service providers in the morning might be chosen as a potential and technological advancements. consumer of an advertisement of a recently launched automobile when the person watches MULTI-MEDIA PERSONALIZED CONTEXT a football match that evening on TV. The AWARE AD PRESENTATION CHALLENGE target set of most appropriate advertisements There exists a challenge in planning context is unique for a given user at every contextual aware personalized ad targeting. The concern instant.

85 BEHAVIORAL CLASSIFICATION available instance belongs to either of the Most commonly used behavioral profiling classes. Whenever a new instance arrives it has methods are decision tree, Bayesian classifier to be classified into either of the classes. The and support vector machines. class of instance is obtained based on the prior A decision tree is a classifier in the form probabilities and likelihood values. of a tree structure. In this tree, a leaf node The prior probability of a class is indicates value of the target attribute (class) obtained as the number of class instances out and a decision node specifies a test to be carried of the total number of available instances. So out on a single attribute-value with one branch prior probabilities of the two said classes are and sub-tree for each probable outcome of the computed as: test [3]. PA = NA/N and PB = NB/N respectively. A decision tree can be used to classify an If M is the new instance that has to be instance by starting at the root of the tree and classified, then more the instances of a moving through it until a leaf node is reached. particular class in the vicinity of M, the higher This leaf node provides classification of the is the probability of M falling into that instance. The algorithm operates by picking up class. In order to calculate this likelihood an attribute that separates the instances in the of M falling into a class, a region around best possible way by making a search through M is marked and the number of instances all the attributes of the training instances. falling into the two classes is obtained. Selecting an attribute to check whether it The likelihoods of M falling into A or B are classifies the instances is a recursive procedure computed as follows: A B A and this continues until the training instances LM/A = n /NA and LM/B= n /NB, where n are classified perfectly. and nB are the numbers of instances belonging Ability to handle continuous as well as to class A and B respectively in the vicinity categorical attributes and clear identification of of M. important attributes for classification task are The class to which instance M belongs the advantages of decision tree classifier. But, can be obtained by the combination of both the the inability to classify relatively less instances prior probabilities and the likelihood estimates. with multiple classes and the inability to predict Such a posteriori probabilities of M falling in the value of a continuous attribute are the classes A or B are computed as: drawbacks of decision tree analysis. PA(M) = PA * LM/A and PB(M) = PB * LM/B. A Bayesian classifier is a probabilistic Instance M belongs to the class with the technique with the basic assumption that higher posterior probability value. the presence of a particular feature of a Bayesian classifier has the ability to class is unrelated to another feature. This handle high dimensional data and also requires technique is known to have strong mathematical only a small amount of training data to estimate foundation and has been reported to have equal the parameters required for classification. effectiveness on classification problems from Classification with support vector varied domains [4]. machines (SVM) is achieved by separating the Let us consider a set of two class (A set of instances into two categories and this and B) instances that are trained and each category separation is achieved with the help

86 of a N-dimensional Hyperplane construction. users with their static profile information stored Cases or instances with two different categories as age, gender, occupation and demographic of the target variables fall on either sides of location. Other attributes of sample records the plane thereby dividing instances with a are behavior preferences like service accessed, clear boundary. One can keep finding such genre of TV programs watched frequently, different hyperplanes to define multiple classes. genre of favorite search words, preferred time During learning, the instances appearing at of connection, location, etc. The training set the boundary of two classes keep adjusting the should contain multiple records pertaining to class boundaries as and when the natures of the same user while representing interests on the instances start varying. Instances appearing different mediums of usage. In case there is a on the class boundaries are known as supports preferential declaration about advertisement of that class. A SVM nearly resembles human categories available, one can apply a supervised judgment to learn about dynamically changing classification on this set of training data. It is scenarios where any particular instance might also possible to determine a set of unsupervised keep drifting from one class to another as clusters if no preferential declaration is available. certain attributes keep varying with time. A However, unsupervised clustering demands kernel function is used to transform available further logic to map each of the clusters on data to a higher dimensional space to achieve certain advertisement categories. This cannot dynamic adjustment of class separation be done till sufficient feedback is available boundaries. Radial basis function is the most regarding the consumption of advertisements commonly used kernel function. by users belonging to one cluster. In order to achieve personalization, Once the SVM model is trained, during user’s navigational history on all the media has runtime when a particular user has initiated a to be analyzed and mining techniques have to session the user is put into one of the supervised be applied on the data to extract meaningful classes. The class will depend on the user’s information. From the analysis, two types of static profile, contexts like time or location information can be extracted - services often and the session information. Many advertisers accessed by the user and the interest of the often choose to use only the recent behavior as user in a specific genre of programs under the guiding variable for runtime classification. which advertisements are categorized. Mining Target set of ads are decided based on the class the navigational history also brings out the to which that particular user session belongs. favorite keywords or favorite persons or objects. A major advantage of using SVM for Context awareness also demands identification behavioral classification is its intuitive ability of different interests during different times of to adjust the class boundaries as and when the day, or days of the week, or in different people start exhibiting changing preferences locations. This, along with the static profile on any medium of content consumption. Since information will constitute the training data for human behavior is supposed to be highly behavioral profiling. contextual, a rigid classification technique As a demonstrative simplified example otherwise will fail to track the changing of behavior classification using SVM, one can preferences. Bayesian classifier is known to be consider a training case of a large number of a failsafe classifier under most circumstances.

