Gartner: Network convergence still has a long way to go

By Hector D. Calabia

IDG News Service, Buenos Aires Bureau

BUENOS AIRES –

 

The convergence of networks and services holds promise, but it is still far from being universally deployed, said Gartner Inc. senior analyst Juan Ignacio Fernández, at a meeting here on Monday. He added that convergence will eventually lead to the universal use of IP (Internet Protocol)  for all services -- telephony, Internet, audio and video --, but that for now lower complexity products such as Internet call waiting, SMS (Short Message System) and e-mail forwarding to wireless devices constitute the bulk of current convergent services.

 

Speaking to an audience of Argentine telecommunication executives, Fernández said that there has been too much hype around convergence, and that there is some resistance to it in several markets. Globally, the most successful deployments have been made in Europe and Asia, while North America is still investing on traditional TDM (time division multiplex) networks, used mainly for telephony and conventional data transmission. The situation is similar in Latin America, although there some signs of change here, the speaker said.

 

However, the increasing change in network usage pattern (predominance of data transmission) is gradually changing the focus towards full IP network implementations. When fully deployed these networks allow all sorts of advanced technologies: IP Centrex, IP trunking and VoIP (voice over IP) VPN. Centrex is a technology that allows the digitizing of all internal and external telephone traffic in an enterprise (including the extensions), using a section of the telephone company exchange as a private branch exchange. IP trunking allows the transmission of IT packets (including telephony and video) through IP backbones, and VPN (virtual private networks) allow the creation of multiple private networks over a public network system.

 

In Latin America, these technologies are slowly taking hold. In Brazil, the new telecom carriers are contemplating using softswitch technology in order to expand their coverage area, without deploying new physical networks. Full market deregulation is expected in Brazil by year end. IP Centrex is being used in Mexico and Argentina, and VoIP is growing significantly in Colombia and Venezuela, according to a Gartner report.

 

Argentine networks are recent and still underutilized, so this is preventing the migration to convergent technologies for now, Fernández said.

 

Some of the participants added that the present economic situation is a major deterrent to further capital expenditure on networks. Besides, one of the participants said, most enterprises here feel that the increased efficiencies provided by IP networks have a low priority compared with the need to reduce costs and expenditure in other areas of the business.

 

According to Fernández, to assure the success of convergent networks an effort should be made towards standardization and a better definition of what new generation networks are, and what they should do. For this, vendors and operators have created standard bodies such as the International Softswitch Forum (ISF) and the Multiservice Switching Forum (MSSF), that are creating standards and network architecture models.

 

"We can consider that we are in the first generation of Unified (Convergent) Communications", Fernández said. In about one or two years there will be a second generation, with a much broader market deployment and acceptance, especially in Europe, Asia and a few Latin American markets.

 

Gartner Group, in Stamford, Connecticut, can be reached at +1-203-316-1111, or via the Web at http://www.gartner.com/ . In Buenos Aires, Gartner can be reached at +54 11 6314 1024.

 

This article was originally published by the IDG World Network of magazines and Web Sites
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