87 But it is less effective in dynamic context entities. The common principle of choosing the aware personalization as the model inherently antecedents and consequents of a rule is to use demands information about likelihood of the class attribute as the rule head and attribute instances in the vicinity that is difficult to values as the body of the rule. compute in a real world scenario. There are times when the data collector has no information about the static profile of INDIVIDUALIZATION INSIDE A CLASS the user and available information is limited The advertisement pool consists of different to the current session behavior. In such cases categories and an advertisement generally advertisement targeting can be efficiently belongs to one or more categories. Once the performed with the association rules formed Ad-class is obtained for a particular user, from the past behaviors of different users. a suitable advertisement has to be chosen Process of mining patterns from from the advertisement pool within the different data sources, multiple agents, etc., by corresponding ad-class for the user. To obtain collaborating with them is called collaborative further personalization, one has to take recourse filtering. Collaborative filtering yields successful to further analytical techniques to personalize results when operated on large data sets. This

An ad-class will categorize target audience to make ads relevant to the context of an individual

within a group. This avoids ad fatigue and approach mainly banks on the principle of - provides more focused advertisement targeting. tendency to agree in the future is always high To achieve personalization in these levels two for those who had agreed in the past. techniques are useful - association rule mining To ascertain whether a particular and collaborative filtering [5]. advertisement is of interest to a user, certain The goal of association rule mining is survey reports are necessary. Collaborative to induce a set of rules to relate interest on filtering depends on certain gradations one item of consumption to other items. This or ratings provided by each user on at is like saying that a person who consumed an least one advertisement or one category of advertisement coded as AD_Sports_Sachin- advertisements. Collaboration is done vis- Boost would also like to consume another à-vis the average ratings given by different advertisement coded as AD_Sports_Sachin- users for one advertisement. Rating for the Adidas. Any rule will come into consensus new advertisement is predicted based on looking into the past behavior of the users and the deviation from the current ratings by their reactions to different advertisements/ the user.

88 Collaborative filtering is often browsing on mobile or desktop, surfing computation intensive. It also has a drawback TV channels that opinions may be biased. Small amounts of 2. Data captured about static profile highly favorable feedback might result in an 3. Multiple session details including time, exaggerated assessment for an item that places it location and keywords captured unrealistically amongst other items. This method 4. Indicative preferences of the user on is completely dependent on the preference different media, time and other contexts values and has no idea about the quality of found the content or similar such parameters. In 5. User model (SVM or any other classifier) other words, penetration of each item is highly trained to create a dictionary of behavior dependent on user ratings and might introduce classification. averaging effects. Averaging makes popular items to be recommended frequently. This in During runtime, the decision steps are turn means that those items will be consumed as follows: and rated more often. Despite these loopholes, this is the only reliable technique under the 1. User initiates a session (mobile, web or TV)

Users can rate ads as per their relevance to the context and such ratings can be used for personalized ad targeting

given circumstances where access to profiles 2. Session details are captured. The details and behavioral data is limited and advertisers include time, location, medium and can have only survey questionnaires as the sole actual content like channel information means to understand user requirements. or search keywords, etc. 3. Contextual profile preferences inferred INTEGRATED APPROACH 4. User class generated To sum it up, the integrated personalized context 5. Target set of ad from user class to ad aware advertisement presentation approach can be class mapping information identified summarized as below [6]. The approach has one 6. If ad consumption feedback is available, training phase and one decision phase [Figs. 1 set of potentially successful ads for and 2 overleaf]. the individual (association rule or Following steps are performed during collaborative filtering) are generated. training: A number of push type campaigns 1. Data captured from user phone calls, including SMS or MMS are aimed at directing

89 User Behavioral Information Classifier User Static Profile Pre-processed Data Trained Model Behavioral Classification (Dictionary of Session Details Behavioral Classification) (Time, Location, etc.)

Indicative Preferences

Figure 1: Training Phase Source: Infosys Research

Session Initiated from Web / Mobile / TV Advertisement Pool

Session details like time, location, channel, medium, keywords User + Class Capture Session User Classification Ad Mapping Information Static Profile Data

Trained Model Target Ad

Figure 2: Ad Selection during Runtime Source: Infosys Research

the campaign only to selected individuals. This serious implementation related challenges. is done to reduce mailing costs and improve Personalization inherently demands access chances of ad success [7]. The integrated to personal information but privacy concerns personalized context aware approach entirely often prohibit such access. Moreover, lack of supports such selective targeting. From seamless integration of data across multiple development perspective, only a few database service providers might make the behavioral queries are essential to generate the appropriate data completely unusable. The suggested target set of audience for any given campaign approach of compartmentalizing the decision since cross-channel preference information is process addresses these concerns to some maintained for every user under consideration. extent by enabling decision making based on part information without losing appreciable CHALLENGES IN DEPLOYMENT accuracy of classification. One might even The integrated approach fairly simplifies adopt a strategy of ad recommendation the complex problem of personalization based on a stated requirement. For instance, across multiple media. Yet, it raises a few recommendations could be based only on

90 recently used services or these could be based with any artificial intelligent decision tool, a only on certain static attributes, say gender or feedback mechanism is necessary to record occupation. the advertisement consumptions to enable For a large number of concurrent users continuous learning of the ad targeting scheme. on multiple media, runtime decision making Individual preferences are bound to alter. might raise serious performance issues. Usually, Sometimes the alteration is seasonal and hence a lookup mechanism is used to avoid runtime predictable, but the preferences might alter, computation whereby the recommendation even drastically, by a sudden event as well. A is always based on information available till continuous learning mechanism is a necessity to the last session. This can be achieved by batch make multiple media advertisements successful processing during lean traffic hours. However, over a length of time. content based filtering, if used, demands a runtime computation based on the content REFERENCES consumed during the current session. 1. Lynch, C., P e r s o n a l i z a t i o n a n d Recommender Systems in the Larger CONCLUSION Context: New Directions and Research One of the most important aspects of human Questions, Coalition for Networked behavior is its multi-dimensionality. From the Information. Available at http://www. perspective of presenting an advertisement to ercim.eu/publication/ws-proceedings/ an individual, one must consider the fact that DelNoe02/CliffordLynchAbstract.pdf what one human being likes at a particular 2. Three-Screen Advertising: New Ad context might be disliked by others in the same Revenues for Service Providers, White context or disliked by the same individual in Paper, Alcatel-Lucent. Available at another context. The goal of advertisement http://whitepapers.techrepublic.com. presentation is to be effective without being a com/abstract.aspx?docid=1169521 nuisance. Towards this objective, an integrated 3. Decision Trees. Available at http://dms. approach to advertisement presentation over irb.hr/tutorial/tut_dtrees.php multiple digital media is not only essential, but 4. Naive Bayes Classifier Introductory is actually helpful. In this approach the targeting Overview. Available at http://www. is based not only on a compartmentalized view statsoft.com/textbook/stnaiveb.html of user behavior on one medium of content 5. Witten, I. and Frank, E. (1999), Data delivery but on the behavior of the individual Mining, Practical Machine Learning Tools as a whole. Although this demands involved and Techniques with Java Implementations, modeling of the behavior, the ultimate purpose Morgan Kaufman of success of presented ads is greatly satisfied. 6. Paolina, L. et al. (2009), Dynamic User There are multiple statistical and data Modeling for Personalized Advertisement mining techniques available to accurately model Delivery on Mobile Devices. Lecture Notes user behavior and predict preferences. There is a in Business Information Processing, need to make an educated choice depending on Information Systems: Modeling, data available and the capability of computing Development, and Integration, Third resources of these techniques. As it is true International United Information

91 Systems Conference, UNISCON, Interactive IPTV Advertising Solution Australia (2009). Available on www.images. 7. Alcatel-Lucent Personalized and tmcnet.com.

92 THE LAST WORD

Convergence Defines the Future

Convergence comes in four different forms and promises to change the way we live today, asserts our Consulting Editor Sanjoy Paul PhD

igital convergence means different things broadcast) industry used specialized broadcast Dto different people depending on their network technology to deliver television (video perspectives. In this issue, we look at four flavors broadcast) services to consumers. Similar to the of convergence, viz., industry convergence, telephony service, consumers made monthly device convergence, network convergence and payments to the cable/satellite/television service convergence. Technology challenges, service provider, such as Comcast or DirectTV novel applications and services and potential for television services. Broadband access to business opportunities in the area of digital internet was also offered as an independent convergence are also discussed. I think it is service by the broadband service providers worthwhile to recap the four flavors of digital such as AOL and consumers paid them for convergence and understand where the internet (data) services. However, with the industry stands with respect to the deployment advancement of technology, these apparently of relevant technologies in today’s world. independent industries are converging and are contending in the same digital content Industry Convergence distribution business. There are two major The telephone (telecommunication) industry, reasons behind this transition. Firstly, analog the television (media/broadcast) industry content is replaced with digital content. As and internet industry existed on their own a result, content, no matter what industry it with specialized infrastructure to deliver their belongs to, is converted from analog to digital respective services. For example, the telecom and then packaged into small units called (voice) industry was built on specialized packets. Secondly, the network infrastructure circuit-switched network technology - a multi- is converging into a common packet-switched billion dollar Telecom switch and equipment internet protocol (IP) based network technology industry - to deliver telephony or voice services that is capable of carrying packets in an efficient to consumers. Consumers wrote a cheque to manner. Naturally, all content voice, video and the telephone company, such as AT&T, for the data are being transported over the common monthly telephony service they received from network. Telephony has become an application the telephone company. The television (media/ on internet (voice over IP). Television is also

93 becoming an application on internet (internet Network Convergence television) and internet, that used to be non- Network infrastructures used by the telephone friendly to real-time traffic, is also morphing (telecommunication) industry, the television to support real-time traffic preserving quality (media/broadcast) industry and internet of service. As a result, the challenges faced by industry have traditionally been very different. these industries are almost identical, except for Telecommunications industry has been using the business challenges specific to their domain. circuit-switched network elements; television Moreover, each of these industries are expanding industry has been using broadcast network the boundaries of their business, thereby equipment while internet industry has been treading in unfamiliar territories. This is leading using packet-switched network elements. to not only challenges, but also opportunities that Packet-switched networks have been built we discuss in detail in this issue. using different technologies as well. For example, Asynchronous Transfer Mode (ATM), Device Convergence Frame Relay (FR) and Internet Protocol (IP) Consumer electronics and communications are all technologies that have been used and functionality are converging onto consumer are still being used in CSPs’ networks. One devices. For example, laptops are being way of reducing capital expenses (capex) equipped with microphone, speakers, cameras and operational expenses (opex) would be to and other consumer electronics to enable choose a common technology for the network new capabilities like telephony and video infrastructure. This will enable CSPs’ need to conferencing (using Skype, Yahoo messenger, contain expenses by training and employing Gtalk, etc.) across internet in addition to the technical people skilled in only the chosen type traditional applications, such as web surfing, of technology. The fact remains that the CSPs instant messaging and email. What used to are converging onto using only IP/MPLS-based be just a mobile phone few years ago is today networks for transport and IP multimedia a camera, a video recorder, an MP3 player, sub-system (IMS) based infrastructure for an AM/FM radio, an electronic organizer, a session/service and blended (voice, video, gaming controller, a phone, a device for surfing data) applications. This transition in the the web, a device for sending instant messages industry to converge onto a common network and in some cases, a device for watching for applications and services is referred to as television. Given that consumers would own Network Convergence and this has far-reaching such powerful handheld devices, it opens the consequences for the industry. door for communications service providers (CSPs) to deliver a variety of content embodied Service Convergence in text, images, audio and video to the end Services offered by telecommunications user. However, the fact that an end user can industry, television industry, internet industry store the delivered multimedia content and and wireless services industry have been share it with the rest of the world with a single independent of one another. However, with push of a button may lead to unprecedented the introduction of new technology enabling illegal sharing of content making it the worst unified communications across these networks, nightmare for content owners. consumers expect to access the same services

94 (voice, email, messaging, etc.) and content (web, the distinction between voice, video, images video, audio) anytime from anywhere using and text is blurring as everything is being any device (laptop, TV set, cell phone) with treated uniformly as data and transported consistent quality of experience. An example of over a common IP network as opposed to service convergence would be for CSPs to offer using specialized networks for transporting a service that would enable its customers to voice, video and data. Also, everything is take part in social networking using any device becoming an application on the IP network from anywhere. Moreover, customers not only leading to overlapping of what used to be expect to be able to avail the services from distinct industry segments, namely, telecom anywhere using any device, but they also expect (voice), broadcast and media (video) and to seamlessly move content/services from one internet (data). In order to provide access to network to network without compromising on these applications from anywhere and at any quality of experience. For example, a phone call time, the devices are becoming more and more uses the cellular network when that is the only powerful with multiple consumer electronic network available for connectivity and uses the features being built into them leading to device WiFi network when that is available in addition convergence. Variety of network technologies to the cellular network. In fact, the transition are converging into internet protocol (IP) based from cellular network to WiFi network happens technology leading to mixing and matching of seamlessly without interrupting the phone call. applications and features in any service from Just as services are expected to move seamlessly the end user perspective and lower capital across networks, content is also expected to expense (capex) and operational expense (opex) move seamlessly across devices. For example, from the service provider’s perspective. Service when someone is commuting on a train or bus, convergence refers to the capability of end the only way to stream video would be on users to avail the same service regardless of a mobile phone. However, when the person the network over which it is accessed and the alights from the train (bus) and goes home, the ability of end users to access the same content same video might be seamlessly transitioned over multiple devices in a seamless manner. from the small-screen cell phone to a large- Digital convergence indeed is enabling new screen TV set. This is an example of seamless applications and services not possible before mobility of content. While service convergence and opening up new possibilities both from the opens up unprecedented opportunities of service provider perspective as well as from the offering novel value-added blended services for end user’s standpoint. the CSPs, it also makes the content providers A specific case of digital convergence, worried that what used to be protected content namely, 3-Screen (mobile, TV and PC/web) in their network may not be protected any more convergence enables CSPs - who own the due to lack of a comprehensive security solution three discussed distinct network/service spanning multiple networks. infrastructures - to offer unique services that are seamlessly blended across networks and Final Thoughts devices. For example, the ability to share Digital convergence is already happening in personal multimedia content from a mobile the industry. With digitization of content, phone with friends and family members on

95 TV, mobile and PC/web including social the mobile subscription, there will be renewed networking sites such as, Facebook, Picasa, interest from Telcos in offering 3-Screen Flikr and others with a few clicks on the converged services to its subscribers and many mobile phone is a huge benefit for end users of the technologies described in this isuue will of a 3-screen personal media sharing service. become extremely relevant. Also, imagine the ability to invite your friends and family members who are geographically About the Consulting Editor distributed over a large country like the US or Dr. Sanjoy Paul is Associate Vice President and Head India, to watch the same show as yours on TV of Convergence Lab at Infosys Technologies Limited with a TV remote control at the same time and where he heads research and innovation in the field of be able to chat on TV using your mobile phone. Communications, Media and Entertainment. Prior Furthermore, if the invitation from your friend to that, he was a Research Professor at WINLAB, to watch a TV show arrives on your mobile Rutgers University and Founder of RelevantAd phone when you are on the road, the ability to Technologies Inc. Sanjoy also spent five years as record the TV show at your home with a single the Director of Wireless Networking Research at touch on your mobile phone screen would be a Bell Labs, Lucent Technologies and as the CTO service with unprecedented benefit. CSPs can of two start-up companies based in New York. In certainly monetize such seamlessly blended a previous tenure at Bell Labs as a Distinguished 3-Screen services. Huge upside awaits the Member of Technical Staff, Sanjoy was the chief CSPs from being able to observe its customer’s architect of Lucent’s IPWorX Caching and Content behavior across three different screens and Distribution product line. use that information for better targeting of Sanjoy has over twenty years of technology advertisements across screens. That would expertise, specifically in the areas of End-to-End open up the wallet of advertisers in a way never Protocol Design and Analysis, Mobile Wireless seen before. Networking, Quality of Service, Multicasting, Content Given all the mentioned benefits, the Distribution, Media Streaming, Intelligent Caching question is why haven’t 3-Screen converged and Secure Commerce. applications and services taken off in the US Sanjoy has authored a book on Multicasting, yet? Personally, I believe the reason is the slow published over 100 papers in International Journals penetration of IPTV in the US. Given close to and refereed Conference Proceedings, authored over 90 million mobile subscribers for a leading 80 US patents (28 granted, 50+ pending) and is the Telco in the US, there are barely 2 million IPTV co-recipient of 1997 William R. Bennett award from subscribers. Since the revenue from offering IEEE Communications Society for the best original 3-Screen converged applications and services paper in IEEE/ACM Transactions on Networking. is limited by the bottleneck, which happens to He holds a Bachelor of Technology degree from be the low subscriber base of IPTV, the interest IIT Kharagpur, India, an M.S and a Ph.D. degree from Telcos in offering such services has not from the University of Maryland, College Park and an been as great as was expected couple of years MBA from the Wharton Business School, University ago. However, my firm belief is, once the IPTV of Pennsylvania. He can be contacted at sanjoy_paul@ subscription picks up and it inches closer to infosys.com.

96 Index

3G 25-26, 61 also DOCSIS 43 4G 25-26, 61 Digital Living Network Alliance, Actvila 69 also DLNA 61, 63, 67 Adaptive Application Feature Configuration, Digital Rights Management, also AAFC 33, 36-37 also DRM 32, 35, 61-71 Advanced Access Content System, Digital Subscriber Line, also DSL 12, 43 also AACS 62, 65-66 Digital Transmission Content Protection, Apple 24, 50, 52-53, 55, 58, 61-65, 68-69, 71 also DTCP 62, 66-67, 72 Application Program Interface, Enhanced TV Binary Interchange Format, also API 32-33, 46 also EBIF 36, 40, 43 Automation 19-20, 22-23, 27 Field Service Representatives, also FSRs 28 Field Service Force 23 Firefox 36 Industrial 19 Global Positioning System, Sales Force 20, 22-23, 27 also GPS 23-25, 27, 29 Shop-Floor 24 Google 50-51, 55 Bayesian Classifier 86-87 IBM 4, 12-13, 62, 66 Behavioral Classification 86-87, 90 Intellectual Property Rights, also IPR 18 Blackberry 21, 50, 58 Internet Explorer 36 CEMEX 29 Internet Protocol, also IP 12, 40, 93-95 Cisco 12, 30 Internet Protocol Television, also IPTV 14, 17, Conditional Access, also CA 62, 64 35-36, 40, 43, 69, 73, 83, 92, 96 Content Protection for Recordable Media, Maintenance, Repair and Overhaul, also CPRM 62, 66, 71 also MRO 27-28, 30 Convergence 6-8, 12, 15, 18-20, 25-27, 31-37, 39, Management 20-21, 24-25, 28, 52, 54, 63 47, 73-75, 83, 93-95 Asset 21, 24-25 Device 7-8, 20, 26, 74, 93-95 Customer Service 52, 54 Digital, also DC 3-5, 8, 12, 18, 32, 37, 39, Intelligent Device, also IDM 25, 28 47, 73-75, 83, 93, 95 Interoperable Rights 63 Gateway, also CGW 31-37 Inventory 24 Industry 6, 8, 93 Logistics 24 Service 6, 8, 15, 18, 93-95 Warehouse 20, 24 Network 6, 19, 25-27, 29, 93-94 Marlin 61, 67-71 Coral 61, 67-71 Microsoft 12, 36, 50, 54, 58-59, 61-62, 64-65, 69, 71 Customer Relationship Management, Motorola 13, 21, 29, 50, 62 also CRM 22-23 Multiple System Operators, also MSOs 13, 16- Data Over Cable Service Interface Specification, 17, 35

97 NEC 12 Content 11, 15, 17 Nokia 4, 9, 21, 50, 52-53, 57-58, 60 Ex Ante 15 Non-volatile Random Access Memory, also Jurisdictional Limits 17 NVRAM 47 Safari 36 Novell 12 Seagate 12 Octopus 68-69 Service Level Agreement, also SLA 23, 28 Ofcom 16, 82 Set-top Boxes, also STBs 39-41, 43-47, 62-64 Open Cable Application Platform, Software Development Kit, also SDK 45-47 also OCAP 36, 39, 43-44 Sony 50-52, 58, 65, 69 Oracle 12, 59 Supply Chain Management, also SCM 3, 8, 22, Original Equipment Manufacturer, 53 also OEM 4-6, 41, 54, 56 Support Vector Machines, also SVM 86 Philips 50 Value Added Services, also VAS 6-7, 9, 28, 31, Portable Media Player, also PMP 61, 63-64 40, 42 Regulation 11, 14-15, 17 Wireless Sensor Networks, also WSN 24-25 Asymmetric 14 XML 34-35

98 SETLabs Briefings BUSINESS INNOVATION through TECHNOLOGY

Editor Editorial Office: SETLabs Briefings, B-19, Infosys Technologies Ltd. Praveen B Malla PhD Electronics City, Hosur Road, Bangalore 560100, India Email: [email protected] http://www.infosys.com/setlabs-briefings Consulting Editor Sanjoy Paul PhD

Associate Editor SETLabs Briefings is a journal published by Infosys' Software Engineering Rajarathnam Nallusamy PhD & Technology Labs (SETLabs) with the objective of offering fresh Deputy Editor perspectives on boardroom business technology. The publication aims at Yogesh Dandawate becoming the most sought after source for thought leading, strategic and Copy Editor experiential insights on business technology management. Sudarshana Dhar

Graphics & Web Editor SETLabs is an important part of Infosys' commitment to leadership Srinivasan Gopalakrishnan in innovation using technology. SETLabs anticipates and assesses the Program Manager evolution of technology and its impact on businesses and enables Infosys Arun Agrahara to constantly synthesize what it learns and catalyze technology enabled Somasundara PhD business transformation and thus assume leadership in providing best IP Manager of breed solutions to clients across the globe. This is achieved through K V R S Sarma research supported by state-of-the-art labs and collaboration with industry ITLS Manager leaders. Ajay Kolhatkar PhD

Marketing Manager Infosys Technologies Ltd (NASDAQ: INFY) defines, designs and delivers Gayatri Hazarika IT-enabled business solutions that help Global 2000 companies win in a Production Manager flat world. These solutions focus on providing strategic differentiation Sudarshan Kumar V S and operational superiority to clients. Infosys creates these solutions Database Manager for its clients by leveraging its domain and business expertise along Ramesh Ramachandran with a complete range of services. With Infosys, clients are assured of a Distribution Managers transparent business partner, world-class processes, speed of execution Santhosh Shenoy and the power to stretch their IT budget by leveraging the Global Delivery Suresh Kumar V H Model that Infosys pioneered. To find out how Infosys can help businesses How to Reach Us: achieve competitive advantage, visit www.infosys.com or send an email to Email: [email protected] [email protected] Phone: +91-40-67048455 Post: © 2010, Infosys Technologies Limited SETLabs Briefings, Infosys acknowledges the proprietary rights of the trademarks and product names of the other companies B-19, Infosys Technologies Ltd. mentioned in this issue. The information provided in this document is intended for the sole use of the recipient Electronics City, Hosur Road, and for educational purposes only. Infosys makes no express or implied warranties relating to the information Bangalore 560100, India contained herein or to any derived results obtained by the recipient from the use of the information in this Subscription: document. Infosys further does not guarantee the sequence, timeliness, accuracy or completeness of the [email protected] information and will not be liable in any way to the recipient for any delays, inaccuracies, errors in, or omissions Rights, Permission, Licensing and of, any of the information or in the transmission thereof, or for any damages arising there from. Opinions and Reprints: forecasts constitute our judgment at the time of release and are subject to change without notice. This document [email protected] does not contain information provided to us in confidence by our clients. NOTES Authors featured in this issue

AJIT MHAISKAR Ajit Mhaiskar is a Principal Technology Architect with the Manufacturing unit of Infosys. He has keen interest in architecting solutions in the areas of mobility, dynamic IT infrastructure and wireless sensor technology. He can be reached at [email protected]. AKSHAY RAJ MATHUR Akshay Raj Mathur is a Client Solutions Manager at Infosys. He has around nine years of experience in product engineering and keen interest in business analysis and value chain management. He can be contacted at Akshay_ [email protected]. ANIL KUMAR GOGADA Anil Kumar Gogada is a Research Associate in Convergence Lab at SETLabs, Infosys. He has a Masters in Computer Science and is working in the domain of personalization in telecom space for the last two years. He can be contacted at [email protected]. ANUTOSH MAITRA Anutosh Maitra PhD is overseeing the Information Analysis activities in Convergence Lab at SETLabs, Infosys. He has over fifteen years of experience in R&D labs, IT industries and academia. He can be reached at anutosh_maitra@ infosys.com. ASHISH AGARWAL Ashish Agarwal is a Senior Project Manager with the Manufacturing unit of Infosys. He leads the iPhone Center of Excellence at Infosys. He has several years of experience in software development and project management. He can be reached at [email protected]. HARI VENKATRAM PEDAPROLU Hari Venkatram Pedaprolu is a Senior Project Manager in Product Engineering unit of Infosys. He has twelve years of experience in telecom, datacom and service provider industries. He can be contacted at [email protected]. KRISHNA CHAITHANYA DHULIPALA Krishna Chaithanya Dhulipala is a Technical Lead in Product Engineering unit of Infosys. He has seven years of software design and development experience. He can be reached at [email protected]. NARAYAN BALASUBRAMANIAN Narayan Balasubramanian is a Delivery Manager with Communications, Media and Entertainment unit of Infosys. He has eighteen years of experience in the CME domain and heads CME solutions. He can be contacted at narayanb@ infosys.com. PADMA KUMAR Padma Kumar is a Client Solution Head with Infosys. Padma Kumar has over seventeen years of experience in solving complex network and IT problems. He can be reached at [email protected]. PURUSHOTHAM MUDIREDDY Purushotham Mudireddy is a Product Manager in Convergence Lab at SETLabs, Infosys. He has thirteen years of experience in software design and development and is PMP certified. He can be contacted at mudireddyp@infosys. com. SENTHIL KUMAR Senthil Kumar is a Technology Analyst at Convergence Lab, SETLabs. He has over two years of experience in working on intelligent decision systems, both rule based and data driven systems. He can be reached at Senthil_Kumar09@ infosys.com. SHETTIN ANDREWS Shettin Andrews is a Senior Project Manager with the Manufacturing unit of Infosys. He heads iCOE – Infosys iOS Centre of Excellence. He has worked in multiple projects involving mobility solutions, direct marketing, enterprise BI and data warehousing. He can be contacted at [email protected]. SRIRAM KASTHURI Sriram Kasthuri is a Principal Consultant with Infosys Consulting and has twelve years of Business Consulting and Program Management experience focusing on customer operations, campaign management and social media. He can be reached at [email protected]. SUBHA MAHESH Subha Mahesh is a Group Project Manager with the Communications, Media and Entertainment unit of Infosys. She has twelve years of experience in the CME domain, including solutions development for interactive television. She can be reached at [email protected]. SUNIL JOSE GREGORY Sunil Jose Gregory is a Client Solution Manager with Infosys. His has over six years of experience in Telecom and Media Industry. Apart from telecom, his areas of interest are strategy and public policy analysis. He can be contacted at [email protected]. SUJATHA R UPADHYAYA Sujatha R Upadhyaya PhD is a Researcher with SETLabs, Infosys. Her research interests include knowledge modeling, ontologies, machine learning, social media analytics and text analytics. She can be reached at Sujatha_Upadhyaya@ infosys.com. Subu Goparaju “At SETLabs, we constantly look for opportunities to leverage Senior Vice President technology while creating and implementing innovative business and Head of SETLabs solutions for our clients. As part of this quest, we develop engineering methodologies that help Infosys implement these solutions right first time and every time.” D i g it a l C on ve rg en ce For information on obtaining additional copies, reprinting or translating articles, and all other correspondence, please contact: Telephone : +91-40-67048455 Email: [email protected]

© SETLabs 2010, Infosys Technologies Limited. Infosys acknowledges the proprietary rights of the trademarks and product names of the other companies mentioned in this issue of SETLabs Briefings. The information provided in this document is intended for the sole use of the recipient and for educational purposes only. Infosys makes no VOL 8 NO 5 2010 express or implied warranties relating to the information contained in this document or to any derived results obtained by the recipient from the use of the information in the document. Infosys further does not guarantee the sequence, timeliness, accuracy or completeness of the information and will not be liable in any way to the recipient for any delays, inaccuracies, errors in, or omissions of, any of the information or in the transmission thereof, or for any damages arising there from. Opinions and forecasts constitute our judgment at the time of release and are subject to change without notice. This document does not contain information provided to us in confidence by our clients.